The Ctrack Vehicle Tracking Survey 2011 was

conducted amongst 250 fleet influencers and

decision makers within the UK who are

responsible for car, van, truck or mixed fleet

operations.

The survey is designed to provide insight into

the uptake of vehicle tracking amongst

UK-based businesses, how the technology is

being used, what benefits are being

achieved and what barriers are preventing

more companies adopting a solution.

EXECUTIVE SUMMARY

Ctrack Vehicle Tracking Survey 2011

Key findings include:

l Vehicle tracking is becoming a critical operational tool

for many fleets, especially van and commercial

vehicle operators, with more than 70% of those utilising

the technology having used it for more than four years.

l Fleet operators are achieving measurable cost

efficiencies with significant reductions in fuel usage

(8.6%), overtime claims (15.3%) and communications

overheads (13.3%).

l The reputation of the vehicle tracking industry is

generally good according to 70% of respondents, but

some concerns remain around the financial viability of

providers, overselling and the reliability of the industry.

l There is still a proportion of fleet operators not currently

using vehicle tracking that are unconvinced about the

potential benefits, but more than half of those yet to

adopt the technology believe it can provide return on

investment.

l Fuel costs and pressures to reduce operational

overheads are currently the key challenges for a large

number of fleet operators, with many using vehicle

tracking to help overcome these issues.

Key findings in the report included:There is considerably greater use of vehicle tracking for vans,

and to a lesser extent heavy goods vehicles, than cars

according to the respondents utilising the technology. In fact,

four fifths of respondents tracked vans compared to just a

third for cars, perhaps reflecting a more established and

proven business case for van operators. Elsewhere, there still

remains a low level of uptake for unpowered assets such as

trailers and plant. (Fig 1)

The findings suggest that vehicle tracking has become

embedded within many companies’ fleet operations, with

over 70% having used the technology for more than four

years and almost 5% for over 10 years. Just under 5% of

fleets have adopted vehicle tracking in the past 12 months

representing continued year-on-year growth in uptake.

Meanwhile, the advances in the functionality of web-

based tools, combined with the affordability of this type of

system when compared to server-based solutions, has

meant that they now account for more than half of all

active tracking systems. A further 25% of tracking solutions

now use a combination of server-and web-based systems,

often to achieve added flexibility and support multi-user

requirements. (Fig 2)

It seems that fleet operators are increasingly combining

their tracking solutions with in-vehicle tools to maximise

the operational performance of the system. In

particular, integrated satellite navigation is now used in

53% of all tracking systems to support improved routing,

reduced mileage and enhanced workflow. Elsewhere,

Driver Identification (24%), handheld PDAs or terminals

(7%) and panic alarms (7%) are also being utilised to a

lesser extent.

In addition, many companies are integrating vehicle

tracking with other back office management systems in

order to streamline their operations and automate

internal processes. (Fig 3)

37%

3%

33%

4%

9%

37%

13%

11%

Fleet

Supply chain

Workflow

Contract

Fuel

Routing & scheduling

Personnel/HR

Accounting

34%

82%

53%

4%

7%

2%

Car

Van

Commercial vehicle

Trailers

Plant

Other

1 The adopters

Figure 3 Integration with back officemanagement systems (% of VT users)

Figure 2 Tracking system types in use (% of VT users)

Figure 1 Tracked assets and vehicles in the UK (% of VT users)

Web-based (accessvia the Internet with

no software)55.4%

Server-based(access viasoftware oninternal ITsystem)19.6%

Mix of both25%

In terms of the primary purpose for using vehicle tracking,

productivity (36%), cost reduction (16%), asset management

(15%) and customer service (14%) are the most common

reasons, although security, health and safety and legislative

compliance also featured in the responses. However, fleets

are now achieving a wide range of business and operational

benefits that are delivering real return on investment. (Fig 4)

Of the respondents that stated that their fleet operations had

achieved reduced costs, a wide range of savings are

consistently being achieved. For example, more than two-

thirds have lowered fuel costs by an average of 8.6%, whilst

over half have reduced overtime claims by an average of

15.3%. (Fig 5)

2 Vehicle tracking in action

1%

9%

12%

33%

13%

No value added to the business

Meeting tender requirements

Reduced environmental impact

Improved duty of care

Reduced accidents

47%Added understanding of driver behaviour

46%Increased security

43%Proof of delivery or completion of work

17%Greater business insight

42%Improved customer service

43%Enhanced workflow management

59%Increased productivity

70%Reduced costs

Figure 4 Business and operational benefits (% of VT users)

68%

38%

53%

21%

19%

9%

4%

Fuel

Communications

Overtime

Insurance premiums

Administration

Fleet size

Headcount

8.6%

13.3%

15.3%

6.7%

16.4%

8.25%

15%

Figure 5 Operational savings (VT users that have reduced costs)

Cost saving achieved Average reduction

In the main, businesses are satisfied with their vehicle tracking

partner, with 83% saying they are happy with the service and

technology provided by their current supplier. In fact, more

than three quarters of those using vehicle tracking have only

used a single provider to date. (Fig 6)

However, more than one in five fleet operators have used

multiple providers with some having switched as many as five

times. Of those that have used more than one tracking

company, 60% have changed in the past two years, whilst a

further 32.5% have switched in the last three to five years.

There are a mix of reasons for businesses changing their

tracking partners, with the most common being linked to poor

service delivery (37.5%). Other reasons included cost (15%),

functionality (15%), supplier went out of business (15%) and

technology (12.5%).

Meanwhile, when asked about the reputation of the vehicle

tracking industry, 70% of all respondents thought it was good.

