Geotab’s 2024 State of Commercial Transportation Report reveals a global commercial transportation industry undergoing significant transformation, shaped by technological advancements, economic pressures, and a growing emphasis on sustainability. The report, based on extensive data analysis from over 4 million Geotab subscriptions worldwide, provides insights into the trends influencing the future of fleet management.
Promising results from increasing use of AI
A key trend highlighted in the report is the increasing prominence of artificial intelligence (AI) and data intelligence in fleet operations. Generative AI, in particular, is revolutionising the industry, enabling businesses to optimise various aspects of their operations. Geotab’s AI-driven solutions have shown a significant impact on fleet safety, with fleets using their integrated safety features experiencing a 40% reduction in collision rates.
Economic challenges, including rising fuel costs and global uncertainty, are putting immense pressure on fleet budgets. Businesses are increasingly turning to data-driven insights to identify cost-saving opportunities. Geotab’s report emphasises the importance of optimising routes, reducing idling, and adopting fuel-efficient driving practices to mitigate the impact of rising costs.
Sustainability: “Small steps for big changes”
Sustainability is another key theme in the report. With growing concerns about climate change, there is a heightened focus on reducing carbon emissions in the transportation sector. Geotab’s research indicates that many companies are adopting a “small steps for big change” approach to sustainability, setting realistic and measurable emissions reduction targets.
The transition to electric vehicles (EVs) is a central pillar of many sustainability strategies. While EV adoption is on the rise, Geotab’s findings suggest that the pace of growth has slowed in some countries, particularly Germany and Italy. This slowdown is attributed to various factors, including a lack of charging infrastructure, limited model availability, and economic concerns. The report also notes a global trend of light-duty trucks (LDTs) replacing medium-duty trucks (MDTs) in the United States, while the opposite is happening in Europe.
As the average age of vehicles in commercial fleets increases, so does the need for effective maintenance strategies. Geotab’s data reveals a steady rise in the average age of vehicles across all categories, underscoring the importance of preventative and predictive maintenance to ensure the safe and efficient operation of ageing fleets.
Still room for improvement in fuel economy
The report also provides insights into fuel economy trends across different vehicle classes. While heavy-duty trucks (HDTs) have slightly improved their fuel economy, there has been a general increase in fuel usage for other vehicle classes, indicating potential areas for improvement.
| Vehicle Class | MPG (2022) | MPG (2023) | % Change |
| Passenger bus (Bus) | 7.7 | 7.6 | -0.1% |
| Heavy-duty trucks (HDT) | 6.4 | 6.6 | 0.2% |
| Light-duty trucks (LDT) | 15.1 | 14.5 | -0.6% |
| Medium-duty trucks (MDT) | 10.0 | 9.7 | -0.3% |
| Multi-purpose vehicles (MPV) | 19.0 | 18.3 | -0.7% |
| Passenger vehicles | 33.5 | 31.4 | -2.2% |
These findings highlight the importance of monitoring fuel economy and implementing strategies to improve it, such as reducing idling, moderating driver behaviour, optimising routes, and transitioning to EVs.
The report also delves into idling trends, revealing variations across different countries. While the US and Canada showed reductions in idling time, Germany, the UK, and Mexico experienced increases, indicating opportunities for further optimisation of sustainability efforts.
Usage patterns influenced by vehicle purpose
Furthermore, the report examines how a vehicle’s purpose (vocation) influences its usage patterns. For instance, long-haul trucks consistently drive longer distances compared to other vehicle types, underscoring the importance of tailoring fleet management strategies to specific vocations.
Advanced safety systems
Geotab’s research also notes a positive correlation between the adoption of advanced safety features (such as in-cab coaching, collision reconstruction, and driver safety scorecards) and a reduction in collision rates. This underscores the potential of technology to improve fleet safety.
Photo credits @ Flickr/ Brian Wotherspoon CC BY-NC-SA 2.0 (illustrative purposes only)