The geolocation business is very diverse, but there is one thing—actually, a very significant detail—that they all have in common: connectivity.
With the exception of tracker tags, standard GPS trackers need to be connected to the internet in order to send location information and alerts. Obviously, this connection has to be paid for, so the only question is who pays for it and when. In this article, we’ll look at how companies—ours, for example—are able to offer their customers a tracking service without requiring a monthly subscription.
First of all, when talking about connections and subscriptions, we’ll assume that you already know that GPS trackers need a SIM card with data traffic in order to communicate with the tracking platform and show their location. If you haven’t read it yet, we recommend taking a look at our article: How to choose a SIM for a GPS tracker and how to configure it
The world of satellite tracking is divided into two different approaches:
1- We sell the device at a very low price, but then charge you every month to maintain the connection;
2- We sell the device at a higher-than-average price, but the customer is not required to pay monthly.
The second option is becoming increasingly popular with consumers because it is more convenient. Obviously, the reason is that you pay for everything at once and then have nothing else to worry about.
So how do companies meet this need?
It’s simple, so we’ll keep the explanation simple too. A SIM card—often an IoT SIM—is installed in GPS trackers with a sufficiently large amount of data, allowing them to be used over an extended period. Once the data has been used up, the card needs to be topped up. This means that usage is not dependent on time in a way that forces you to pay monthly.
Devices consume a certain amount of data each month—depending on how much they are used—so it is possible to estimate how much usage time remains for users. As a simple example, if the device’s SIM card has 500 MB of data and the device consumes an average of 7 MB per month, this allows for almost 6 years of use without having to top up the card’s data.
Obviously, all of this comes at a cost and, as mentioned earlier, this solution is offered at a higher price.
When it comes to devices following the first approach, it is easy to find trackers at very low prices—for example, between 40 and 60 euros—but they then also charge you 10 euros per month to view the device on the map. It should be noted that some include one month of free use. Nevertheless, once the service begins, 10 euros per month becomes 120 euros per year, 240 euros over two years, and we also have to include the purchase price of the device.
On the other hand, if you choose a tracker following the second approach, you might spend as much as 200 euros in one go, but you are not then required to take money out of your card every single month.
It should be said that each solution has its pros and cons... For some people, it makes no sense to spend a lot of money upfront only to realize that they did not actually need the device that much, so choosing a cheaper GPS tracker would make more sense. After all, if you want to stop using the device, all you have to do is cancel the subscription.
If, on the other hand, you are completely convinced—perhaps because you genuinely need one—the more expensive solution with the “no subscription” package is the most sensible option for your needs.
In conclusion, we invite you to think about your needs to determine whether you really need a tracker in your everyday life, so that you can make a responsible purchase.
For your information, it may also be useful to know that our GPS trackers contain a SIM card—like those mentioned above—that provides 5 years of device tracking without requiring any subscription payments. Paid premium features are optional.
Our solution:
All our devices are configured and equipped with a global SIM card already installed, with 5 years of tracking included, allowing you to view the real-time location even without a monthly subscription: