2024 has been a very turbulent year in the business world, with geopolitical conflicts affecting supply chains globally. The fleet management industry has had to adapt significantly to keep up with these events.
As we head into the new year, it is important to plan ahead and prepare for industry changes that are anticipated.
These developments have created a great opportunity for companies looking to develop and enhance their businesses. According to the 2024 Fact MR Market Research Survey, the fleet management industry is expected to grow from US$65 billion to US$300 billion in the next ten years, with South Africa as the leader in the African region. This presents an opportunity for companies looking to innovate and adapt their businesses to the future, it also gives them a head start on optimising their businesses for maximum profit.
The fleet management sector is undergoing tremendous change, with new markets growing into the space globally. This is no different in South Africa, a country full of businesses that produce products and raw materials. This fact is compounded by the growing global interest in South Africa as an emerging market. As a BRICS member, South Africa now forms part of a larger logistics and trade federation, which necessitates reliable fleet management systems to optimise supply chains.
Berg Insight estimates that active fleet management systems will grow at a compound annual growth rate of 10.3 percent from 2.3 million units at the end of 2023 to 3.8 million by 2028 in South Africa. For many companies operating in South Africa, an effective fleet management system is vital as it mitigates many logistical problems that are caused by weak infrastructure, bad planning, and other procedural variables.
With this system in place, companies can monitor driver behaviour, maintain vehicle maintenance records, track their vehicles and manage fuel expenses – whilst maintaining compliance with local laws and regulations.
In South Africa fleet management systems must abide by rules and regulations set by the South African Department of Transport. These regulations include but are not limited to, ensuring that driver’s licences are valid, vehicle registrations are up to date, and that all necessary safety features are installed.
These regulations are coupled with The Occupational Health and Safety Act, which determines the required conditions for a safe workplace for employees. It is the confluence of these factors that brings us to where we are as an industry in South Africa today.
However, new trends have emerged that are sure to shake up the fleet management industry. Let’s explore what these are and how they will affect you and your business in the years to come.
As the world moves ever closer to complete digitalisation, companies globally are seeking ways to augment their processes and streamline efficiencies. It is often these considerations that can make a significant impact on a business’s bottom line, and overall stakeholder value.
In the fleet management sector, the best way to achieve these goals is by adopting emerging technologies that enhance how the industry as a whole runs. These new developments and innovations incorporate current processes and protocols with new tech and software.
Let us explore some of the new trends in fleet management in the year 2025.
Additionally, fleet managers who use a host of management apps will have faster communication channels and more reliable reporting tools.
IoT sensors can be installed in vehicles, where they measure all vital components and track how well they are performing. Vehicles equipped with sensors can transmit real-time data on engine performance, brake conditions, and other critical systems. This feature allows potential wear and tear issues to be detected and attended to early on before they become too severe and require extensive service. With this system, businesses can expect to reduce costs and vehicle downtime, meaning overall performance goes up.
Tools monitoring carbon emissions will become essential, especially apps that integrate carbon tracking features, allowing businesses to measure and reduce their carbon footprint.
Cartrack is a leading fleet management company in South Africa, ranking in the top 5 nationally. It is a reliable and highly specialised fleet management company with customers across various industries globally. Cartrack is on the cutting edge of vehicle tracking technology, with developments in fleet management systems for a diverse business clientele. The company is well-equipped for 2025 with many industry trends already in application in the solutions on offer.
These solutions can be tailor-made for the respective client to increase productivity, reduce costs and enhance overall efficiency. The reporting from Cartrack’s solutions is accurate and highly detailed, offering insights on how to optimise your business best. This reporting gives the business owner peace of mind and assurance on how the overall operations of the fleet are going.
The fleet management solutions available at Cartrack come with numerous features and adaptations that are necessary for any business going into 2025. Here are some below.
Looking ahead into the near future, fleet management systems will become more sophisticated and efficient. This is exacerbated by the introduction of advanced technologies like 5G, AI, and machine learning. South African businesses will have access to powerful solutions that will optimise their unique fleet management needs. Ultimately these developments will optimise operations and improve overall safety and customer service. Leveraging these innovations will afford companies greater insights into their fleet’s performances while complying with regulations.
With South Africa’s emerging market status on the incline, it is natural to expect more business dealings to be headed here. This means that there will be a greater need for an efficient, reliable and effective solution to the imports and exports of goods. As more and more businesses move online, this will only get more complex, requiring solutions that can be tailored to various business structures and industries.
Cartrack Swaziland is best equipped to take you and your business there. Contact us today to learn more about our fleet management solutions and how they can be tailored to your business’s unique needs.