Transportation Industry Archives - Business Intelligence

Tag: Transportation Industry

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How are Autonomous Vehicles Going to Impact Public Transport?

Autonomous vehicles, a living example of driverless technology, will play a crucial role in shaping the future of public transport. These vehicles are expected to be completely available on the road by the beginning of 2020. Autonomous vehicles, with their arrival, will certainly impact the fundamental functioning of urban transportation systems along with public transport.

Basically, public transport agencies have two major goals:

  • Improve mobility across their respective areas 
  • Provide all their respective constituents with credible access to transportation

 

Over the past couple of years, public transport agencies have focused on these goals by running bus or train transport systems that are sufficiently subsidized by the federal and state government. While the public transport system is dealing with the traditional transportation services, the private sector has come up with new technology-based transportation options like Uber and Lyft that have completely redefined public transport. In the near future, there are many such private companies who are going to introduce autonomous vehicles to deal with on-demand and fixed route services.

Impact of autonomous vehicles on public transport

The rising popularity and use of autonomous vehicles will give rise to several intimidating questions such as:

1. Will autonomous vehicles make public transport systems obsolete?

2. What will happen to other mobility options when this driverless technology is broadly adopted?

3. Should public transport agencies reduce or stop their investments as autonomous vehicles subsume their demand?

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artificial intelligence

The Road to Transformation: AI in the Transportation Industry

Often, the use of advanced technologies in the transportation industry is affected by factors that are difficult to predict. This includes things like traffic, human errors, or accidents. However, artificial intelligence has taken off well in the transportation industry. AI uses observed data to make or even predict decisions appropriately. Furthermore, the use of artificial intelligence results in a significantly lower cost of labor in the transportation industry. Companies in this sector can also solve the issue of employee’s long driving hours and breaks between drives with fully automated fleets. Also, the emergence of industry-wide standards including blind-spot alert, adaptive cruise control (ACC), and advanced driver assistance systems (ADAS) would further fuel the growth of artificial intelligence in transportation.

Leading transportation services providers have started incorporating autonomous tracking and artificial intelligence into their vehicles to track potential real-time data. Want to identify lucrative technologies and processes to capitalize on to yield huge profits? Request a FREE proposal today!Request Proposal

AI in the Transportation Industry: Benefits

Public safety

Artificial intelligence helps companies in the transportation industry to ensure the safety of the public when using their services. Safety of citizens using public transport in urban areas can be improved by tracking crime data in real-time. This will also facilitate the police to increase their efficiency by patrolling and keeping the citizens safe.

Autonomous vehicles

Self-driving cars have been the new buzzword in the transportation sector in recent times. They use artificial intelligence to function and make calculated decisions on the road. Self- driving vehicles prove to be a great opportunity to reduce the number of accidents on highways and increase productivity.

Want to gather comprehensive insights into the benefits of embracing artificial intelligence in the transportation industry? Contact us today!Contact US

Better planning and decision-making

The road freight transport system can utilize accurate prediction techniques to forecast their volume using artificial intelligence, which simplifies the transportation company’s planning process. Additionally, several decision-making tools for transport can be designed and run using artificial intelligence. This will affect investments made by companies in the future in a productive way.

Pedestrian safety

Using artificial intelligence, the path of pedestrians or cyclists can be easily predicted, which would help in decreasing instances of traffic accidents and injuries. This will allow for more diverse transportation usage and an overall reduction in emissions.

Control traffic flow

Traffic flow has a great impact on transport. If this data is adapted for traffic management via artificial intelligence, it will result in streamlined traffic patterns and a significant reduction in congestion.  Also, real-time tracking and smarter traffic light algorithms can control higher and lower traffic patterns effectively. This technique is also effective in public transport for optimal scheduling and routing.

