Fleet Management in South Africa – 4th Edition

Fleet Management in South Africa

Fleet Management in South Africa is the fourth consecutive report from Berg Insight analysing the latest developments on the South African fleet management market. The report also includes an outlook on the rest of the African market beyond South Africa.

This strategic research report from Berg Insight provides you with 115 pages of unique business intelligence including 5-year industry forecasts and expert commentary on which to base your business decisions.

Highlights from the fourth edition of the report:

Insights from numerous interviews with market-leading companies.
New data on vehicle populations and commercial fleets in South Africa and other African countries.
Comprehensive overview of the fleet management value chain and key applications.
In-depth analysis of market trends and key developments.
Updated profiles of 24 aftermarket fleet management solution providers.
Summary of OEM propositions from commercial vehicle brands.
Market forecasts lasting until 2023.
Outlook on the African fleet management market beyond South Africa.

This report answers the following questions:

How does the fleet management market in South Africa compare with othermarkets?
What is the price level of South African fleet telematics solutions?
Which are the leading domestic providers of aftermarket fleet managementsolutions?
Which international fleet management providers are targeting the SouthAfrican market?
What hurdles are there for foreign players?
What offerings are available from commercial vehicle OEMs?
What challenges and opportunities are there in the rest of Africa?
Will the FM industry consolidate further during 2020–2021?
How will the commercial vehicle telematics industry evolve in the future?

Executive summary

Berg Insight is of the opinion that the market for fleet management in South Africa is in agrowth period which will continue in the years to come. The number of FM systems in activeuse is forecasted to grow at a compound annual growth rate (CAGR) of 15.0 percent from 1.6million units at the end of 2018 to 3.2 million by 2023. The penetration rate in the totalpopulation of non-privately owned fleet vehicles used by businesses is at the same timeestimated to increase from 34.6 percent in 2018 to 63.1 percent in 2023. South Africa is arelatively mature telematics market and the penetration rate is comparably high from aninternational perspective. Far from all deployments are however full-scale advanced FMsolutions. A notable share of the installed fleet telematics systems on the South Africanmarket is represented by comparably low-end tracking systems, e.g. light FM solutions,including SVR systems extended with basic FM features.

The South African fleet management market is clearly dominated by five domestic playerswith broad telematics portfolios and more than 100,000 fleet management units in use in thismarket. Berg Insight ranks Cartrack and MiX Telematics as the largest providers of fleetmanagement solutions in South Africa, together having more than 0.5 million active units inthe country. Tracker is the third largest player followed by Netstar and Ctrack (Inseego).Other top-10 players on the South African fleet management market include local providerssuch as Bidtrack (Bidvest Group), Digit Vehicle Tracking (Digicell) and GPS TrackingSolutions (Eqstra Fleet Management), as well as international players including WebfleetSolutions (Bridgestone) and Gurtam, all having estimated installed bases of at least 30,000fleet management units in the country. Bidtrack’s owner Bidvest is notably in the process ofacquiring Eqstra Fleet Management including GPS Tracking Solutions. Players just outside ofthe top list include Autotrak, Digital Matter, Pointer Telocation (PowerFleet), ACM Track, PFKElectronics, Geotab and Key Telematics. International commercial vehicle OEMs includingScania, Daimler, MAN and Volvo Group have further all introduced fleet telematics solutionsin South Africa.

