Berg Insight believes the market for fleet management in South Africa is in a growth period, which will continue in the years to come.
It says the number of fleet management systems in active use is forecast to grow at a compound annual growth rate (CAGR) of 10.8%, from 0.9 million units in 2015 to 1.5 million by 2020.
The penetration rate in the total population of non-privately owned fleet vehicles used by businesses is at the same time estimated to increase from 21.5% in 2015 to 32.5% in 2020.
South Africa is a relatively mature telematics market and the penetration is comparably high from an international perspective.
Far from all deployments are however full-scale advanced fleet management solutions.
A notable share of the installed fleet telematics systems in the South African market is represented by comparable low-end tracking systems, e.g. light fleet management solutions, including Stolen Vehicle Recovery (SVR) systems extended with basic fleet management features.
Berg Insight says the South African fleet management market is dominated by five players with broad telematics portfolios which are all headquartered in the country and have installed bases of more than 100 000 units.
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Berg Insight ranks MiX Telematics as the largest provider of commercial vehicle fleet management solutions in South Africa with an estimated installed base of around 150 000 active units in the country.
Additional examples of domestic aftermarket players include GPS Tracking Solutions (Eqstra Fleet Management), Autotrak, ACM Track and Digit Vehicle Tracking.
Renowned international providers active in the market include Pointer SA and Geotab, although foreign telematics players have generally not managed to achieve any significant market share, says Berg Insight.
Commercial vehicle OEMs including Daimler, Scania, Volvo Group and MAN have introduced their own fleet telematics solutions, although current adoption levels generally remain relatively modest.