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total quality management

Big Trends Driving the Car Sharing Market to Success

Environmental pollution has been an ongoing global issue for quite some time now. Most people and industries around the world have joined hands already to fight pollution and the transportation industry is not far behind. Though the transportation industry accounts for a significant amount of environmental pollution through emissions, the industry itself seeks to change this image with innovations like car sharing. Roundtrip car sharing vehicles offer about 10% more fuel efficiency, reducing the carbon footprint. Furthermore, many companies are switching from fossil fuel cars to electric or hybrid cars. Also, the integration of advanced technologies into the cars to provide enhanced services quality will propel the car sharing market’s growth. Companies are providing smart cards and RFID tags to enhance security features such as locking & unlocking of doors and providing unique identification to the drivers. But that’s not all, let’s look at the top trends in the car sharing market that you need to look forward to:Request Proposal

Rising market consolidation

As the scale of shared mobility grows exponentially, there will be a consequent increase in market consolidation as dominant players eyeing for market share expand into new territories.  As a result, smaller players will soon be exiting the market, leaving the car sharing market in the hands of a few large players. This trend is set to continue in 2018 as dominant players aggressively outgrow smaller incumbents who face poor organic growth prospects

Autonomous vehicles

What is happening today in the transportation industry is as significant as the advent of the car once was. Anticipating a decreasing production volume, several industry players are already positioning themselves to become the platforms of tomorrow.  For instance, Daimler announced its decision to partner with Uber last year. Daimler has agreed to provide Uber with autonomous vehicles. Car sharing platforms must keep abreast of these developments in 2018 while continuing their international expansion.

Merging of carsharing and ridesharing platforms

The arrival of autonomous vehicles will further speed up the growth in this market as it will simplify ride and car sharing practices and open up new opportunities for these platforms. In a driverless world, the distinction between car sharing and ride‐sharing platforms will no longer exist. Autonomous vehicles will be just a few smartphone clicks away, ready to come pick you up and drive you anywhere you want, whenever you want, over short or long distances. 

Public policy to fuel growth in shared mobility 

While the shift away from car ownership towards accessibility is already underway, the widescale adoption of shared mobility requires public policy intervention. In 2017 we’ve seen city leaders from various parts of the world paving the way with ambitious plans to implement policies that encourage a sustainable revolution in the transportation industry. Recently in London, the government unveiled plans to stop residential developments from building parking spaces and new offices from installing commuter or visitor parking. The purpose of this transport strategy is to reduce air pollution and congestion by reducing car dependency. However, if the desire to reinvent urban mobility and bring cleaner air to city dwellers is to be unanimously supported, it must take on board the limitations of public transport infrastructure outside of densely populated cities.


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4 Trends Influencing Changes in The Logistics and Transportation Industry

Trends That Will Revolutionize the Transportation Industry by 2050

Commercial Transportation Trends in 2017

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Infiniti’s Market Opportunity Engagement Helps a Leading Freight Management Firm Identify Trends by Analyzing Market Data

Freight management firms are companies that specialize in the moving of cargo or freight from one place to the other. The demand for freight management services is mainly driven by the increase in domestic manufacturing outputs and growth in international trade. However, large companies benefit from advances in logistics technologies; whereas, the smaller firms offering freight management services compete effectively by specializing in cargo transfer with specific countries, serving a local market, and facilitating the transport of unusual goods.

Let’s look at some of the trends that are transforming the future of the global freight management sector:

  • The shift towards sustainability: Leading freight management service providers are going green by implementing strategies to reduce the carbon footprint and conserve energy. The freight management sector is saving thousands in pursuit of protecting the environment, right from making the carrier fleet more energy efficient to limiting the number of empty trucks traveling to the distribution centers.
  • Incorporating automation: Automation technologies such as robotics is helping freight management service providers save time and energy by reducing the manual work. Robotics technology plays a significant role in bridging the gap between customer demands and business needs.
  • Deploying data analytics: Data analytics offer relevant insights that can be integrated with third-party logistics and customer systems for improving operational efficiency. Digital management has also made it easier to store and access data.
  • Expanding service capabilities: Adopting third-party platforms that facilitate real-time sharing of load information help freight management service providers develop their service capabilities.

In the freight management sector, there is an increasing need to adopt advanced technology and implement a strategic approach to freight management. Implementing such capabilities for your organization’s logistic management system can help in improving the standard operating proceduresIR_RFP to survive in a highly competitive marketplace.

The Business Challenge:

The client A leading freight management firm

Objective- To identify and access the growth opportunities in the global freight management market.

The client, a leading freight management services provider, wanted to evaluate the current market trends and identify the essential growth opportunities in the freight management market space. The client wanted to leverage the use of Infiniti’s market opportunity solution to understand their penetration levels in different geographic segments. The client also wanted a detailed report on the entry barriers, new market opportunity, risks, and competition in the transportation industry.

