CP - I've been investigating this for some time.
I do DofE/Ten Tors/School Exped groups in my spare time for friends, and a variety of things through work.
Through work, I have access to SPOT trackers. This is pretty much the gold plated, all singing/dancing solution that works everywhere (unless you end up in southern africa and a couple of other remote spots around the world, but pretty much you're covered!). The major issue with SPOT is the subscription cost. The units are reasonably priced (between £100 & £140 depending on what you get) but the basic subscription is somewhere in the region of £75 a year per unit, on top of which you need to add about £20 to use it in the way that you want (ie active tracking). That's out of the reach of most volunteer based groups (especially if you're talking about ten+ walking groups out and about at the same time, which is what I was running weekend before last.)
The android/iphone solution is one I've been looking at and have trialed recently. The main issue is the batteries are just not up to the job for weekend tracking. However, if you look at getting a phone + powermonkey/charger that is a possibility. I tried using an Orange San Francisco (£90 PAYG) and Google's Latitude service. It's not a bad solution but the issue with it is that it drops a pin on google maps wherever your group is. Good until they're in the back of beyond with no roads/identifying features, when Maps becomes pretty much useless! As mentioned above, view ranger or similar do the same thing broadly speaking. The other issue is obviously that it requires cell-phone signal to upload its position (SPOT uses SatPhone) and thus you require a signal. To be honest, this is not as much of a problem as people make out in the UK. The thing it doesn't necessarily do is give you the group position "right now" but generally in my experience you can keep track of where they've been in the last two hours, as it "pings" whenever it has signal, so your search is usually over quite a limited area. One issue, as mentioned is that you can't really profile the device to turn on at a specific time (i.e. morning) and turn off again in the evening, which would be useful on multi-day expeds.
The solution you mention is one I've been looking for really. The "vehicle tracker" solutions are generally economical (as they're under commercial pressure) and have pretty decent battery life as you don't have a whole bunch of un-necessary stuff going on in the background.
I'm considering trialling the TR-151, which is described as a "vehicle tracker" but pretty much does everything you need, and runs from a decently sized battery. Handily enough it also has a motion sensor mode, which only reports its' position whilst moving, so it should shut down overnight and save battery also. Again, this relies on cellphone, but given the above, it'll probably be ok. I believe (and this is "believe" only as I haven't trialled it) it will cache the route it has taken and upload it whenever it has cellphone signal. Crucially this can also be run on a PAYG sim (Orange is the one I'm looking at) so you haven't really got a subscription cost as such. More expensive than the San Francisco plus a powermonkey, but probably a neater, more reliable solution. The 151 is around £240 with VAT, but you can pick up a 5-pack for £870, which might be ideal for group work.
My solution long term I suspect will be to pick up around 6 of the TR-151 trackers and then if I'm doing gold-level work in the Highlands or somewhere with limited signal to hire some SPOTs (they can be had for around £30 a weekend).
<edit to add> The "PingMe" on Amazon also looks like it might be a go-er, but I'm not sure on the reliability levels. It's available for around £65 though.
Edited: 25/04/2012 at 10:34