Executive summary
1 Fleet management solutions
1.1 Fleet management infrastructure
1.1.1 Vehicle segment
1.1.2 GNSS segment
1.1.3 Network segment
1.1.4 Backoffice segment
1.2 Vehicle management
1.2.1 Vehicle diagnostics and maintenance planning
1.2.2 Security tracking
1.2.3 Tire pressure monitoring systems
1.3 Driver management
1.3.1 Driving data registration and analysis
1.3.2 Video-based driver monitoring
1.3.3 Eco-driving schemes
1.3.4 Insurance risk management
1.4 Operations management
1.4.1 Routing and navigation
1.4.2 Transport management
1.4.3 Mobile workforce management
1.5 Regulatory compliance and reporting
1.5.1 Driver working hours, logbooks and tachographs
1.5.2 Electronic toll collection – e-toll and e-tags
1.5.3 SARS travel logbooks
1.5.4 Traffic fine management and demerit points – AARTO
1.5.5 Road Transport Management System (RTMS)
1.5.6 Distracted driving
1.5.7 Special transports
1.6 Business models
2 Market forecasts and trends
2.1 Market analysis
2.1.1 The South African vehicle market
2.1.2 Fleet management installed base and unit shipments
2.1.3 Fleet management vendor market shares
2.1.4 Local market characteristics in South Africa
2.2 Market drivers and barriers
2.2.1 Macroeconomic environment
2.2.2 Regulatory environment
2.2.3 Competitive environment
2.2.4 Technology environment
2.3 Value chain analysis
2.3.1 Telematics industry players
2.3.2 Automotive industry players
2.3.3 Telecom industry players
2.3.4 IT industry players
2.4 Future industry trends
2.5 African fleet management market outlook
2.5.1 Leading South African telematics players active in the Rest of Africa
2.5.2 Other African fleet management providers and distributors
2.5.3 International players active on the African fleet management market
2.5.4 OEM fleet telematics offerings in Africa
2.5.5 The African vehicle market
2.5.6 Analysis of the fleet management market in the Rest of Africa
2.5.7 The size of the African fleet management market
3 Company profiles
3.1 International aftermarket solution providers
3.1.1 Ctrack (Inseego)
3.1.2 Geotab
3.1.3 Gurtam
3.1.4 MiX Telematics
3.1.5 Pointer Telocation (PowerFleet)
3.1.6 Webfleet Solutions (Bridgestone)
3.2 Local aftermarket solution providers
3.2.1 ACM Track
3.2.2 Afritelematics
3.2.3 Autotrak
3.2.4 Bidtrack (Bidvest Group)
3.2.5 Cartrack
3.2.6 Digital Matter
3.2.7 Digit Vehicle Tracking (Digicell)
3.2.8 Globaltrack
3.2.9 Gosafe Tracking Solutions SA
3.2.10 GPS Tracking Solutions (Eqstra Fleet Management)
3.2.11 Key Telematics and Radius Payment Solutions
3.2.12 Mtrack (Electronic Tracking Systems)
3.2.13 Netstar
3.2.14 PFK Electronics
3.2.15 Pointer SA (PowerFleet)
3.2.16 Real Telematics
3.2.17 SmartSurv Wireless
3.2.18 Tracker Connect
List of Figures
Figure 1.1: Fleet management infrastructure overview
Figure 1.2: Examples of FM device form factors
Figure 1.3: Data interfaces used by FM devices
Figure 1.4: Examples of peripherals connected to FM devices
Figure 1.5: Mobile operators and subscribers in South Africa (Q4-2018)
Figure 1.6: Example of FM backoffice segment
Figure 1.7: Components of a tire pressure monitoring system
Figure 1.8: South African e-tag for electronic toll collection
Figure 1.9: SARS Travel Logbook
Figure 2.1: Commercial vehicles in use and new registrations (South Africa 2018)
Figure 2.2: Commercial vehicle brands in South Africa by market share (December 2018)
Figure 2.3: FM shipments, active systems and penetration (South Africa 2018–2023)
Figure 2.4: Top-10 fleet management providers by installed base (South Africa Q4-2018)
Figure 2.5: Financial data for telematics industry players (2018)
Figure 2.6: Mergers and acquisitions in the telematics space (South Africa 2014–2019)
Figure 2.7: The presence of the top-5 South African FM players on the African continent
Figure 2.8: Vehicles in use by country (A–S) and vehicle type (Africa 2015)
Figure 2.9: Vehicles in use by country (S–Z) and vehicle type (Africa 2015)
Figure 3.1: The Android-based Ctrack On-The-Road (OTR) driver terminal
Figure 3.2: Ctrack Iris video monitoring solution
Figure 3.3: The new Geotab GO9 tracking device
Figure 3.4: MyGeotab fleet management software
Figure 3.5: The Wialon Hosting web interface
Figure 3.6: MiX Telematics’ Android-based 7’’ MiX Rovi II
Figure 3.7: WEBFLEET, LINK 510 and PRO 8275 TRUCK
Figure 3.8: Overview of Bidtrack’s offering including core fleet unit & additional hardware
Figure 3.9: Bidtrack’s customisable FleetView interface with various dashboards
Figure 3.10: Overview of Cartrack’s subscriber base by application and region (FY-2019)

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