Two new, compact sensor systems for measuring linear and angular displacements are presented. Both systems have been designed with the aim of being compact, reliable, low-priced, yet performs with reasonable accuracy. Common for both systems is the use of Vertical Surface Emitting Lasers (VCSELs) as the coherent light source. The first system is a device for measuring one component of a linear translation, being it of a solid surface or scattering particles in a flow. A VCSEL array constitutes the illuminating source creating a fringe-like pattern in the measuring volume by imaging. Scattered light from the object is detected with a single detector and a spectral analysis of the signal reveals the traverse velocity, the fringe distance being known. For measuring rotation of a semi-reflective steel ball, a compact system has been developed, again based on a single, lensless VCSEL as the source. This system is further reduced in size, as compared to the previous system and provides adequate accuracy for its intended purpose.