The latest move enables the company to offer four mobility bundles, which are tiered into four categories —premier, professional, flex and base.
With the aid of these bundles, fleets will be able to manage their technology expenses efficiently. Further, the bundles, which are supported by domain expertise and extensive integrations, will provide access to Trimble’s 4G LTE connectivity and other technologies.
Further, Trimble aims to provide regulatory components with additional solutions such as Automated Workflow, CoPilot Truck in-cab navigation and Driver Retention Analytics with the bundles. Furthermore, the new option offers core telematics to fleet operators.
Additionally, the latest hardware-as-a-service optionwill help in reduction of upfront investment. This is crucial to fleet operators as the option prevents them from adopting the traditional method of purchasing hardware and software, which requires heavy upfront investment to begin a project.
Consequently, this move is expected to strengthen Trimble’s momentum across the fleet operators that will drive the Transportation segment’s top line.
Robust Transportation Portfolio: A Key Catalyst
The latest move bodes well for the Trimble’s continued efforts to strengthen transportation solutions portfolio, which remains a key growth driver.Moreover, expanding offerings in transportation sector are expected to help it in winning partnership deals.
Apart from the latest launch, the company recently launched new capabilities for its Community Load Match platform jointly with Kuebix. Notably, the platform helps in optimization of freight movements throughout the supply chain via collaboration between shippers and carriers.
Trimble rolled out an optimized dispatch solution for the transportation industry called Trimble Dispatch Advisor.
Further, it joined forces with Geotab and integrated its Video Intelligence solution with Geotab Marketplace. The company strives to save drivers from false claims with latest move. This is expected to enhance Trimble’s offerings to the light- and medium- duty fleets, which in turn will reinforce its transportation business.
Further, Trimble’s buyout of a fleet management provider —Veltec —has helped it in enhancing fleet safety and efficiency in solutions portfolio.
We believe Trimble on the back of the abovementioned endeavors will deliver better experience to its transportation customers.
Steps to Reduce Upfront Payments
Trimble’s latest move is in sync with its growing initiatives to reduce the upfront payment of customers.
Apart from the latest move, the company has recently introduced a solutions-as-a-service program by making its remote monitoring IoT hardware and software solutions available for water and wastewater utilities.
Notably, the program aids in reduction of upfront investment by providing a predictable annual subscription.
We believe Trimble is well-poised to win customers further on the back of these initiatives, which in turn will accelerate revenue generation.
Zacks Rank & Stocks to Consider
Currently, Trimble carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the broader technology sector include Inphi Corporation (IPHI – Free Report) , Advanced Semiconductor Engineering, Inc. (ASX – Free Report) and Rambus, Inc. (RMBS – Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Long-term expected earnings growth rate for Inphi, Advanced Semiconductor Engineering and Rambus is currently pegged at 37.66%, 26.63% and 15%, respectively.
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