To those who own a fleet business, it’s important to know about the market trends and updates that are currently happening in any industry sector to stay up to date. It’s mandatory to know the rising demands and market-rate to face the upcoming challenges in the fleet management industry.
The rising demands and adoption in the newly digitized technology have increased by 8% as per the fleet technology trends report. Several industries like construction, oil & gas, energy, logistics, retail, and many more have strongly inclined with the penetration through mobile technology and telematics.
The SaaS technology has gained prominence over the years to generate data analysis and predictive maintenance to reduce maintenance costs and future risks
Energy Sector Market Analysis and rising demands
Oil demand globally is substantially increasing with the emergence of industrialization and rapid globalization. Most of the economy internationally depends on the exchange of goods and services.
With the increase in transportation and fleet service, the demand for oil and gas is on the rise. This particular industry does Exploration with search activities, Extraction of raw materials, refining the products, and transporting the end product with large fleets to the consumers to different industries.
Due to the Pandemic situation, the energy sector faced a drop-down during the lockdown period, and now the status of the oil & gas industry started to show a projection in stock markets. The analysis report says the oil demand in India is expanding at 3.6 – 4.2 % CAGR from 2017 to 2040.
The IBEF survey market report mentioned the consumption of petroleum products in India grew at 4.5% during the financial year 2020 and the DPIIT report tells, the FDI inflow value USD 7.86 billion for the service industry like the petroleum and natural gas division between April 2000 to September 2020.
For those who own fleet business in the oil and gas industry, 80% of their total revenue relies on fleet transportation activities. This industry is not just about transportation, it falls under the hazardous flammable category, one tiny mistake could lead to a major loss to life and the product as well.
Their investment will rely substantially on safety and security concerns. That’s why the major companies started to adopt technology-based innovations like fleet management software to prevent accidents and risks.
The fleet demands of Energy sectors are unique as they need to be safe and efficient as they require FMS systems to be tailored as per the client needs like emergency call buttons, history of the driver, and vehicle tracking patterns.
Logistics sector market trends
Through cutting-edge technology, the Indian logistic market is expected to grow at a CAGR of 10.7 %. The logistic sector has shown significant growth in the year 2020, due to the lockdown the business got hampered in the first half of the year and the other half, start-ups started to notice a bounce back with good leads.
As per the survey of the leading industry in logistics, one-third of the fleet managers say they would have expected an increase in productivity if they have used technology-based software in their fleets.
APAC region is expected to raise its growth as the government has implemented the newly made laws in the logistic sector. The Singapore government has invested USD 4.5 for Industry Transformation programs as their main aim is to boost the logistics sector with innovative technologies.
With an increased focus on automation systems, the combination of speed, cost, and efficient fleet management is required for a responsive supply chain.
The growth rate in Waste management as per the market report
The process involved in Solid waste management is the collection and recycling of hazardous and non-hazardous wastes. With the new laws from the government regulation to adopt sustainable methods and growing technology, wastes are segregated from the end-users and industries like pharma, beauty products, personal products, food, and soft drinks, and Brewery & Distillery.
Global solid waste management is set to roll at the rate of CAGR 7% with the analysis of market research reports between 2021 and 2026. Here again, Asia- Pacific region is on the lead compared to other countries, where the largest importer of plastic, China has touched its peak in importing 776,000 metric tons of recyclable plastics in the year 2016.
By using technology-based innovation, it makes the job easy to segregate waste, recycling, an analysis that helps to re-examine the budget, garbage collection, and disposable tracker to increase operational efficiency and helps to manage overall operational costs.
Overview of Construction Sector with global market trends
The construction projects revolve around strict deadlines and thin margins to finish the work with high efficacy and rapid delivery rate. In earlier days, the construction work was done manually and took a long time to complete the project but with the introduction of telematics, it becomes easy to establish communication with users and the equipment to maximize productivity.
It is classified into two types on-road and off-road, the road telematics embraces vehicle movement, people, or detects the moment of materials whereas, off-road telematics, includes monitoring the equipment in the construction site.
As per the global news, the construction sector is set to rise at the rate of 11- 14% CAGR as per the global news report analysis 2020-2025.
Mining Industry challenges
The mining industry consists of a set of valuable minerals, stones, metals, coal, sands. The firm obtains raw materials from the mines and does the process of extraction. It is segmented into different categories based on the composition.
The compound annual growth rate of the mining industry is expected to see a hike of 12.4% from 2021. As per the reports, the market is anticipated to reach USD 2427 billion with a growth rate of 7%.
The Asia Pacific is considered to have the largest mining sector followed by North America and the Middle East is the smallest region in this industry.
The worker’s safety will always be a question mark in this sector. In one of the remembered accidents that happened in Quebec mines in 2013, 150 out of 93230 were injured, even though the frequency of accidents has lowered these days but the severity remains the same as per the reports.
The purpose of the fleet management system to incorporate in this sector is to optimize the production and real-time data to increase efficiency and to enhance security. The initiatives taken in the FMS are to prevent vehicle accidents, Investigate accident reports, alert drivers, and show safe routes for driving.