There is no doubt that vehicle tracking systems are becoming popular across a wide range of industries, including logistics and manufacturing, taxi companies, and courier services. When running a business, knowing where your fleet vehicles are and how they are being driven makes all the difference to your productivity.
Even though vehicle tracking software can save your organization time and money, it remains an important question to ask - how much does vehicle tracking solutions cost? The truth is, there is no easy solution. The cost of fleet tracking systems is affected by numerous factors. To guide with the estimated cost and factors affecting the cost. We have shared the dedicated article focusing primarily on the estimated cost of vehicle tracking solutions.
What is a vehicle tracking system?
Vehicle tracking solutions is the type of software system that grants transportation and logistics companies to keep real time tracking of trucks and several other vehicles. By integrating GPS to the Vehicle tracking solutions, you can provide real time information to businesses.
Types of Vehicle Tracking Solutions
Vehicle tracking solutions goes beyond single software. It comes in several types with a reasonable price tag. Here is the list of three most common type of vehicle tracking system:
GPS Tracking Devices.
Vehicles are equipped with these devices, which transmit location information to a central server. In most cases, the hardware is purchased upfront, and the monthly subscription is paid monthly.
Mobile Apps
Smartphone and mobile apps are an essential component of some tracking solutions. Typically, these are less expensive since no specialized hardware requirements exist, but subscription fees may still apply.
Telematics Systems
Telematics system is another crucial type of vehicle tracking systm that allows you to track various metrics which may include fuel consumption, health of the engine, driver behaviour and various other metrics that ease the vehicle tracking. At first it may seem like an expensive measure but is most crucial in getting you well informed data about the vehicle.
Cost of vehicle tracking system in 2023
There is no specific answer to the costing of vehicle tracking and fleet management systems. Still to get a bit of idea, the estimated costing can begin from $50 and can range upto $300. For integrating advanced features in a vehicle management system, you are expected to pay a higher price.
The costing is not that hectic as it will be worth you time and time especially for those who are managing multiple vehicles. Always consider the features and capabilities and they are the root cause of success of vehicle tracking system.
What Factors Influence the Cost of Vehicle Tracking System?
GPS tracking costs are affected by various factors, which are essential to consider. Several factors can influence this expense, including:
Activation and installation
If you don\'t know how to install it yourself or set up any software applications, a professional fleet manager or a GPS tracking company will have to install, set up, and activate each GPS tracker.
The costs of setting up, installing, and activating GPS fleet tracking systems differ from company to company. In this case, you may benefit OR see the monthly fees increase. When choosing a fleet tracking system, compare GPS trackers and companies and do the calculation.
Costs associated with hardware
Tracking solutions have a significant impact on the hardware costs. A GPS tracking device, for example, requires physical equipment to be purchased and installed in each vehicle. Costs vary according to the device\'s features and quality. Trackers can range from $50 to $100 per unit for basic models but can cost anywhere from $200 to $1,000 or more for advanced models.
Features
Features are the backbone of vehicle tracking software that allows businesses with the capabilities to manage the delivery of each goods. However, feature is the crucial segment that determines the price of vehicle tracking software.
Feature rich vehicle tracking software grants fleet managers access to their vehicle location. Using geo-fencing technology in tracking systems allows managers to receive notifications when a vehicle enters or exits a preset area.
Consider additional features when choosing a GPS tracking system for your fleet, including:
- The monitoring of driver behavior (e.g., harsh braking, speeding)
- The creation of virtual boundaries through geofencing
- Alerts and scheduling for maintenance
- Tracking the consumption of fuel
- Payroll integration, accounting integration, etc.
This data is helpful when it comes to preventing fleet damage, training drivers, and managing fleets effectively. Considering the benefits associated with fuel savings, vehicle maintenance, administrative tasks, and driver behavior is essential. For forecasting and scaling purposes, this type of data could be helpful to a company both short-term and long-term.
Generally, the more features a system offers, the more it costs. Identifying which features are necessary for a business should be based on their needs.
Integration capabilities
Integrating the tracking solution into your existing infrastructure may require additional costs if other business systems, like payroll or inventory management, need to be integrated. Depending on how complex your integration is, these costs can vary a lot.
Training and support
Ensure the tracking solution provider offers customer support and training. Other providers may charge extra for training and support, while some include these services in their subscription fee. Your team must receive adequate training before using the system.
Conclusion
There is no one size answer to the cost of vehicle tracking software. It depends on factors that like features, installation cost, etc. to get a clear overview of the cost of a vehicle tracking system.
To choose the best software vehicle tracking solution for business, you need to understand your business needs, access your budgets and achieve long-term goals. Carefully analyzing costs and benefits will help you make an informed decision.