GPS Tracker Market Could Increase $2.13 Billion by 2028
Increasing Demand for Fleet Management System to Boost the Market Growth
The global GPS tracker market size is estimated to grow by $2.13 billion from 2024-2028, according to a new report from Technavio. The market is estimated to grow at a CAGR of almost 19.09% during the forecast period.
Increasing demand for fleet management systems is driving market growth, with a trend towards increasing the number of strategic partnerships and acquisitions. However, growing demand for On-Board Diagnostic (OBD) dongles poses a challenge.
In the GPS tracker market, vendors are forging alliances with technology providers, certification firms, and software companies to broaden their reach, develop new products, and access advanced technologies. For example, CalAmp Corp.'s partnership with Assured Techmatics in June 2022 offers fleet operators guaranteed Apollo electronic logging devices, in addition to CalAmp's edge computing devices. Vendors are also acquiring companies in related sectors to gain access to their technologies and software for product enhancement. These actions are anticipated to boost market expansion throughout the forecast period.
The Global GPS Tracker Market is experiencing significant growth due to the increasing demand for real-time location tracking solutions. Route tracking, asset management, and personal safety are key applications driving market expansion. Companies are focusing on developing cost-effective and efficient technologies to cater to various industries such as logistics, transportation, and personal use. The market is also witnessing the integration of advanced features like geofencing, two-way communication, and real-time alerts. With the growing trend of IoT and connected devices, the GPS tracker market is expected to continue its upward trajectory in the coming years.
However, the market does face several challenges, including significant competition from the increasing adoption of On-Board Diagnostic (OBD) dongles. These devices, which connect to the OBD-II port of vehicles and offer features like diagnostics, roadside assistance, and geofencing, are gaining popularity due to their affordability and comprehensive functionalities. OBD dongles, which are GPS-enabled and communicate wirelessly, also include sensors for detecting driving patterns and road conditions.
As a result, they are increasingly preferred by both individual consumers and fleet owners, potentially hindering the growth of the GPS tracker market during the forecast period.
Additionally, logistics and supply chain management require real-time location tracking to optimize routes and reduce costs. However, ensuring accurate and reliable tracking in urban areas with dense building structures and satellite interference can be difficult. Additionally, ensuring data security and privacy concerns are addressed is crucial as GPS data can reveal sensitive information.
Furthermore, the cost of implementing and maintaining GPS tracking systems can be a barrier for smaller businesses. Despite these challenges, the market for GPS trackers continues to grow due to their numerous benefits, including improved efficiency, increased safety, and enhanced productivity.
Key market players include ArusNavi, CalAmp Corp., GalileoSky Research Scientific Association LLC, Geotab Inc., JSC Teltonika, Laipac Technology Inc., Meitrack Group, Michelin Group, Mielta Technologies, Navtelecom LLC, ORBCOMM Inc., Queclink Wireless Solutions Co. Ltd., Sensata Technologies Inc., Shenzhen Coban Electronics Co. Ltd., Shenzhen Eelink Communication Technology Co. Ltd., Shenzhen Jimi IoT Co. Ltd., Sierra Wireless Inc., Trackimo Inc., Traxbean Technology Ltd. Co., and UAB Ruptela.