How Much Does GPS Tracking Cost & What’s the ROI?

Global Positioning System (GPS) tracking has emerged as a powerful tool that’s revolutionizing industries far and wide, providing invaluable insights and unprecedented control over resources and assets.

This article will focus on GPS tracking and explore its costs, factors that influence these costs, and the return on investment (ROI) that it offers. We will begin by determining its overall cost and proceed to investigate the factors that ultimately impact the pricing of GPS tracking solutions. 

Then, we will compare costs from leading providers offering various solutions serving different industries to help you make the most informed decision for your own company. To further assist you in evaluating the potential benefits of GPS tracking, we’ll also present a real-world example of someone earning an impressive ROI through their GPS tracking solution. 

On top of this, we will also discuss the solutions available that can maximize the value of your GPS tracking investment. Join us as we navigate the intricacies of GPS tracking costs and ROI, arming you with all the information you may need to make the best choices for your business.

How Much Does GPS Tracking Cost?

When it comes to GPS tracking, it’s essential to understand that the costs can vary significantly depending on the type of solution you choose. There are various GPS tracking options available, each with its own features, benefits, and price points. 

​​Wearable GPS Trackers

Wearable GPS trackers are typically designed for personal use and are often used to monitor the location of children, elderly family members, or individuals with special needs. These devices typically come in the form of watches or small devices that can be easily attached to clothing. 

In the business world, wearable GPS trackers often take the form of ID badges and cards with GPS trackers embedded within them. Prices for wearable GPS trackers range from as low as $50 to over $200 per device, depending on the features, battery life, and data plan requirements.

Vehicle GPS Trackers

Vehicle GPS trackers are commonly used by businesses and individuals to track the location and movement of vehicles in real-time. These trackers can provide valuable data on vehicle-related data, including driving behavior, fuel efficiency, and maintenance needs. 

The cost of vehicle GPS trackers can vary widely, from around $50 for a basic model to upwards of $300 for more advanced, feature-rich devices. Alongside the initial purchase of the device, monthly or annual subscription fees for the tracking platform and data plans may also apply, typically ranging from $10 to $40 per month.

Asset GPS Trackers

Asset GPS trackers are designed to monitor and protect valuable assets, such as heavy machinery, equipment, or shipping containers. These devices can help businesses keep track of their inventory and improve overall security. 

The cost of asset GPS trackers can range from $100 to $500 or more, depending on factors such as device features, battery life, and connectivity options. As with vehicle GPS trackers, additional costs may include monthly or annual subscription fees for the tracking platform and data plans.

Cellphone GPS Trackers

Cellphone GPS trackers leverage the built-in GPS capabilities of smartphones to provide real-time location tracking. These trackers often take the form of mobile apps, which can be installed on a user’s device for a relatively low cost or even free. 

While some basic tracking features may be available at no cost, more advanced functionality and reporting features may require a subscription fee, typically ranging from $5 to $30 per month.

Animal GPS Trackers

Organizations often employ GPS trackers to monitor the location and movement of pets and animal assets, like livestock or service animals. This provides peace of mind and ensures the safety of these animals. These devices are typically small, lightweight, and can be easily attached to a collar, although there are also ear-tag options. Some animal GPS trackers also include features like activity monitoring, virtual fencing, and customizable alerts. 

Animal GPS trackers range from around $50 to over $200, depending on the device’s features, battery life, and durability. Like other GPS tracking solutions, monthly or annual subscription fees for the tracking platform and data plans may apply, often ranging from $5 to $30 per month.

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What Factors Influence the Cost of GPS Tracking?

When considering the cost of GPS tracking, it’s important to be aware that several factors can influence the overall expense. A few key factors that can affect this expense include:

The Cost of Hardware vs. Software

GPS tracking solutions can be hardware-based, software-based, or a combination of both. What’s the difference between GPS tracking hardware vs software? Well, hardware-based solutions typically involve physical devices that need to be purchased and installed. In contrast, software-based solutions often rely on existing devices, such as smartphones, and require the installation of a tracking application. 

