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Telematics provider identifies top myths about the technology

Telematics provider identifies top myths about the technology

Fleet decision-makers view telematics technology positively - only 5% have a negative view - but 26% of businesses have had issues with insurance costs, and a further quarter have had problems with driver behaviour prior to the installation.  

The findings came in a survey of business owners, finance managers and fleet managers from sectors including fleet, construction, courier, transport and property that looked into attitudes towards telematics. 

The survey by Crewe-based Radius Payment Solutions was aimed at discovering the top five telematics myths. They were identified in the survey as:

“Driver efficiency is fleet managers’ top priority” - businesses using telematics might expect improvements in fuel efficiency to be the most important reason for installation. However, the research found that almost a third of respondents stated the biggest motivation was in fact for fleet managers to know where vehicles were and to track location in real time.        

“Telematics is too expensive” - of the companies which had not installed telematics, a third put the hesitation down to concerns over cost. However, the research found that of those who were using telematics, most introduced them as a cost saving measure (44%).

“Big brother is watching you” - following the installation of telematics, some fleet managers and drivers could have concerns they displayed a lack of trust akin to ‘Big Brother’. However, only 5% of those surveyed stated their drivers responded negatively to installation.  

“Drivers don’t know they are being tracked” - the research found that more than 90% of respondents made their drivers aware that telemetry was installed in their vehicles.

“Telematics doesn’t help fleet performance” - almost a third of fleets have had issues with monitoring where their vehicles are in real time before installing telematics, which has affected route planning, fuel consumption and cost effectiveness. As well as that, a quarter have had issues in the past with driver behaviour. Following the installation of telematics however, fleet managers can reroute drivers in real time, monitor their driving characteristics and find the most cost effective way to exact locations.

Tom Pickles, director for telematics at Radius Payment Solutions, which offers Kinesis, a telematics, cloud-based fleet management solution, said: “In the current climate, customers want an easy, affordable and holistic solution to manage their fleet. The statistics reveal that the vast majority of drivers are happy with the technology, and fleet managers are enjoying the benefits of reduced fuel and increased productivity.”