In February, Zendrive CEO & co-founder Jonathan Matus joined the experts at GSMA to discuss the $30B driver safety market. Joined by Charles Juniper of Ovum, Jonathan outlined the most expedient route to market for MNOs in this exciting space.
In the last few years, Zendrive has become a top partner for MNOs looking to enter the driver safety space. In this webinar, Zendrive and Ovum discuss distracted driving and the rise of smartphone based solutions.
Opportunities Amidst the Rise of Distracted Driving
Kavit Majithia of GSMA: How has the market adapted to the rise of distracted driving and where do you see opportunities for MNOs?
“The trusted partners in delivering services on smartphones are MNOs,” answered Matus. Despite their addictive qualities, smartphones have become the best answer to distracted driving. Both of these realities have created massive opportunities for wireless carriers. And amidst the rise of distracted driving will be the rollout of several solutions, many of which can be quickly deployed by MNOs.
“Parents want peace of mind when their teenagers are on the road,” said Matus. Parents are paying up to $20 per month for driver safety solutions, and in some cases up to $80 per month to ensure the safety of their loved ones on the road.
“All in all, we’re talking about a huge, huge market that is growing quickly that MNOs have a natural right to play in.”
“There is strong consumer demand for driver safety services,” said Charles Juniper. “As part of Ovum’s research we’ve actually looked at this market. We estimate this market’s going to grow at a compound annual growth rate of 19%, and will reach just short of $30 billion by 2022.”
Smartphone telematics versus hardware-based alternatives
Kavit Majithia of GSMA: Charles, is there clear evidence that smartphone telematics is superior to hardware?
“Smartphone are on par and in some situations, better in 96% of all driving situations,” answered Juniper. “Hardware solutions are what we call Gen 1. Gen 2 solutions will be focused on tracking the person, rather than being fixed to the vehicle. And this is what smartphone telematics accomplishes.”
“When you think about what smartphones are capable of now, you sit back in amazement,” said Matus. “When you imagine what they’ll do in the future, you realize that this is the fastest evolving sensor platform on the planet.”
In addition, as smartphones evolve, carriers will potentially offer more driver safety features to consumers!
Selecting the Right Partner
Kavit Majithia of GSMA: Charles, in your research how do you see Zendrive stacking up in this market?
“A market leader,” answered Juniper. “Zendrive is the market leader in predictive capability and has to be on the shortlist of any MNO.”
“Third-parties have found our dataset to be up to six times more predictive than leading industry standards,” added Matus. “When we partner with MNOs around the globe, we bring some of the industry’s best practices. We also bring international experience with fleets, other MNOs, and consumer mobile applications. And we’re excited about helping MNOs democratize access to life-saving driver safety features!”