The head of V-SOL vehicle tracking has issued a warning against the low-cost pricing structures which he says are increasingly being used in the telematics industry, claiming the true value of the service is no longer being recognised by customers.
“Over the past four to five years pricing rather than performance has become the main selling tool and tracking technology is now too cheap,” said David Isom, who launched V-SOL in 1997.
“As a result organisations in all markets fail to see the true value of the tracking services now available.”
Vehicle tracking currently available from as little as £0.25 per day, and there is as a growing trend for pay as you go solutions. Isom reckons that the industry is in danger of positioning itself as a low-cost business partner with no real value placed on the service and expertise it can offer.
“As an industry we need to develop greater awareness of what our technology really offers, and the positive impact a quality system can deliver on business performance. If we continue pricing ourselves too cheaply nobody will take us seriously, and that can only result in a weakened telematics industry in the future.”