The adoption of technology across the transport and fleet industry has risen considerably in recent years. As businesses strive to optimise efficiency, safety, compliance, and performance – especially in the current climate – the use of tech in fleet management presents a real opportunity for innovation and growth in 2023 and beyond.
In fact, according to a report by MarketsandMarkets the global fleet management market is expected to grow at a Compound Annual Growth Rate (CAGR) of 15.5%, from $25.5 billion in 2022 to $52.4 billion by 2027. So what technology is on the horizon and what should fleet managers be looking out for to keep pace with the market?
Here are the top four fleet technology trends for 2023:
- Artificial Intelligence (AI) in transport
AI-powered tech is all about the intelligence gained; AI can instantly analyse and interpret data to provide insights and the ability to make more informed decisions. Transport businesses work with huge amounts of data each day, so it is critical to have an AI-powered solution that not only collects data but interprets it, to add greater value and understanding.
An AI and machine-learning-based platform allows businesses to streamline processes, predict trends, and gain real-time insights. This, in turn, helps to identify inefficiencies to boost productivity and improve driver behaviour, for the safety of all road users.
According to McKinsey, by 2030 it’s expected that AI could add a whopping $13 trillion to global economic output.
- Growing uptake of smart cameras across fleets
AI-enabled smart dashcams are fast being adopted by forward-thinking organisations because they provide visibility far beyond just video and audio. In fact, Berg Insight forecasts a CAGR of 16.8% for video telematics, from almost 3.9 million units at the end of 2021, to 8.4 million by 2026 across Europe and North America.
They’re indispensable for helping to reduce road incidents and insurance premiums, prevent fraudulent claims and identify ways to improve driver behaviour. Built-in sensors show what’s happening inside and around the vehicle in real-time. From distracted driving to dangerous following distances, fleet managers can use the data to encourage drivers to improve safety and performance. AI-enabled tech also learns from its environment, meaning it gets more accurate with time.
- Electric Vehicles (EVs)
It’s no secret that EVs are growing in popularity. They will represent 48% of all new cars sold globally in 2030, according to the Electric Vehicle Outlook: 2021 and Beyond report. To put this into perspective, BloombergNEF predicts global EV sales will leap by 14 million units in 2025, accounting for around 16% of all passenger-vehicle sales.
Technology improves with market uptake, so as more people welcome EV ownership, cost and availability will improve as a result. Fleet managers need to take the growing use of EVs into account for future planning, factoring in costs for battery charging, repair and transition, as we move into tomorrow’s fleet, today.
- A driver safety focus
Safety is a growing concern for drivers and fleet managers, and for good reason. According to the World Health Organization, approximately 1.3 million people lose their lives to road traffic accidents globally. Something the United Nations General Assembly takes seriously, with its work towards a target to halve the global number of deaths and injuries from road traffic crashes by 2030.
So, what can fleet managers do to support this goal? Put driver safety right at the top of the agenda.
The benefits of fleet technology in addressing safety concerns are becoming more common place. Real-time data produced by telematics means that fleet managers can create individualised training and coaching programs for drivers in need, as well as reward positive behaviour. In turn, improving driver retention which is vital against the backdrop of continued driver shortages.
What’s next for technology?
In this increasingly digitised world, data is only truly valuable if it is interpreted to produce insight and in turn, action. Advanced AI technology is the most effective way for fleet managers to optimise and learn more about their fleet, through more informed decisions and impactful changes.
2023 is expected to be another pioneering year for tech in transport and as uptake increases, this will pave the way for continued growth and innovation for safer, more efficient and better-connected fleets and the industry as a whole.