Results- Helped the client in establishing ongoing trends in the freight management sector. Also, identified future growth areas in the transportation industry by drawing conclusions on customer preferences and market opportunities.

Freight Management

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The Journey:

The market opportunity experts at Infiniti carried out extensive research comprising of interviews and discussions with leading stakeholders across the freight management market space to help the client improve business efficiency. The experts at Infiniti further compiled information from a wide array of secondary sources such as paid industry databases, company presentations, and transportation industry forums to help the client understand the competitive scenario.

The Solution and the Business Impact:

Implementing Infiniti’s market opportunity engagement helped the client identify potential areas to advertise and market their services. It also enabled them to uncover and identify potential threats in the freight management market space. The market opportunity solution offered also helped the freight management firm in determining the market trends to evaluate their market saturation and penetration levels. Moreover, this helped them in devising a scalable approach to discover new growth opportunities.

The Future:

With the growing competition in the transportation sector, existing companies should implement new technologies and extensively improve the quality of services offered to remain in the business. The key to developing a successful strategy in the freight management sector revolves around offering efficient, flexible, and cost-effective services. Moreover, future market opportunities in the freight management sector are set to outweigh their challenges, driving significant changes in this sector. Therefore, those who carefully anticipate and access future challenges and opportunities to address them proactively, will be better positioned to succeed in this sophisticated market space.


A must-read case study for strategy specialists and decision makers looking to develop an understanding of the freight management industry.

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Market Intelligence Helps A Leading Transportation Services Provider Rationalize Their Sales Process and Select High Potential Targets

Today, there is a plethora of transport means around the world, the most dominant ones being rail and road transport, as well as ship and aviation transport.

The global transportation services industry consists of revenues generated from freight transportation. The transportation services industry is capital-intensive, and the demand is driven by macroeconomic trends in global imports and exports. Also, the intensity of competition varies depending on the specific sector; the road transport sector for instance, usually experiences the highest level of rivalry, while railways, as natural monopolies, experience less from direct competition. Furthermore, the global resumption of growth in merchandise trade is also likely to create more demand for transportation services.

However, several factors are expected to influence the growth of the transportation services industry in the coming years. Some of the factors include:

  • Commoditization of carrier pricing: Commoditization in transportation services industry has a direct impact on whether a company dispatches its products or hires a third or a fourth party provider to do so. The transportation services industry, being heavily price-driven, results in consumers having a lower focus in distinguishing between companies’ services and products but will put more emphasis on buying the economical
  • Expanding use of technology tools: Today, many companies in the transportation services industry are reluctant to adopt innovative technologies. Moreover, digital technology innovation is sure to transform the current trends in the future. However, a slow conversion to technology may give other companies a competitive advantage which is digitally equipped.

Many such factors are compelling firms in the transportation services sector to leverage the use of market intelligence solutions. IR_BrochureMarket intelligence solutions help companies drive consistency, reliability, and responsiveness across business operations. Additionally, these solutions help companies enhance operational efficiency by identifying process gaps across the industry.

The Business Challenge

  • The client: A leading transportation services provider

The client, a leading transportation services provider with operations spread across the globe, wanted their sales team to bring in new business. As a result, they wanted to identify the obstacles in their path and clearing their way forward. Additionally, the client wanted to gain insights on ways to improve their procedural efficiency and increase conversion rates.

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Our Journey

To assist the client, rationalize their sales process and select high potential targets, the market intelligence solution experts at Infiniti carried out extensive research comprising interviews and discussions with prominent stakeholders in the transportation services sector. The experts also compiled information from reliable sources such as trade shows, paid industry databases, and company presentations to help the client achieve impressive returns.

The Solution Benefits and the Business Impact

The client was able to approach the right prospects, at the right time and in the right way with the help of Infiniti’s market intelligence solution. Additionally, the client’s sales team were also able to close deals with more valuable prospects in less time. This helped them achieved astonishing results in just 120 days.

The Future

The transportation services industry, like many others, is under pressure to improve cost efficiency. Moreover, today, digitization is cutting across all layers of society. Digitizing transportation services, if done well, can improve the efficiency, create better experiences for customers and ultimately increase the profitability of an integrated transport infrastructure.


