GPS Tracking Device Market

Market Overview

The global GPS tracking device market size was worth USD 2,192 million in 2021. It is expected to be valued at USD 6,378 million by 2030, growing at a CAGR of 12.6% during the forecast period (2022–2030).

The global positioning system (GPS) is a cluster of satellites that enables highly accurate positioning, navigation, and timing (PNT) measurements worldwide. As one of the earliest satellite positioning systems, GPS has become an indispensable component of international work. GPS provides precise location data of a car, piece of equipment, or person. Tracking devices that use GPS transmit satellite signals decoded by a receiver. These receivers monitor the exact location of the device and calculate its travel time and speed.

Increased demand for IoT & cloud technology and a surge in commercial vehicle sales are the primary factors propelling the GPS tracking device market. The global GPS tracking devices market also benefits from the presence of numerous established players. With extensive technical and financial resources, vendors of GPS tracking device technologies are expected to gain the upper hand over their rivals because they can meet market demands.

Market Dynamics

Market Driving Factors

Growing Market of IoT and Cloud Technology to Boost Market Progress

The GPS tracker, devised with modern technology such as IoT and cloud technology, enables it to serve a variety of applications. GPS trackers are embedded with electronics and internet connectivity, transforming them into intelligent devices and objects that can connect to the cloud, be remotely controlled, and communicate with one another. Consequently, the growing demand for IoT and cloud technology fuels the expansion of the GPS tracking market.

Improved Sales of Commercial Vehicles to Aid Market Growth

The growth of the GPS device market is fueled by the device's durability and increased use in commercial vehicle tracking systems. As the retail sector expands, GPS tracking devices can detect vehicles that use GPS to track their precise location. This increases the necessity of monitoring for safety and efficient operation. Consequently, numerous commercial vehicles are equipped with GPS systems. Accordingly, the sale of commercial vehicles increases, stimulating the market for GPS tracking devices. The increasing penetration of the e-commerce industry is also anticipated to increase the demand for GPS tracking systems in light commercial vehicles.

Market Restraining Factors

Environmental Factors Lead to Poor User Experience to Restrict Market Growth

GPS tracking gadgets are utilized to monitor an item or object. External conditions like dense trees, tall buildings, heavy cloud cover, and rain can weaken the GPS signal. Consequently, results or tracking are sometimes delayed. In many devices or systems, the GPS tracking unit requires a clear line of sight between the receiver and the satellite; otherwise, the signal may be degraded. Additionally, many vendors and manufacturers offer low-cost and low-quality GPS tracking devices to gain a competitive advantage, resulting in a poor user experience and low quality. These factors restrain the expansion of the GPS tracking device market.

Key Market Opportunities

Use of Digital Map and Other Technical Advances to Boost Market Opportunities

Digital map is experiencing drastic growth due to increasing internet subscribers and smartphone & portable device internet usage. The increasing use of digital maps drives the market for GPS tracking devices. Most autonomous vehicles have digital map systems for navigation and route planning. The recent advancements in digital maps, such as 3D maps, and the ease of understanding and locating a location are the primary growth drivers for the GPS tracking market.

The evolution of GPS tracking device technology and software is anticipated to spur market expansion. Technological advancements such as real-time tracking and information retrieval are possible using software, distance calculations, and other methods. Increased software upgrades and improvements in GPS tracking devices have increased the devices' ease of use and efficacy, driving the market for GPS tracking devices forward.

Regional Analysis

Region-wise, the global GPS tracking device market is analyzed across North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.

Which Region Accounts for Most Demand for GPS Tracking Device?

