The future of rental car telematics lies in the direct integration of OEMs – Telematics

Auto Rental News met with Thomas Brady, CTO and co-founder of RentalMatics, a cloud-based mobility and fleet management platform. RNA asked Brady to discuss how the telematics market is growing – and will grow – especially for car rental. In April, RentalMatics announced integration with TSD Mobility Solutions’ car rental software system.

RentalMatics’ leading solution combined with TSD operational telematics data from connected fleets will provide actionable insights to reduce claims and damage costs while increasing utilization for our partners worldwide.

Car Rental News: We are following the OEM purchased / installed modems market closely and see a huge opportunity to overcome the biggest problem with telematics and rental, the modems install / uninstall process. What is your view of the market? Is RentalMatics looking to integrate with OEM modems?

Thomas brady: We believe that the future of telematics lies in direct integration with equipment manufacturers and the on-board telematics unit. This will completely eliminate the need for device installation and further speed up the deployment process. However, the industry is still a few years away from having full connectivity with all OEM makes and models. In the meantime, a hybrid solution of aftermarket devices and OEM connectivity is required. The RentalMatics platform provides a hybrid solution to connect both aftermarket devices and OEMs to ensure 100% fleet connectivity.

One of the biggest barriers to entry for our rental customers was the time it took to set up the device. That’s why RentalMatics streamlined the installation process and minimized the vehicle downtime required to deploy a telematics solution. Typical OBDII units can take an average of 10-15 minutes to install as they often require a T-harness due to the inaccessibility of OBD ports. The RentalMatics battery-powered device sets up in less than a minute and can be self-installed by registrars and cleaning staff with very little training required. This minimizes the operational impact on our customers and has accelerated the adoption of telematics in rental car fleets.

RNA: The RentalMatics offering is a typical aftermarket modem installation in the rental vehicle, but the new game is the integration with the TSP (RentalMatics) system directly into the rental car system (TSD)? Having to manage separate telematics software is an operational pain!

TB: I agree, the tight integration between the telematics system and the rental system is essential to maximize the value of telematics. Traditionally, rental fleet operators had to manage their day-to-day operations on the rental system and then log into a separate system to view their telematics data. However, RentalMatics is fully integrated with the rental system so that you can view your telematics data without having to leave the rental system. This is essential for front office staff who deal with customers and who need quick access to data. For back office staff, we provide access to our web platform if they need to deepen telematics information and rental data.

RNA: Most of our work with telematics involves commercial, corporate, government and trucking fleets. The value there is clear and growing. Leasing, however, has unique needs, and more basic needs to start with – vehicle location, odometer, fuel. Rental operators need to understand the other benefits of telematics, especially the logistics of movement and vehicle management. How does your product offering meet these needs at the right price? Other Telematics Service Providers (TSPs) have struggled in this market, offering bells and whistles that are unnecessary or too expensive for a rental fleet.

TB: RentalMatics offers three different packages at three different price points so that we can meet all of our customers’ needs. The RentalMatics platform was created by people in the rental car industry for people in the rental car industry. The company is made up of experts in the rental and mobility sectors as well as engineers with training in telematics, cloud computing and analytics. We are in a unique position to have in-depth knowledge of the problems faced by the industry while knowing how to solve them by leveraging telematics and data.

The three-tier model allows our customers to start with our back-office product to reduce operating and insurance costs to see the benefits and value of the platform. Once value has been proven at that level, they can move on to our next level services which are more focused on increasing revenue and improving the tenant experience. These include our product for corporate fleets, our mobile delivery product (“Deliveroo for Car Rental”) and our application-based contactless car rental product.

We also provide commercial and technical support at each stage of the customer’s journey in a connected car. This includes initial staff training, project management, change management and the digitization of corporate leasing operations. The Customer Success Team has been very effective in ensuring our customers meet their business KPIs and ROI.

RNA: We tore up the playbook during the pandemic. Do you think that rental will finally be able to benefit from the advantages of telematics, where it has not done before?

TB: The accelerated pace of digital adoption during the pandemic has activated the rental industry’s interest in telematics. In response to the pandemic, rental operators are now looking for technology to harness their data to increase automation and lower operating costs. They are also adopting methods to use contactless operations for customers where possible. The RentalMatics platform provides functionality to deliver these benefits. The pandemic has dragged the future into the present and RentalMatics can facilitate this acceleration towards the digitization of car rental. The companies that are the first players in this connected automotive space will prosper in this new era of mobility.