A must-read case study for strategy specialists and decision makers looking to develop an understanding of the transportation services industry

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Infiniti’s Market Segmentation Solution Helps a Renowned Transportation Services Provider Efficiently Allocate Resources to Meet Their Business Requirements

The transportation services sector is regarded as the backbone of the economy, as it provides a cost-effective flow of goods on which the other commercial industries depend. It is an interplay of technology, infrastructure, and new types of services providers who define the ability of this sector in helping its customers by offering efficient services and reducing costs. The transportation services industry like any other industry is under pressure to improve its cost efficiency. Hence, leading players are looking at implementing various measures that would help them reduce the costs incurred. Moreover, since the transportation sector has not been able to keep pace with rising customer demands and preferences, it is proving to be a drag on the economy. Significant improvements in the industry are therefore required to support the continued economic growth and cut down on major losses.

Some of the factors that may curtail the growth of the transportation services industry include:

  • Tightened Budgets: Companies operating in various sectors tend to look at transportation as one of the major functional areas that would help them save on costs. Such decisions benefit firms by cutting down costs to improve profitability.
  • Shrinking capacity: The economy, the driver shortage, government regulations, and other factors are shrinking the capacity of the companies operating in the transportation services industry.
  • Economy: Changing economic trends affect the manufacturing and distribution processes which in turn affect the demand for transportation services from various end-user industrial segments.
  • Developments in technology: Rapid technological advancements have helped companies in streamlining and improving the productivity of their operations.

Leading players in the transportation services industry are looking at leveraging Infiniti’s market segmentation solutions to gain actionable insights on the current needs and priorities of the end-users. This helps them in efficiently allocating resources to meet their business requirements. Market segmentation solutions also assist clients in dividing the market into various segments based on customer needs and preferences. Moreover, it helps them devise targeted marketing strategies to pitch their products and services.IR_Brochure

The Business Challenge:

  • The client- A well-known transportation services provider

The client, a prominent transportation services provider, wanted to leverage market segmentation solutions to create subsets of the market based on various factors which included priorities, demographics, and other psychographic criteria used to better understand the target audience. The client wanted to make use of market segmentation solutions to offer personalized services to different customer segments. The transportation services provider also wanted to maximize profitability by focusing their efforts and resources on developing strategies to suit the target market segments.

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Our Approach:

To identify the potential targets and implement a robust segmentation strategy, the market segmentation experts at Infiniti also carried out extensive research comprising interviews and discussions with prominent stakeholders in the transportation services industry. The experts also compiled information from a wide array of reliable sources such as paid industry databases, industry forums, and company presentations.

The Solution Benefits and the Business Impact:

Infiniti’s market segmentation solutions helped the transportation services provider gain actionable insights to efficiently track and segment its customers. The solutions offered also assisted the client in identifying and marketing their products and services to better serve its customers. Moreover, the solution also helped the client re-define their advertising and media campaigns to enhance the return on investment. The market segmentation solution also offered insights on the ways to devise potential branding strategies to keep themselves updated on the current market trends.

The Future:

The growth of the transportation services industry will be characterized by the increase in digitization and the advent of smart technologies. This is because digitizing transportation services will help transportation service providers in improving their efficiency, create better experiences for its customers, and ultimately increase the profitability of the well-integrated transport infrastructure.


A must-read case study for strategy specialists and decision makers looking to develop an understanding of the transportation industry.

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Financial risk analysis

Top Fleet Management Challenges Bothering Fleet Managers

Fleet managers play a pivotal role in any transportation company or a logistics company when it comes to selecting and maintaining vehicles and keeping up with delivery and distribution schedule. Fleet management plays an essential role in the transportation industry as fleet managers strive to minimize risks associated with vehicle investment. Fleet management companies are always on the lookout to improve efficiency, productivity and reduce their overall staff and transportation costs. Successful fleet managers usually have years of experience in the field dealing with fleet operations, logistics, contract negotiation, fleet maintenance, and fleet management systems. However, fleet management can sometimes IR_Brochurebe challenging to deal with even after years of experience in the field.

