Methods of Tracking a Vehicle: How Each One Works

August 29, 2024 Published by
Vehicle Tracking

The main methods of tracking a vehicle are GPS tracking, cellular tower location, satellite communication, RFID, Bluetooth, and the connected-car systems built into many newer vehicles. For businesses, the most common and reliable method is a GPS tracker that calculates the vehicle’s position from satellites and reports it over a cellular network, either hardwired, plugged into the diagnostic port, or battery-powered.

Each method works differently and fits a different job. This guide explains how each one works, what a GPS tracker actually uses to track a vehicle, the types of GPS devices available, and how to pick the right approach for your vehicles.

What are the main methods of tracking a vehicle?

Here is how the most common vehicle tracking methods compare at a glance.

Vehicle tracking methods compared
MethodHow it worksLive location?Best for
GPS tracker with cellularSatellites provide position; cellular network sends it to softwareYesBusiness fleets, equipment, theft recovery, teen drivers
Cell tower locationEstimates position from nearby cell towersYes, but less preciseBackup location when GPS signal is weak
Satellite communicationGPS provides position; data is sent through a satellite network instead of cell towersYesRemote areas without cellular coverage
RFIDA tag is read when the vehicle passes a readerOnly at reader pointsGates, lots, and fuel islands
BluetoothA beacon is detected by nearby receivers or phonesOnly within short rangeLocating vehicles inside a yard, lot, or building
Built-in connected-car systemsFactory hardware reports to the manufacturer’s appOften, with an active planPersonal vehicles from a single manufacturer

What does a GPS tracker use to track a vehicle?

A GPS tracker uses three things: signals from GPS satellites to determine its position, a communication network, usually cellular, to send that position, and software that displays it on a map. The GPS receiver only receives signals. It needs a separate connection to report where the vehicle is.

  1. Satellite signals. The tracker’s receiver picks up signals from multiple GPS satellites and calculates its location by measuring its distance from each one.
  2. A cellular connection. A built-in modem sends the location, along with data such as speed and ignition status, over a cellular network.
  3. Tracking software. An online platform or mobile app stores each update, shows the vehicle on a map, keeps route history, and sends alerts.

This is why most real-time trackers carry a monthly service fee: the cellular data and software that make live tracking possible have an ongoing cost.

What types of GPS vehicle trackers are there?

GPS trackers come in three main forms. The right one depends on how long you’ll track the vehicle, whether you want it hidden, and what data you need.

Types of GPS vehicle trackers
Tracker typeInstallationStrengthsTradeoffs
HardwiredWired into the vehicle’s electrical systemHidden, tamper-resistant, constant powerTakes longer to install
OBD-II plug-inPlugs into the diagnostic port under the dashInstalls in minutes, can read vehicle dataEasy for a driver to unplug
Battery-poweredMounted anywhere, no wiringWorks on trailers and equipment, easy to moveReports less often to save battery

Plug-in trackers fit most passenger vehicles because the U.S. EPA requires all 1996 and newer model year passenger cars and trucks to meet its on-board diagnostics requirements, which standardized the diagnostic port. Heavy-duty trucks often use a different diagnostic connector, so check compatibility before ordering.

For trailers and unpowered equipment, battery-powered portable GPS trackers are usually the simplest option.

How do the other vehicle tracking methods work?

Cell tower location

Cell tower location estimates where a device is based on the towers it connects to. It works anywhere there is cellular service, but it is far less precise than GPS, especially in rural areas where towers are spread out. Many GPS trackers use it as a fallback when a satellite fix isn’t available.

Satellite communication

Satellite trackers still use GPS for position, but they send data through a communications satellite network instead of cell towers. That makes them useful for vehicles and equipment working in remote areas with no cellular coverage. Hardware and service typically cost more than cellular tracking.

RFID

RFID tags are read when a vehicle passes a reader, such as at a gate, wash bay, or fuel island. RFID confirms that a vehicle passed a specific point, but it can’t tell you where the vehicle is between readers.

Bluetooth

Bluetooth beacons are picked up by nearby receivers or phones. They work well for finding a specific vehicle on a large lot or inside a building, but their short range makes them unsuitable for tracking vehicles on the road.

Built-in connected-car systems and phone apps

Many newer vehicles include factory telematics that report location to the manufacturer’s app, usually with a paid plan after a trial period. Phone apps can also share a driver’s location. Both are convenient for personal use, but businesses usually need a single system that covers every make and model, works without a driver’s phone, and keeps data under the company’s control.

How do you track a vehicle?

To track a vehicle, decide what you need to know, choose a tracker that fits the vehicle, install it, and set up alerts in the tracking software.

  1. Define your goal. Theft recovery, dispatching, driver safety, and teen driver monitoring each call for different features.
  2. Choose the method. For most vehicles, a GPS tracker with cellular reporting is the right fit. Choose satellite communication only if vehicles work outside cellular coverage.
  3. Pick the device type. Hardwired for long-term fleet vehicles, plug-in for quick setup, battery-powered for trailers and equipment.
  4. Install and activate. Mount or connect the device and activate service so it begins reporting.
  5. Set up alerts. Add speeding alerts, after-hours movement alerts, and geofences around your yard or job sites.
  6. Tell your drivers. For company vehicles, give drivers written notice and a signed tracking policy.

Is it legal to track a vehicle?

Tracking a vehicle you own or lease is generally legal. Tracking a vehicle you don’t own, without the owner’s consent, is restricted or illegal in many states. Businesses should track company-owned vehicles, give drivers written notice, and get written consent before tracking any personal vehicle. Laws vary by state, so have counsel review your policy if you operate in several states.

Which vehicle tracking method is best?

For most businesses and families, a GPS tracker with cellular reporting offers the best balance of accuracy, live visibility, and cost. Other methods fill specific gaps.

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