Accidents, Thefts, Social Factors Driving Indian Telematics Adoption
In today’s connected world, the telematics market has evolved as a key growing market in various countries across the globe. With mandatory rules & regulations in most of the developed nations, telematics devices have witnessed significant adoption and penetration. Although, the telematics market in India is still in its nascent stage, higher growth is expected over the next six years.
The India Telematics market is projected to reach $301.23 million by 2021, according to 6Wresearch, which has authored “India Telematics Market (2014-2021).” Increasing road accidents, growth in organized cab services, vehicle thefts, need for fleet management, and fighting crime against women is expected to fuel the adoption of telematics devices in the country.
The India telematics market is exhibiting growth as consumers are becoming more cautious about their safety while driving. Moreover, automobile companies are collaborating with telematics manufacturing companies to develop built-in telematics systems that can be fitted in automobiles during the production process. Aftermarket providers lead the market and are expected to maintain their leadership through the forecast period, but the OEM segment is expected to grow. In addition, the prices of these devices are decreasing, which in turn is driving end-users to afford and enjoy the services that telematics provides.
Optimizing fuel cost is another factor that has spurred the market for telematics in India, according to 6Wresearch. The commercial segment accounts for majority of the market revenues in India’s telematics market; however, with growing awareness, adoption in passenger vehicle segment is witnessed in the country. Further, small and medium car segments offer high growth opportunities to the market players.
Some of the key players in the market include- Timble, CMC Technology, and Dhanus Technology.