Driver safety and productivity

Apart from fleet managers, drivers are another vital cog in the success of fleet management services. So it is essential to ensure driver safety for effective fleet management. Accidents on the road will not only pose a question of the driver when it comes to safety but might also damage the cargo and the vehicle, causing substantial economic losses. Fleet managers need to diligently use educational programs, regulations, and predictive analytics to ensure safety for their drivers, cargo, and vehicle. With a host of technology available including GPS, telematics, and sensors it becomes essential to educate the drivers on the use of such tools to minimize road accidents. Preventing such accidents deters not only the economic losses but also avoids potential downtime, which can hamper the service levels. Additionally, reducing the risk of accidents also helps keep the insurance premium costs down. It is always a challenge to hire experienced drivers with clean records and then train them to get acquainted with a host of new technologies.

Fuel price fluctuations

The cost of transportation or delivery per mile is one of the important metrics used by fleet management companies to determine the pricing for their services. However, this cost is highly unstable owing to the ever-fluctuating fuel prices. This impacts the final cost of the services provided, and transportation companies will often have to adjust their consumer pricing. It is almost impossible to forecast the fuel prices and, as a result, fleet managers will have a hard time managing budgets. One of the best ways to mitigate this risk is to switch to a more fuel-efficient vehicle. As a result, fuel price volatility will have little effect on the final prices. Also, the transportation industry is assessing the possibility of using electric vehicles on a large scale.

Managing geographically dispersed teams

Large commercial fleet management companies have operations spread across state lines and international borders. Fleet managers have a hard time tracking all operations and also communicating with drivers remotely. Additionally, locating each vehicle in the fleet can be a tiresome task as it may require continuous zooming and scrolling across a map. To combat such issues, the transportation industry is turning to technologies such as advanced mapping and spatial clustering to facilitate fleet monitoring.

Cost containment

A majority of the fleet management companies have already optimized their cost base. There’s hardly any room for further reduction as fleet managers would already have researched competitive alternative and selected the best fleet option. Additionally, reducing cost is a top-down approach and requires a strategic adjustment from top management. Apart from that, fleet managers face a lot of problem in dealing with driver reimbursement, resource sharing, vehicle maintenance, and lifecycle costing. Most of these factors are out of their control, which lead to budgeting and forecasting complications.

For more information on challenges faced by fleet managers in the fleet management sector, transportation industry, and logistics industry:

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Competitive Intelligence Solution Helps an Airline Industry Major Enhance Risk Management Capabilities

According to a recent survey, consumers benefit from lower fuel prices with lesser fares, more routes, and are expected to spend 1% of world’s GDP on air transport.

The airline industry typically includes transport service providers of cargo and passenger. The primary customers of the airline industry services include governments, individuals, and businesses across the globe. The industry is marked by high growth compared to the (gross national product) GNP trend and continuous productivity increases since the start of commercial air traffic. The constant demand for new low-cost carriers, increasing demand from emerging economies, deregulation, and rising middle-class populations are some of the factors responsible for the growth of the airline industry. The airline industry is also characterized by intense competition and price pressure that involves a continuous requirement to boost efficiency. In the hassle to boost efficiency, several factors are hampering the growth of the airline industry. These factors include:

  • Customer Expectations: One of the most crucial aspects for firms operating in the airline industry is the ability to manage customers’ expectations with relation to their experience. Identifying what customers are expecting out of the air transport services becomes crucial.
  • Air Traffic and Competition: Firms within the airline sector constantly face pressure to comprehend their actual revenue growth and potential profitability although they compete against low-cost and best-cost carriers.

To counter these factors, firms are leveraging competitive intelligence solutions. The competitive intelligence solutions help firms increase focus on benchmarking the products and services offered with that of their direct competitors. These solutions also assist companies in identifying competitive opportunities and trends to discover any potential functionality gaps to enhance their business performance.IR_Brochure

The Business Challenge

  • The Client: Airline industry firm
  • Area of Engagement: Competitive intelligence

The client, a leading provider of airline services, wanted to minimize their exposure to risk and improve their overall commercial performance. The client wanted to gain a clear understanding of the business process and competitor protocols and strategically position customized product and service offerings. They also wanted to gain recommendations on devising robust marketing strategies and look for promising solutions to achieve continuous growth and increase profits. Additionally, they wanted to fend off the competition across niche markets by profiling their direct competitors across the industry.