Despite this seemingly positive perception, more than 40% of

those not using tracking technology disagreed and believed

the sector overall had a poor image. The main reasons for this

was the financial viability of providers (34%), reliability (25%),

overselling (21%) and credibility of technology (18%). (Fig 7)

3 Vehicle tracking industry

74% 26%

57% 43%

70% 30%

VT user

Non-VT user

Overall

Figure 6 Number of tracking partners used (% of VT users)

Figure 7 Reputation of vehicle tracking industry (%) Good

Bad

177.7%

2–318.5%

4–53.3%

>50.5%

28%

10%

17%

28%

15%

No benefits

Meeting tender requirements

Reduced environmental impact

Improved duty of care

Reduced accidents

39%Added understanding of driver behaviour

35%Increased security

33%Proof of delivery or completion of work

20%Greater business insight

26%Improved customer service

25%Enhanced workflow management

35%Increased productivity

39%Reduced costs

Figure 9 Potential benefits of vehicle tracking (%)

The respondents outlined a range of reasons that were

preventing them from adopting vehicle tracking with almost

30% claiming it did not meet business or operational needs.

Other reasons include lack of budget (18.8%), too expensive

(8.7%), need for more information (8.7%) and employee

concerns (5.8%).

Despite reluctance amongst some fleet operators, 57%

believed that vehicle tracking did offer return on investment

and 86% were familiar with the benefits the technology can

achieve. When asked how vehicle tracking could help their

fleets, the respondents gave a range of benefits, with

reduced costs, increased productivity, enhanced security and

added understanding of driver behaviour coming out top.

(Fig 9)

Amongst those respondents not using vehicle tracking within

their fleet operation, 64% had previously considered using the

technology and 51% believed that it could benefit their

business. This split in the perceived value of vehicle tracking is

further underlined by the expected timescale for the

adoption of the technology. Almost 45% of these respondents

thought they would implement a tracking solution within two

years, whilst just under 50% had no plans to do so in the next

five years. (Fig 8)

4 The non-adopters

23.1%

21.8%

5.9%

21.7%

27.5%

<1 year

1–2 years

3–5 years

>5 years

Never

Figure 8 Timescale for adoption of vehicle tracking (%)

5 Related fleet issues

Unsurprisingly, the biggest problem facing fleet operators

currently is fuel costs, with 83% of respondents highlighting

this as a key challenge to their business. This was followed by

operational cost cutting, which was a concern for half of the

respondents. (Fig 10)

The difficult economic climate has had a mixed impact on

fleet operations with more than half believing it has had a

negative impact. In particular, only 15% had seen their fleet

budget increase during 2011, with the remainder

experiencing a reduction or staying the same. However, 46%

of respondents overall thought telematics could help them

overcome the challenges caused by the downturn, although

this percentage dropped dramatically amongst those not

currently using vehicle tracking to just 26%. (Fig 11)

Figure 10 Key fleet challenges (%)

10%

6%

7%

Fleet-related tax

12%

20%

17%

Vehicle accidents

4%2%2%

Skills shortage

6%

27%

21%

Service levels

6%

7%

6%

Reduced headcount

10%

9%

9%

Reduced investment

45%

52%

50%

Operational cost cutting

26%

15%

18%

Environmental impact

10%

23%

20%

Speeding & parking fines

4%7%

6%

Hijacking & theft

20%

21%

21%

Working Time Directive

6%

7%

7%

Road & congestion charging

Non-VT userOverall

VT user

13%

18%

17%

Congestion

86%

74%

83%

Fuel costs

Yes

No

Increased

Decreased

Stayed the same

Do you think your telematics systems could help you to overcome thefleet challenges created by the financial crisis and economic downturn?

50% 50%

28% 72%

46% 54%

VT user

Non-VT user

Overall

What has happened to yourfleet budget in 2011?

25% 23% 52%

26% 29% 45%

25% 25% 50%

VT user

Non-VT user

Overall

Has the financial crisis and economic downturn had anegative impact on your fleet operation?

53% 47%

54% 46%

53% 47%

VT user

Non-VT user

Overall

Figure 11

6 Breakdown of respondents

info@ctrack.co.ukwww.ctrack.co.uk

Logistics & roadtransport

Servicemanagement Utilities Facilities

managementLocal

authorities Construction Manufacturing

Figure 12 Size of fleet (%)

33.7%

29%

32%

1–10

24.5%

21.7%

23.6%

11–25

13%

5.8%

11%

26–50

13.6%

14.5%

13.8%

51–100

4.9%

4.4%

4.7%

101–250

3.8%5.8%

4.3%

251–500

3.3%5.8%

3.9%501–1000

3.3%13%

5.9%

1000+

40%

72%

49%

Car

76%

64%

72%

Van

52%

32%

47%

Commercial vehicle

7%

6%

7%

Trailers

10%

1%8%

Plant

1%4%

2%Other

Figure 13 Fleet make-up (%)

Figure 14 Sector breakdown (%)

Non-VT userOverall

VT user

Non-VT userOverall

VT user

Non-VT userVT user

9.1%

3.6%

10.7%

4%

5.9% 5.5%

2.8%

5.5%

19.8%

3.6%

7.5%

3.2%

5.5%

4.3%

1.2%1.6%

3.6%

Sales &marketing

Telecoms & IT Other

A diverse mix of fleet decision makers

and influencers were surveyed across a

wide range of fleet sizes, vehicle types

and industry sectors. As a result, the

Ctrack Vehicle Tracking Survey 2011 has

been able to provide useful insight into

the uptake and use of vehicle tracking

across a broad cross section of the fleet

and road transport sectors. (Figs 12, 13

and 14)

0.8%

0.8%