Hardware-based solutions generally have a higher upfront cost. In contrast, software-based solutions may have lower initial costs but might require ongoing subscription fees for access to advanced features and updates.

Installation Costs

Your installation costs may vary based on the complexity of the chosen GPS tracking solution and whether professional assistance is required. For some solutions, like wearable or animal GPS trackers, installation is simple and can be done by the user at no additional cost. 

However, for more complex systems like vehicle or asset GPS trackers, professional installation may be necessary, adding to the overall expense.

Subscription Costs

Many GPS tracking solutions require a subscription to access real-time tracking data, advanced features, and reporting tools. Subscription costs can vary widely based on the provider, the features offered, and the data plan requirements. 

These fees are typically charged monthly or annually and costs can range from a few dollars to up to several hundred dollars per year, depending on the chosen solution and its features.

Basic vs. Advanced Feature Costs

The cost of a GPS tracking solution can be influenced by the features it offers. Basic features like real-time location tracking and simple reporting may often be available at a lower price point. 

However, more advanced features like geofencing, customizable alerts, and detailed analytics can increase the cost of the solution. It’s essential to consider which features are necessary for your specific needs and weigh the value of these features against the associated costs.

Maintenance Costs

Maintenance costs can also play a role in the overall expense of a GPS tracking solution. Hardware-based solutions may require periodic maintenance, such as battery replacement or repairs, which can add to the total cost of ownership. 

Additionally, you may need software updates and upgrades to keep the system functioning optimally and provide accurate tracking data.

Scalability and Customization

Another factor that can affect the cost of a GPS tracking solution is the scalability and customization options offered by the solution. For businesses with specific tracking needs or those expecting to grow in the future, the ability to scale the GPS tracking system to accommodate more devices, users, or features is essential. 

Scalable GPS tracking solutions often come with tiered pricing plans that offer different levels of features and capabilities based on the size and requirements of your business.

Data Storage and Accessibility

Data storage and accessibility play a significant role in the overall cost of GPS tracking solutions. The amount of data generated by GPS tracking devices, such as location history, route details, and event logs, can be extensive, especially for businesses with large fleets or multiple assets to track.

Consequently, the storage and retrieval of this data can further influence the pricing of the chosen GPS tracking solution.

Data Security and Privacy

Data security and privacy are crucial considerations when selecting a GPS tracking solution, as these factors can directly impact the overall cost. GPS tracking systems collect and transmit sensitive data, such as location information, route details, and driver behavior, which can have significant privacy implications if not properly secured. 

Solutions with robust security features and adherence to industry-standard data privacy regulations may come at a higher price point than those with more basic security measures.

Strategies for Reducing and Managing GPS Tracking Costs.

To optimize your GPS tracking investment, it’s essential to explore strategies that can effectively reduce costs and enhance your tracking capabilities. One key approach is to automate routine processes; for instance, integrating a payroll automation system can significantly reduce administrative costs by streamlining time tracking and payroll management.

Furthermore, effective task delegation can be supported by using team task management software. Such tools can work alongside GPS tracking systems to enhance project coordination, ensuring resources are allocated efficiently and reducing unnecessary expenses. Along with this, focusing on accurate timekeeping is critical. Implementing an effective time reporting system can minimize errors, improving the accuracy of billable hours and overall operational efficiency.

When dealing with indirect costs, it’s beneficial to monitor and track them accurately. Using job management software helps businesses break down labor and asset costs more effectively, offering detailed insights that can drive better decision-making and cost reductions.

Companies can also benefit from reducing time theft and ensuring accurate time tracking. By being aware of time theft issues within your business, you can take steps to mitigate potential losses in productivity and optimize labor costs.

Additionally, improving overall workforce productivity is crucial. Tracking employee productivity provides invaluable data on how resources are being utilized, helping to streamline operations and boost efficiency.

Lastly, if your GPS tracking needs to extend to complex job costs and tracking, it’s worthwhile to use job costing tools that integrate with systems like QuickBooks. Such tools enable more precise cost allocation and improved financial management for projects of all sizes.

