The number of bids and RFPs for smart vehicle maintenance released by state, local and education agencies has increased by 40% over the last 12 months, according to the latest yearly report from the research team at GovWin+Onvia, 10 Hotspots in Government Contracting for 2018.
This intersection of the technology and transportation industries will provide more public sector sales opportunities for vendors involved in government contracting, and may prove to be an indication of where the market is headed beyond 2018.
Telematics and Technology in Vehicles Makes Outsourcing More Efficient
In the age of smart cities, vehicles are becoming more technologically advanced. As this has happened, the work of maintaining government fleet vehicles has become more high-tech and specialized. Telematics and technology that are installed in newer models of cars must be installed and maintained – and many government agencies don’t have specialists on their staffs that can do this work.
Technology is reshaping the fleet management industry… As the cost for telematics declines, both for hardware and the monthly service expense, the usage of telematics is growing among fleets.Automotive Fleet Magazine
This has led to a number of problems for agencies trying to manage their vehicle maintenance in-house. They are forced to spend much more time training their in-house staff, and as more baby boomers retire and leave the government workforce, they are having a harder time hiring qualified technicians to do this kind of work. As a result, more and more agencies are turning to outsourcing these services.
With a rise of 40% in bids and RFPs for vehicle maintenance tracked in the GovWin+Onvia platform, outsourcing the maintenance of “smart fleets” has become the second-ranked hotspot in SLED government contracting - a trend that is occurring across the country.
Where to Find Smart Fleet Maintenance Government Contracts
Our research team utilized the GovWin+Onvia platform to demonstrate that fleet maintenance bids and RFPs can be found nationwide. The top two states for outsourcing smart fleet maintenance were found in two particularly populous areas, California and Texas. Outside of those states, the Northeast and Great Lakes regions both featured especially large numbers of these kinds of government contracting opportunities.
In addition to creating more opportunities for private vendors, this trend is creating cost savings for state and local government agencies, allowing them to put their valuable dollars towards other important civic needs.
For example, the city of Colorado Springs, CO reportedly saved $1.4M through outsourcing vehicle maintenance, and Arlington, TX expects to save a similar amount. And in Augusta, GA, city leaders attempted to prove that doing in-house vehicle maintenance would reduce costs, but the cost of outsourcing these services always remained lower.
Learn All of the Top 10 State and Local Government Contracting Hotspots
Growth in government contracting isn’t exclusively limited to technology and transportation. Opportunities for businesses of all types and sizes are available in the GovWin+Onvia platform. And our expert research team has used data from that platform to identify the fastest-growing areas in state and local government contracting opportunities from the last 12 months. The potential for growing your bottom line is out there.
Want to find out how your business can take advantage? Download a complimentary copy of our report “10 Hotspots in Government Contracting for 2018”. Click the link below to get the report and expand your understanding of the state, local and education government contracting marketplace.