“Global Vehicle Analytics Market to reach a market value of 20.9 Billion by 2031 growing at a CAGR of 24.1%”
The Global Vehicle Analytics Market size is expected to reach $20.9 billion by 2031, rising at a market growth of 24.1% CAGR during the forecast period.
The Asia Pacific region is experiencing rapid urbanization, with more people moving to cities and increasing vehicle ownership. This urbanization drives the need for efficient traffic management and vehicle monitoring, which these analytics can provide. Consequently, the Asia Pacific region would acquire nearly 30% of the total market share by 2031.
The major strategies followed by the market participants are Partnership as the key developmental strategy to keep pace with the changing demands of end users. For instance, in July 2024, HARMAN and CARIAD SE announced new apps for the Volkswagen Group’s Group Application Store, expanding its offerings to over 70 apps. Highlights include Booking.com, Eventseeker, and Microsoft Teams, enhancing in-vehicle experiences with diverse digital services. Moreover, in July, 2024, Heathrow Airport continues its multi-year partnership with Genetec, expanding its use of Genetec Security Center to manage and innovate across its vast operations. The system integrates video, access control, and more, enhancing security and operational efficiency for the busy airport.
Based on the Analysis presented in the KBV Cardinal matrix; Microsoft Corporation is the forerunners in the Market. In October, 2022, Mercedes-Benz and Microsoft teamed up to introduce the MO360 Data Platform, linking 30 worldwide plants to Microsoft Azure. This initiative seeks to boost production efficiency by 20%, optimize supply chain management, and advance sustainability through enhanced data analytics and resource management. Companies such as Harman International Industries, Inc. and Genetec, Inc. are some of the key innovators in Market.
The growing awareness of the importance of road safety has led to heightened scrutiny of vehicle performance and driver behavior. Governments and regulatory bodies are implementing stricter vehicle safety and emissions regulations. Therefore, rising vehicle safety and compliance awareness propels the market’s growth.
Fleet management solutions leverage these analytics to monitor and optimize fleet operations, such as route planning, fuel consumption, vehicle utilization, and driver performance. One of fleet management’s primary goals is reducing operational costs, including fuel expenses, maintenance, and insurance premiums. Thus, the growing demand for fleet management solutions drives the market’s growth.
These analytics solutions often require substantial investment in advanced technologies, such as telematics devices, sensors, data storage, and analytics software. Integrating these analytics with existing systems, such as fleet management software, enterprise resource planning (ERP) systems, and customer relationship management tools, can be challenging and expensive. In conclusion, High Initial Costs are impeding the growth of the market.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Partnerships, Collaborations & Agreements.
By end use, the market is divided into original equipment manufacturers (OEMS), automotive dealers, fleet owners, regulatory bodies, insurers, and service providers. The insurers segment procured 14% revenue share in the market in 2023. These analytics enables insurers to assess individual driving behaviors and vehicle conditions. Insurers can offer more accurate and personalized premium pricing by analyzing data such as speed, braking patterns, and mileage.
Based on application, the market is categorized into predictive maintenance, traffic management, safety & security management, driver & user behavior analysis, dealer performance analysis, usage-based insurance, and others. The usage-based insurance segment witnessed 10% revenue share in the market in 2023. These analytics allows insurance companies to collect detailed data on driving patterns like speed, acceleration, braking, and mileage. This data enables insurers to offer personalized premiums based on individual driving behavior rather than generalized risk profiles.
On the basis of deployment, the market is segmented into cloud and on-premises. In 2023, the on-premises segment attained 34% revenue share in the market. On-premises solutions provide organizations with complete control over their analytics systems. This level of control allows for more tailored configurations and customizations to meet specific organizational needs and preferences, which may be limited in cloud environments.
Based on component, the market is divided into solution and services. In 2023, the services segment attained 32.5% revenue share in the analytics market. These analytics services often involve customizing and integrating solutions to fit specific business needs. Many organizations require tailored solutions that align with their unique operational requirements, which drives the demand for professional services to ensure proper implementation and integration.
Free Valuable Insights: Global Vehicle Analytics Market size to reach USD 20.9 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America region witnessed a 38% revenue share in the market in 2023. North America has a well-established and advanced automotive industry, with numerous leading automakers and suppliers. The region has major automotive companies at the forefront of adopting and integrating new technologies, including these analytics.
The market is highly competitive, with key players striving to deliver advanced data-driven insights for fleet management, predictive maintenance, and driver behavior analysis. Companies compete on AI integration, real-time analytics, and user-friendly interfaces, aiming to enhance vehicle performance, safety, and operational efficiency across various industries.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 3.9 Billion |
| Market size forecast in 2031 | USD 20.9 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 24.1% from 2024 to 2031 |
| Number of Pages | 345 |
| Tables | 573 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Market Share Analysis, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Component, Deployment, Application, End Use, Region |
| Country scope |
|
| Companies Included | Agnik LLC, Genetec, Inc., Harman International Industries, Inc. (Samsung Electronics Co., Ltd.), IBM Corporation, Microsoft Corporation, SAP SE, Teletrac Navman, Valeo SA, Continental AG and Inseego Corp. |
By Component
By Deployment
By End Use
By Application
By Geography
This Market size is expected to reach $20.9 billion by 2031.
Rising Awareness of Vehicle Safety and Compliance are driving the Market in coming years, however, High Initial Costs of Vehicle Analytics Solution restraints the growth of the Market.
Agnik LLC, Genetec, Inc., Harman International Industries, Inc. (Samsung Electronics Co., Ltd.), IBM Corporation, Microsoft Corporation, SAP SE, Teletrac Navman, Valeo SA, Continental AG and Inseego Corp.
The expected CAGR of this Market is 24.1% from 2024 to 2031.
The OEMs segment led the Market by End Use in 2023; thereby, achieving a market value of $5.1 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $7.5 billion by 2031.
Our team of dedicated experts can provide you with attractive expansion opportunities for your business.
![Asia Pacific Vehicle Analytics Market Size, Forecast [2031]](https://www.kbvresearch.com/upload/cover/asia-pacific-vehicle-analytics-market.jpg "Asia Pacific Vehicle Analytics Market Size, Forecast [2031]")
Unique Offerings 