Fleet management software isn’t easy to build, and it certainly isn’t easy to sell. For big and small fleets alike, integrating with a new product means taking risks. At the prospect of outfitting their whole fleet with a new technology and educating fleet managers and drivers on how to use it, many fleet owners become hesitant and think twice before they convert into paying customers.
This is why cost is incredibly important for fleet management software products. With lower upfront costs and smaller monthly SaaS fees, fleet owners are more willing to take the risk of trying out a new fleet management software product, and they are more likely to keep using the product for a long time.
When looking at the cost that fleet management software companies have to account for, one factor is particularly striking: aftermarket hardware. Unlike other SaaS companies, many fleet management software businesses need to bear the cost of acquiring, shipping, installing, and maintaining telematics devices.
At Smartcar, we have built an API solution that eliminates the need for telematics devices. It instead allows mobile and web apps to retrieve location, odometer, and other information vehicles using straightforward API requests. Our technology is not only easy to use and to integrate with, but it also helps fleet management software companies reduce cost while positively impacting their pricing and profits.
Here is how our customers have benefitted from using the Smartcar API:
APIs can be used without any upfront purchasing costs. Fleet management software businesses don’t have to ask their customers to pay large amounts of money upfront or to sign finance plans. Customers aren’t locked into long-term contracts to amortize aftermarket hardware costs. Instead, they benefit from flexible month-to-month contracts that are easier to negotiate and sign.
For fleet management software businesses, even small fees add up to large expenses. When a business is serving large fleets all over the country, shipping aftermarket hardware to customers is a large financial and logistical pain point. By taking advantage of embedded telematics already present in vehicles, companies no longer have to worry about shipping hardware to their customers.
Similarly to shipping hardware, installing the devices in every new fleet vehicle is a large pain point for many fleet management software companies. Businesses have to contract out work to local installer networks in every region, or they have to educate fleet managers on how to install the devices themselves. When using APIs, it takes only a few seconds to onboard new vehicles from any mobile or web app. This saves fleet management software companies time and money while making their customers more satisfied.
After a fleet management software company has signed a contract and onboarded their customer’s fleet to an API solution, there are no maintenance costs to be taken care of. Without telematics devices, there is no need to replace batteries or to replace damaged or failing hardware. This allows fleet management software companies to keep their monthly SaaS fee low and to retain customers for longer.
By eliminating the use of telematics devices, fleet management software companies make large savings while offering more attractive pricing for their customers. Fleet management software companies that use Smartcar’s API have been able to acquire customers more easily and increase user satisfaction, thus growing their business and profits overall.