UK-based IoT start-up Letstrack has carved out a success story with its unique approach towards doing business in the telematics space. Within a short span of two-and-a-half years the company has gained many industry accolades and achieved the top spot among over 700 players battling for a leading position in the 80,000 to 100,000 trackers per month industry. While a majority of the industry players follow a B2B sales model, Letstrack derives 80 % of its business from B2C sales. The company is now working on a comprehensive solution to take connectivity to the next level by integrating home and vehicle tracking. To understand further, Auto Tech Review caught up with Vikram Kumar, CEO & Founder, Letstrack.
REVOLUTIONISING THE TRACKING INDUSTRY
The Indian tracking and telematics industry is a fast maturing market, with around 700 companies operating in this space. Among these, 650-690 firms look at B2B sales as a primary source of revenue. This is where Kumar and his team saw an opportunuity to carve out a niche in the industry. Letstrack began working on an IoT service to cater to the security needs of the masses in transit along with business needs. Kumar believes anything that moves today needs tracking and with this ideology the company has based its vast sales and distribution network across India with over 300 centres.
The company received its first round of funding of £ 1.2 mn, valued at ` 108 cr, in 2017. Since then Letstrack has grown by a phenonmenal 700 %. At present, the company is number one in India and Asia clocking sales of around 15,000 to 20,000 trackers a month. The approach has been customer-specific, rather than a one-stop solution for everybody.
Letstrack sees a huge opportunity on the home-to-vehicle connectivity area. Currently, there are players in the industry that offer solutions specific to home security or vehicle security. Letstrack has been in the market for vehicle security solutions since it began operations in 2015.
While the company has found success with connected cars, Kumar envisions a solution where these connected cars can also be connected to your home. The Letstrack CEO said the company is looking to achieve this by integrating CCTVs, smart cameras and tracking to connect vehicles. The solution will help trigger diferent kinds of alerts at home through an artifical intelligence (AI) software. The company is looking to add 50 more features to this technology. Kumar believes that even with 10 % success in this endeavour, Letstrack will be able to make a large impact in the security field. The objective is to make tracking more comprehensive and help further streamline daily affairs, he noted.
Letstrack is also working on video feeds for tracking, and has been testing cameras for more than a year now. The aim is to develop a world-class product before it is introduced in the market. The company is also focussing on solutions to monitor driving behaviour such as drowsyness. It is looking at introducing such technologies in a segmented manner, with the B2B segment being the first priority. The viability of this technology in the B2C segment is low, he said.
Letstrack develops the software-end for solutions and has apps for both Android and iOS. The company procures the best available hardware, which accounts for 15 % of the product cost. There is a different hardware application for different vehicle categories, he claimed. At present, the company has 11-12 devices for different consumers, which are used based on the their specific requirements.
In the B2C segment, Letstrack Plus and Letstrack Prima products account for a majority of sales. Some of the solutions even include services such as safe mode, where in the case of a theft, the engine power can be cut-off in five seconds. Other features such as tow away alert, crash alerts help you contact registered numbers and then eventually the nearest police station. Kumar said the hardware comes with inbuilt vibration sensors that wakes up the device in case the vehicle is moving beyond a defined limit.
Since software is its core strength, Letstrack has been able to understand the customer needs, providing them tailor-made solutions. Around 80 % of the business can be attributed to B2C sales and the rest 20 % of B2B sales is generated from the top 500 companies in India. Letstrack has set-up a network across India with 500 distributors till date. The company is now also on Amazon launchpad and has recently won the best connect technology on Amazon.
Letstrack currently has a presence in three countries – India, the UK and Sri Lanka and is keen to expand across geographies. The company is looking to have a presence in 10 more countries this year and around 50 countries by 2020. Of these, the company is keen to establish its own outlets in five or six countries, and will look to adopt a franchise model for the rest.
TEXT: Joshua David Luther