Fleet Operators is a group’s business, government agency, or other organization that has leased motor vehicles. The vehicles operated by car rental companies, taxicab companies, public utilities, public bus companies, and police departments are examples of fleet operators. Many businesses and organizations purchase or lease fleet vehicles to deliver goods to customers or for sales representatives to travel to clients. The fleet vehicle is that vehicle that is privately owned by employees, or on novated leases, and used for work purposes; this is called the grey fleet.
The India fleet operators market estimated to grow at a significant CAGR during the forecast period. The growth of the market is based on the rising industrialization that leads to demand for a large number of heavy commercials vehicles for large-scale transport and shipment of goods and services across the world. Additionally, the growing technological advancements such as vehicle-to-vehicle connectivity and the rising efforts by automotive OEMs to develop and introduce autonomous vehicles on the road will spur the Indian fleet operators’ market size in the upcoming periods. Further, the rise in demand for connected vehicles and smart transportation concepts integrated with partnerships with production facilities are projected to fuel the growth of the India fleet operators industry in future periods. The fleet operators provide hassle-free mobility, on-demand mobility, and fleet after-service facilities, among others.
Moreover, the mounting sales of vehicles in the retail segment would propel the robust growth of the India fleet operator market share in the analysis periods. Also, with the increasing popularity of electric vehicles and the increase in e-commerce and last-mile deliveries will augment, the expansion of the market will continue to grow. The daily vehicle operations require real-time interconnection, so demand is entirely different from ordinary consumption. The smart car is deeply integrated into the vehicle’s electrical architecture and adds cloud data services. Further, the entry of major companies into fleet management and service business and growing government investments in the fleet operators are estimated to trigger the growth of the market in the upcoming periods. The growth in the automotive sector, increasing awareness about the rental fleet’s advantages, and rapid expansion of the shared mobility and food and beverage will augment the growth of fleet operators in the coming years. The changing emission norms across the country lead to the replacement of older vehicles fleet with newer ones, and the emphasis on reducing the traffic congestion in the metro cities positively impacts the growth of the market.
The pure electric vehicles’ built-in intelligent technology can optimize fleet operation efficiency, reduce losses, and provide drivers with valuable work reports, thereby improving driving behavior. The fleet can collect insight data and interconnect with 4G LTE wireless hotspot function, supporting up to 10 devices to simultaneously access high-speed wireless networks. Managers can also use the tool to track vehicles in real-time on maps, set up geofencing or remotely detect vehicles, and view vehicles and drivers’ key data.
Based on the type, the India fleet operators market bifurcates into four-wheeler and two-wheeler. The four-wheeler dominated the India fleet operators’ market with the highest market share in 2019. The growth of the segment can be attributed to the surge in demand for low commercial vehicles for last-mile delivery and increasing demand for the car in riding services in metro cities.
The two-wheeler will witness steady growth in the coming years due to the growing demand for two-wheeler bikes for providing riding services in India’s tier-I cities.
Based on the application, the India fleet operators market segregated into taxi/cab, food delivery, load carriers, and packers and movers. The load carriers segment accounted for the major market share in 2019. It is due to the rapid pace of industrialization and the rise in heavy-duty trucks’ leasing for the transport of materials and services across India. Additionally, the growing applications of leasing heavy trucks for last-mile delivery of products across the states of India.
The packers and movers will grow at a significant rate in the forecast period. It is due to the increase in demand for packers and movers to provide end-to-end packing and moving services such as residential shifting, vehicle shifting, and even office shifting services.
Based on vehicle type, the India fleet operators market segmented into an electric vehicle, light commercial vehicle (mini trucks, vans, and pick-up), heavy commercial vehicle, and passenger vehicles. The light commercial vehicle segment accounted for the largest market share in 2019, attributable to the growing application of light commercial vehicles for transportation of food and beverage, textiles, and small e-commerce products.
The passenger vehicle segment will grow at a substantial rate during the forecast period due to the mounting demand for passenger cars, the large population, the increasing per capita income, and the rise in income levels of consumers.
Based on geography, the India fleet operators market segmented into North India, South India, West India, and East India. North India estimated to grow at a CAGR higher during the forecast period, 2020-2027. It is owing to the rapidly increasing demand for fleet vehicles for the transport of goods & services in the region and the developed economies in this region, which promote the maintenance and management of automotive fleets.
South India occupied a prominent share of the Fleet Operators market due to the growth of e-commerce and the surge in the trade in the region, leading to the improved distribution system.
Companies such as Uber, Ola, Agarwal Packers and Movers, Delhivery, DHL, Grofers, BigBasket, Om Logistics, Gati and others, are the key players in the India fleet operators market.
By Vehicle Type