Asia-Pacific will likely command a massive market share during the forecast period, growing at a CAGR of 13.5%. Asia-Pacific is one of the fastest-growing markets for GPS tracking devices. Nations such as Japan, South Korea, China, and India have been identified as potential markets. The remaining Asia-Pacific nations are comprised of small, emerging markets. Emerging nations such as India, China, and Japan are advancing technologically, boosting the market. Expanding rollout of GPS technology in smartphones, tablets, networking devices, IoT devices, and connected vehicles will contribute significantly to the global market's revenue during the forecast period. Increasing urbanization, particularly in Asia's developing nations, is increasing the demand for navigation, tracking, and security, driving the growth of the GPS tracking device market.

Europe is expected to hold the second-largest market share worth USD 515 million, growing at a CAGR of 8.5% during the period forecasted. The European region is among the most competitive markets for GPS tracking devices. GPS tracking helps to maintain control over assets and track their location. An increase in commercial vehicle sales and affordable price of tracking devices promote the growth of the GPS tracking market in the region. The region's country Germany is one of the world's largest economies; therefore, an increase in the higher income of people for expenditure on additional gadgets and expensive devices and its protection is expected to drive the growth of Germany's GPS tracking device market. Furthermore, key players operating in the GPS tracking device market aim to acquire local players to expand their geographical presence and strengthen their capabilities.

Segmental Analysis

The global GPS tracking device market is segmented by end-user, technology, and type.

Based on end-user, the global GPS tracking device market is divided into Automotive, Aerospace & Defense, Healthcare, Transportation, and Others.

The Transportation segment is expected to hold the largest market share, growing at a CAGR of 10.6% during the forecast period. GPS monitors the location, gas consumption, driving behavior, and engine condition of the driver, passenger, and vehicle to ensure their safety. Also, GPS tracking allows the production of logistics mobility solutions to assist the individual in controlling and monitoring fleet vehicles and the workforce. With GPS monitoring, one can watch for any driver misconduct.

GPS tracking technologies are typically used in taxis, buses, trains, and other private and public transportation modes. A growing focus on the safety and security of vehicles and passengers drives market expansion. The Ministry of Road Transport & Highways mandated in 2021 that all oxygen-transporting cars be equipped with a GPS tracking device for proper monitoring and protection, thereby preventing any diversion or delay in the process.

Based on technology, the global GPS tracking device market is divided into Standalone Trackers, OBD Devices, and Advance Trackers.

The Advanced Tracker is expected to hold the largest market share, growing at a CAGR of 14.9% during the forecast period. The superior tracker features GPS aligning and GSM connectivity. The device's coordinates and other information are provided by an advanced tracker, allowing for improved tracking. It employs cross-channel measurement and is equipped with a rechargeable battery and GSM jamming detection algorithms for improved functionality. An advanced tracker enables remote objects such as trucks, cars, and ships to be tracked quickly and easily. It has an easily configurable interface and provides users with advanced alerts, allowing them to proactively address significant challenges or problems. It also includes a microphone so the user can monitor the conversation. It features an integrated motion sensor for movement and towing detection.

Based on type, the global GPS tracking device market is divided into Data Loggers, Data Pushers, and Data Pullers.

The Data Pushers segment is expected to hold the largest market share, growing at a CAGR of 14.1% during the forecast period. Data transmitters are also known as GPS beacons. GPS pushers stockpile and analyze data in real-time for tracking, and their primary application is in the security sector. They aid in pinpointing the location of any object or person and are simple to use and install. Data pushers are the most common GPS trackers used in asset tracking, personal tracking, vehicle tracking, and other applications. Data pushers monitor the device's location and other data such as speed and altitude. It operates in real-time. These are utilized to facilitate life or transactions for commercial and individual users.

Recent Developments

• 2022- Meitrack Group partnered strategically with Toyota and Microsoft on a socially valuable IoT project that uses AI, IoT, and vehicle-to-everything technologies.
• 2022- Meitrack Group released its first AI four-channel mobile DVR MD500S.
• 2022- Meitrack Group announced the release of the basic 4G vehicle tracker T711L.
• 2022- Sierra Wireless announced the launch of its next-generation radiofrequency optimized 5G module.