How Much Does GPS Tracking Cost From Leading Providers?

To help you better understand the costs associated with various GPS tracking solutions from leading providers, we’ve created a table that showcases the main business or industry they serve, their offerings, and their pricing. This table aims to guide you in choosing the best GPS-tracking solution for your organization’s specific needs.

Provider	Solution	Industry	Offerings	Pricing
Workyard	GPS Tracking App	Contractors & Field Service	Real-time tracking, geofencing, mileage tracking, detailed reports, idle time tracking, alerts	$6/mo per user, +$50/mo company base fee. Custom options available
Verizon Connect	GPS Workforce Tracker	Property Management & Delivery Services	Real-time tracking, location history, geofencing, reports, alerts	$0.76/vehicle/day
Hapn (Formerly Spytec)	GPS Fleet Manager	Patrol & Fleet Management	Real-time tracking, geofencing, activity monitoring, alerts, reports	$30/mo, $25/mo if billed annually
Samsara	GPS Fleet Solutions	Trucking & Utilities	Real-time tracking, geofencing, last-seen location, crowd-finding network	Custom quotes available
Garmin	Wearable GPS Trackers	Asset Tracking and Personal Use	Real-time tracking, health & fitness monitoring, notifications, GPS navigation	Devices from $100 – $700, no monthly fee

Please note that the prices mentioned in the table are subject to change and may vary based on the size of your workforce, along with the specific features, data plans, and subscription options you choose. It’s important to visit the provider’s website and review the pricing details for the most accurate and up-to-date information.

GPS Tracking ROI

Investing in GPS tracking can offer significant returns for businesses and individuals alike. To demonstrate the potential ROI of GPS tracking, we’ll review an actual example of a company that has successfully made back the cost of the investment into their chosen solution.

Kathi Smith, owner of electrical contracting company D&S Electric, decided to invest in GPS tracking to improve the efficiency and productivity of her field service operations. By implementing Workyard’s GPS tracking solution, D&S Electric was able to reap several benefits that ultimately led to a substantial ROI.

The GPS tracking system provided Kathi with real-time visibility into her technicians’ locations, enabling her to optimize routes and improve dispatching. This reduced travel time and fuel costs, resulting in significant cost savings for the company.

Additionally, the tracking system allowed Kathi to monitor idle time and ensure that her team was spending their time productively. By identifying and addressing instances of excessive idling, D&S Electric was able to reduce fuel expenses further and improve overall operational efficiency.

Moreover, the GPS tracking solution provided detailed reporting and analytics that enabled Kathi to make data-driven decisions to streamline her business processes. Through the insights gained from the GPS tracking system, Kathi could identify areas for improvement and implement changes that ultimately led to increased profitability.

As a result of the improved efficiency, reduced fuel costs, and enhanced productivity brought about by the GPS tracking solution, D&S Electric was able to achieve an impressive ROI of over $10,000. This example demonstrates the potential benefits of investing in GPS tracking and highlights the significant returns that can be achieved when leveraging this technology effectively.

How Workyard Can Help Your Company

As we’ve explored throughout the course of this article, the cost of GPS tracking can vary significantly depending on the type of solution, features, and associated expenses, such as installation and maintenance. By carefully understanding these factors, you can make an informed decision when selecting the best GPS tracking solution for your business needs.

GPS tracking presents a valuable opportunity to enhance your business operations and achieve a significant return on investment. As Kathi Smith and D&S Electric demonstrated, investing in GPS tracking can result in a substantial return when utilized effectively. 

For contractors and field service providers, Workyard offers a comprehensive GPS tracking solution tailored to your specific needs, providing real-time tracking, geofencing, detailed reports, idle time tracking, and customizable alerts. Leveraging Workyard’s robust GPS tracking capabilities can help optimize your operations, reduce overall costs, and ultimately boost your company’s bottom line. Sign up for a free trial of Workyard today!