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Addressing the Case for Connect Trucks through Fleet Management Systems is Essential to Tackle Pain Points of the Main Industries in the Country
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Brazil has a moderately fragmented connected truck market that is served by more than 20 telematics companies, leading OEMs, and over 35 startups that work with commercial trucking and transport and logistics (T&L) industry. The country is going through a challenging period, with the economic recession still impacting truck sales and other industries in Brazil. However, the curve reversal has already begun, and for the next few years, more economic stability is expected in the country. The telematics penetration is also expected to rise driven by the increased telematics awareness and the more number of vehicles with fleet management systems factory installed.For over a decade, the fleet telematics ecosystem in Brazil has been driven by the aftermarket providers, which had their main focus on track & trace solutions. Currently, other solutions are also being highly demanded such as vehicle management and driver management. Among the startups, solutions in disruption in digital freight brokerage, routing and fleet and freight management stand out from the crowd.Independent telematics system providers (TSPs) constitute more than 93% of the market, whereas OEM solution providers participate with about 6 to 8%. The top 4 participants serve approximately 57% of the market. In 2017, the commercial fleet parc in Brazil was estimated to be 2.42 million vehicles. This fleet has been serving several types of industries, and food & beverage, automotive, healthcare, and agriculture are among the most important ones in Brazil. Each one of them faces specific pain points that could be addressed by telematics solutions, for example, temperature monitoring and cargo security.This research will provide a comprehensive outlook on the connected truck market in Brazil and will provide meaningful insights for TSPs, OEMs, Tier I suppliers, startups, and other companies wishing to explore this unique and competitive market.
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