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The Journey

The competitive intelligence specialists at Infiniti Research carried out extensive interviews and research with prominent stakeholders across the airline industry to analyze the competitive structures and market environments. The experts also collected information from various secondary sources such as company presentations, industry forums, and paid industry databases to refine the current product groups.

The Solution Offered and the Business Impact

With the help of Infiniti’s competitive intelligence solution, the airline industry client gained an accurate view of the competitors and their product and service offerings. The solution also helped the client keep track of the competition and offer tailored services to their customers. The engagement further helped the client gain insights into the competitive scene to stay ahead of the competitors and cement their market presence.

The Future

The future of the airline industry is likely to be more turbulent, as a new wave of technological change and innovation unfurls. Some see this wave sweeping the airline industry away, citing as precedents the printing industry before computer design software, the music industry before internet downloads, and, the taxi industry before Uber arrived.


A must-read case study for strategy specialists and decision makers looking to develop an understanding of the airline industry 

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Infiniti’s Marketing Strategy Solution Helps a Prominent Client in the Logistics Industry Improve their Growth Prospects

According to a recent survey, transportation and logistics companies fall behind other sectors in terms of offering employment opportunities.

Logistics can be defined as the relative movement of goods from the manufacturing point to the point of delivery. The logistics industry can be broadly segmented into roadways, waterways, railways, and airways. Among these segments, road transportation has gained massive popularity owing to benefits such as flexibility in operations, easy accessibility, and high demand for door-to-door service offerings. Although the logistics industry is witnessing promising growth due to the relentless growth in global trade and advances in technologies, several factors are expected to hamper the growth of the market over the next few years. Some of these factors are:

  • Economic fluctuations: In this volatile market landscape, the supply of goods and services has been greatly affected. Furthermore, with the sluggish growth of the economy, consumers’ spending on new products and services has narrowed down drastically. This, in turn, has affected the growth of the logistics industry.
  • International trade flow: Trade becomes a primary concern for the movement of products from the manufacturing point to the final destination. The transportation industry heavily relies on efficient trade practices for their financial stability. With the recent setback in trade practices, transport and logistics companies are finding it increasingly difficult to meet the requirements of the target audience.
  • Robust government regulations: Since compliance regulations vary according to the states, organizations must comply with these regulations to avoid hefty fines and reach out to their customers. With the recent rise in the international trade, organizations in the logistics industry have started focusing more on meeting global regulatory standards and devising plans to distribute goods in a cost effective manner.

To address the customers’ requirements and offer effective transportation services, logistics companies should develop an effective marketing strategy. Marketing strategy helps organizations address the customers’ requirements and devise new strategies to market the offerings. Marketing strategy also focuses on identifying and analyzing the primary market as well as the secondary market and assesses the competition prevalent in the market space.
IR_Brochure

The Business Challenge

  • The Client: Logistics company
  • Area of Engagement: Marketing strategy

A prominent client in the logistics industry wanted to profile and identify their potential competitors and devise an effective marketing strategy to stay ahead of the competition. The client wanted to understand the prevailing technologies in the logistics industry and enhance their service offerings with the help of high-tech tracking tools. With the help of Infiniti’s marketing strategy, the client wanted to build a better plan to target new customer segments and accordingly allocate marketing budgets.

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The Journey

To devise a robust marketing plan, Infiniti’s marketing strategy experts followed an extensive research methodology comprising of interviews and discussions with leading stakeholders in the logistics and transportation industry. Furthermore, to help the client design a budget that is specific to the target market, the client also compiled information from a wide array of secondary sources including paid industry databases, company presentations, and industry forums.

The Solution and the Business Impact

With the help of Infiniti’s marketing strategy solution, the logistics industry firm was able to streamline their transportation process and tap into potential market segments. The client was also able to better manage inventory levels and enhance customer service. The solution offered by Infiniti also focused on improving the flow of information across potential channels and offering offer better visibility into the supply chain. The rising use of innovations also helped the logistics industry client formulate better communication between the client and the end-users.

The Future

The future of logistics industries will be marked by technological innovations, especially in terms of automated material handling equipment, GPS, warehouse control software, and RFID technologies. These technologies will help the companies run their businesses more seamlessly and proficiently in the coming years.


A must-read case study for strategy specialists and decision makers looking to develop an understanding of the transportation and logistics industry

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