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How telematics can benefit passenger transportation

By Verizon Connect Team September 2, 2024

The passenger transportation sector is a crucial industry for the Australian economy. The Bureau of Infrastructure and Transport Research Economics (BITRE) states that an estimated 254 billion vehicle kilometres were travelled on Australia’s roads in 2022-23 (1).

According to research, the passenger transport industry is a fast-growing industry and the government will need to invest to help contribute to its expansion and help overcome one of the main challenges, which is road congestion. (2) 

The Australian government stated that the combined costs of road congestion and public transport overcrowding in Australia’s major cities are projected to reach $39.6 billion by 2031 (3).

Challenges such as fuel efficiency, competitive pressures, vehicle maintenance, labour costs, CO2 emissions, productivity, and customer service are always present for passenger transportation companies, but implementing a telematics solution such as fleet management technology can make a difference in these areas as well as simplify the shift to a sustainable transportation model.

Let’s dive into some important insights that show how telematics can help achieve sustainable passenger transportation:

Insight #1: Customer-centric culture for enhanced results

Transportation companies enhance customer loyalty and retention by delivering top-notch experiences, crucial for standing out from the competition and achieving business success. According to research, “various factors such as customer satisfaction, quality of service, customer experience, and customer relationship management” all play a part when it comes to customer preference (4)

Customer satisfaction can be influenced by service and product quality, brand loyalty, and company reputation (5), which is why fleet management technology can be a game-changer for companies. This technology can enhance customer experience by providing accurate ETAs, sharing near real-time locations of the technician or service booked, and involving customers in the process, giving them some control over it. It not only supports a customer-centric culture but also improves service quality, as evidenced by 58% of GPS fleet management users in the recent Fleet Technology Trends Report in Australia and New Zealand 2024.

Download the eBrief Advanced Fleet Management technology for Passenger Transportation and learn more about how businesses benefit from these innovative telematics solutions.

Insight #2: Route optimisation for an improved customer experience 

Vehicle fleets in the passenger transport sector must be prepared to react to possible road congestion that may result in long travel times, traffic jams, accidents, increased engine idling, fuel consumption, etc. This not only helps the company’s fleet to operate more effectively, but also has a positive impact on customer satisfaction.

In this sense, route optimisation software is a very helpful solution. Tracking operations via live maps and near real-time information on road conditions and closures allows the team to be quickly informed of any route changes. Safer and more efficient routes can then be chosen based on the company’s requirements.

In fact, 52% of GPS fleet management users in the passenger transport sector were able to improve their routes, which in turn improved the customer experience, helping to avoid unnecessary travel and also reduce fuel consumption.

Download the eBrief Advanced Fleet Management technology for Passenger Transportation and learn more about how telematics can be a game-changer in key areas for these companies.

Insight #3: Customers want a safe and smooth ride 

One of the fundamental pillars of a company’s reputation lies in its safety standards. That’s why it’s essential for passenger transportation companies to provide a safe, convenient, and high-quality service. To achieve this, it’s crucial to have control over both driver behaviour and vehicle maintenance. A GPS fleet management solution can prove invaluable here as it enables:

  • Monitoring of the team’s driving habits to implement measures that promote safe and efficient driving practices. This helps to reduce various forms of aggressive driving behaviour, such as speeding. The Road Sense Australia Organisation states that speeding is the number one cause of car crashes, followed closely by distracted, tired and drunk driving (6). According to BITRE, “from January to December last year 1,266 people were killed on Australian roads. This is a 7.3% increase compared to the previous year” (7), meaning keeping a close eye on the team’s driving definitely makes sense to try and prevent car crashes.
  • Effective vehicle maintenance by combining both preventive and predictive approaches. By monitoring engine hours and mileage, and promptly addressing any arising needs, companies can reduce significant and costly repairs, as well as vehicle downtime in the workshop.

Another pillar of safety in the case of long-distance passenger transport is compliance with driving times and rest periods, as these are crucial to ensure the safety of both driver and passengers.

Consider the role of long-distance bus drivers. Fighting driver fatigue is very important. According to the Australian Automobile Association (AAA), around 20%-30% of all vehicular crashes in the country are caused by fatigued drivers (8).

By using fleet management technologies, this enables operations to be monitored remotely, almost in real time, and to check on driving hours and rest periods. Integrating a fleet management solution with an NVHR-accredited electronic work diary (EWD) can replace the need for a paper diary, ensuring records are kept up-to-date in real time.

We offer fleet management solutions designed to boost safety and service quality for passenger transportation companies. By enhancing these areas, your business can distinguish itself from competitors who do not use these advanced technologies, potentially transforming safety and improving customer service.

The future of passenger transportation is now

Passenger transportation companies in Australia are poised for significant growth in the coming years due to increasing demand. Therefore, proactively positioning your company in the market and setting it apart from competitors can be highly advantageous.

Learn more about how beneficial an advanced fleet management solution can be for your company and find out how our platform gives you the visibility you need for your business.

Sources Australia: 


Verizon Connect Team

The telematics industry is moving at a fast pace. With new developments, use cases and feature sets emerging every day, it can be challenging to make the right decision for your fleet business. Verizon Connect Staff is conceptualized to be a partner for your business and help you make smart choices based on useful content.


Tags: Cost Control, Productivity & Efficiency, Routing, Safety

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