More than three years ago on my website UK Telematics Online, I warned potential buyers of Vehicle Tracking systems to be wary of buying vehicle tracking via fixed contract leasing agreements. I said at the time; " Be aware that the Telematics Service Provider is often only the supplier of the goods; the actual rental agreement is often done through a third party. If you have problems with the product or service, you will not get a sympathetic hearing from the finance company if you decide to stop payments."
Many of the major players in the UK Vehicle Tracking sector have found the going difficult over recent months. Issues of increased competition, the economic downturn, and the lack of available credit for both SME's and the vehicle tracking industry in general, has contributed to the financial difficulties of all but a few of the so called "leading" vehicle tracking suppliers.
Customers of a recent industry casualty, Globallive, were reportedly shocked to receive demands for an increase in payments from the new owners or risk having the service terminated, despite having originally signed what they thought were fixed period and fixed cost agreements. The new owners, Causeway, were likely caught between a rock and a hard place and felt they had little option but to increase the charges. Even so, these customers can hardly have been overjoyed at the new arrangement.
Innovations such as Pay As You Go while welcomed by many, have been derided by some suppliers, perhaps keen to bolster a sales model, which while vital to their cash flow model, provides little or no security to the customer should the provider cease being able to deliver the service agreed.
Once again, potential buyers of vehicle tracking need to pay special attention to the ability of the telematics service provider to continue delivering the vehicle tracking service throughout the term of any fixed period agreement.
Regular topic and content updates are available here or shown now in full over at What are Vehicle Telematics and Vehicle Tracking?. on the UK Telematics Online website
For further advice on buying vehicle tracking systems, please visit the UK Telematics Online website http://www.uktelematicsonline.co.uk/html/buying_tips__vehicle_tracking.html
Many of the major players in the UK Vehicle Tracking sector have found the going difficult over recent months. Issues of increased competition, the economic downturn, and the lack of available credit for both SME's and the vehicle tracking industry in general, has contributed to the financial difficulties of all but a few of the so called "leading" vehicle tracking suppliers.
Customers of a recent industry casualty, Globallive, were reportedly shocked to receive demands for an increase in payments from the new owners or risk having the service terminated, despite having originally signed what they thought were fixed period and fixed cost agreements. The new owners, Causeway, were likely caught between a rock and a hard place and felt they had little option but to increase the charges. Even so, these customers can hardly have been overjoyed at the new arrangement.
Innovations such as Pay As You Go while welcomed by many, have been derided by some suppliers, perhaps keen to bolster a sales model, which while vital to their cash flow model, provides little or no security to the customer should the provider cease being able to deliver the service agreed.
Once again, potential buyers of vehicle tracking need to pay special attention to the ability of the telematics service provider to continue delivering the vehicle tracking service throughout the term of any fixed period agreement.
Regular topic and content updates are available here or shown now in full over at What are Vehicle Telematics and Vehicle Tracking?. on the UK Telematics Online website
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