Why car rental firms need telematics to upstream their revenue?
In today’s world of connected vehicles, rent-a-car companies are no longer renting cars but providing a mobility solution. We can see a drastic shift when the millenniums embraced the idea that instead of owning a car they prefer to opt for a rented car.
Depending on the nature of operations, rental companies can classify their operations and assets into two categories I.e. on rental assets and off rental assets. On rental assets: This is the duration that begins with the hiring of assets and ends when it is returned or charged while off rental assets is the time during which assets are returned till they are ready to be hired again. The process can be monitored and operational efficiency can be enhanced with the implementation of telematics. The technology helps in identifying the assets being idle, maintainance schedules be met and when it is ready to be rented again. During this duration assets are not monetizing but revenues can be upstream and utilization of assets can be analysed.
Similarly rental companies deal with two business lines I.e., B2B (business to business) where fleets are rented and B2C (business to consumer) where vehicles are rented to individuals. When telematics is deployed in the rental sector, can be yielded by optimizing the existing operations and implementing new business models to improve the bottom line, based on the data insight provided by the telematics.
Eagle-I rental fleet telematics solution harnesses the data for rental fleets to serve as problem solving tool for fleet management. Real-time insight of the vehicle engine can be gathered via OBD data to ensure timely detection of any faulty codes. Alerts can be generated instantly to meet the maintenance needs. False insurance claims can be identified in case of road accidents and the incident can be reconstructed with the exact time and place of the crash, vehicle trajectory and dynamics, duration and distance of the journey, and the exact speed of the vehicle, Unauthorized vehicle use can be reduced with driver identification besides this, vehicle abuse can be identified with Eagle-I driver behavior, to prevent the misuse of vehicle.
- Improving claim management and lowering total claim expenses
- Improving vehicle security and supporting law enforcement in the recovery of stolen cars
- Detecting drivers who abuse their automobiles and engage in criminal activity
- Transmitting vehicle location data.