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Vehicle Tracking Systems: 3 Key Benefits

Updated on July 30, 2014

Web based GPS Vehicle Tracking System

Crystal Ball's Web Based Vehicle Tracking System
Crystal Ball's Web Based Vehicle Tracking System | Source

Diagram of how GPS tracking works

How GPS Tracking Works
How GPS Tracking Works | Source

What is Telematics?

Telematics is... "any integrated use of telecommunications and informatics" - Wikipedia.
Telematics includes but is not limited to the use of Global Positioning System or GPS technology. And it is this area of Telematics that we are going to focus on in this article.

I already own a Sat Nav, do I really need vehicle tracking?

If you currently own a car and aren't a lover of paper maps, you may have opted to purchase a satellite navigation systems or be lucky enough to have one built in to your car already. These systems use GPS to plots your vehicles position and advises you on the most direct route to take to reach your destination. These are generally aimed at the consumer market.

The Vehicle Tracking Systems that this article refers to, uses the same GPS location technology. But its use is not limited to just giving the drivers of the vehicle routing information.

Instead these systems can give management key data about the activity of their fleet in real time as well as report on historical activity. This data gives companies much greater visibility and control over the running of their businesses.

What type of data is sent back?

A very basic vehicle tracking systems tend to send your vehicles location, speed and heading. But advanced tracking devices can report back on much more, as they can plug into a vehicles on-board electronics system and pull information from tyre pressure, to fuel consumption, to doors being opened and closed and even the temperature levels inside of refrigerated vehicles.

How is this vehicle tracking data used?

This data can then be presented in the form of management dashboards and reports that give fleet and operations managers the ability to make key decisions in real time.

More importantly this data is being employed by businesses to gain greater visibility of their remote workforce. In turn this allows them to improve productivity & customer service levels, reduce costs and CO2 emissions and increase their overall profitability.

Data Dashboards

Key Benefit 1: Rich Business Intelligence

Running a business that requires a large proportion of your workforce to work remotely, used to mean that you sacrificed a large degree of visibility and control over business performance.
But with the rich business intelligence data that vehicle tracking solutions are now able to provide, companies know the exact status of their workforce and can bench mark performance against industry standards.

Most vehicle tracking solutions provide this data in its raw state, downloadable in excel file format for additional data mining, and at a higher level display the vital metrics that are important to key management in the form of online data dashboards.

Idling wastes fuel and harms the environment


Key Benefit 2: Fuel Savings

With the ever rising cost of fuel, the need to conserve the amount of fuel fleets use, has never been so paramount to the success and profitability of your business, especially if you work in a field services industry where yearly fuel usage can be your biggest overheads.

Even without driver behaviour solutions in place, a well implemented vehicle tracking solution with good communication and feedback to the companies drivers, can have a very positive and immediate impact on reducing fuel consumption.

In Car Coaching


Key Benefit 3: Improved Driver Behaviour

In recent years the addition of driver behaviour data capture and incar feedback devices have dramatically increased the amount of savings companies can make.

It works by reporting on the individual driving styles of each employee.
This normally includes events such as harsh acceleration, harsh breaking, harsh corning, RPM , speeding events and idling.

Most vehicle tracking systems plot this data against a benchmark figure, flagging those drivers who's scores fall below this figure. Management teams can then provide additional training to help these drivers improve on their driving style.

Onboard Correction Aids

Some driver behaviour systems implement a live feedback device inside of the vehicle. This normally comes in the form of a traffic light device or audio buzzer that indicates to a driver when they have performed a harsh maneuver. The continual reminders act as a training aid, eventually correcting any poor driving habits over time.

The benefits of reducing bad driving behaviour come in the form of overhead savings on fuel and the wear and tear of tyres, breaks and suspensions, which across a large fleet of vehicles can be substantial.

City of London imposes fixed idling penalties

City of London Impose a £20 & £40 fixed fine for vehicles left idling.
City of London Impose a £20 & £40 fixed fine for vehicles left idling. | Source

Key Benefit 4: Reduce Your Carbon Footprint

In the current climate, corporate responsibility is incredibly important and most organisations understand their need to reduce the amount of harmful pollution their businesses generate.

By improving your drivers behaviour, not only do you benefit from reducing your overheads, you also benefit from a positive knock on effect from the reduction in idling.

Needless engine idling pumps CO2 into the atmosphere via a vehicles exhaust fumes and it has been proven that the implementation of vehicle tracking & driver behaviour solutions can help to dramatically reduce the amount of time a driver spends idling. Allowing your business to reduce your carbon footprint and meet your companies environmental responsibilities.

Improved accountability with digital audit trails


Key Benefit 5: Improved Customer Service

Over the years as technology has evolved, the distribution of products and services has become incredible efficient. This has made our lives a lot easier and reduce downtime for business and consumers alike.

However that has meant that we've now become accustomed to these higher levels of service, demanding them as standard in most cases. Which in turn puts pressure on the logistics managers and operations directors of these service industries to make sure their efficiency is keep at this high level.

And in most cases it can be the deciding factor as to why businesses win or lose customers.

Vehicle Tracking can be used to help improve your businesses customer service in a number of ways:

Giving customers visibility

Ever had to wait in for delivery that gives you a large window of time for that delivery to arrive? Well potentially these waits could be a thing of the past, with vehicle tracking solutions able to send text and email messages to customers when a vehicle passes into a Geofence placed around the delivery location.

Responsive to change

Should a customer ring to cancel an appointment or delivery at the last minute, vehicle tracking gives the manager the ability to quickly react by evaluating all outstanding jobs and matching which job is located closest to the driver who's job has been cancelled.
Improving the service response time for the customer and making sure there driver wastes as little time as possible from the cancelled job.

Competitive Advantage

These are just a couple of ways that your company can improve communication and processes to offer your customers a better level of services. But invariably it is these small enhancements to your service that can keep customers happy and loyal and win new business from your competitors who can't offer this level of service.

Would your company benefit from vehicle tracking?

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Does you company currently use a vehicle tracking system?

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List of companies that develop vehicle tracking systems

Basic Vehicle Tracking
With Driver Behaviour
Mobile Phone Tracking
Crystal Ball Ltd
Digicore (Ctrack)
Navman Wireless
Remote Asset Management
Road Angel
TomTom Business
If your company is missing or this data in this table is wrong, please leave a comment below and I will ammend/update this list.


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    • profile image


      2 years ago

      Will it helps me to start my own tracking company with unlimited vehicles ?

    • profile image


      2 years ago

      Letstrak : The complete fleet and vehicle tracking and security system with the most advanced features out there. Head over to :

    • profile image


      2 years ago

      The best which I found is

    • profile image


      2 years ago

      i have an account with, makes my life easier.

    • profile image


      2 years ago

      Very interesting article. For my car protection I use this vehicle tracking system


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