Every business owner who deals with fleet management knows that operating a distribution fleet comes with its fair share of challenges and expenses.
If you have a headache because of the ever increasing expenses of running trucks for customer deliveries – know that you’re not alone.
We are here to help you figure out how to operate a fleet for maximum profitability.
So let’s get started with fleet management costs!
How to Reduce Truck Related Costs
Running a fleet of trucks or vans is a costly business, but the good news is that even small savings per vehicle can add up significantly (especially if you have a large fleet). And it is easy to scale from one vehicle to another.
We at TrackingFox gathered together some tips that can help you to lower those ongoing running costs:
Consider Downsizing Your Fleet
Reducing fleet size might seem drastic, but it can lead to significant savings. Ask yourself: How efficiently are you using your trucks’ load capacity? Could you streamline operations by removing specialized vehicles? Are any trucks underutilized due to fluctuating workloads? Sometimes, less is more (and more cost effective!).
Retread Truck Tyres Instead of Buying New Ones
Tyres are a major expense, second only to fuel. Retreading tyres instead of replacing them can lead to considerable savings. If your fleet includes large goods vehicles, this strategy is particularly effective.
Maintain Correct Tyre Pressures
Did you know there’s a direct link between tyre pressure and fuel consumption? Maintaining the manufacturer-recommended tyre pressures can help reduce your fleet’s fuel consumption, with every psi of under-inflation affecting fuel economy by about 0.2%.
Retire High-Mileage Vehicles
It’s tempting to keep older trucks running to avoid the cost of new ones, but this can be a false economy. High mileage trucks often require more maintenance, consume more fuel, and incur higher spare parts costs. Setting a mileage threshold for retiring vehicles can be a smart move.
Reduce Truck Acquisition Costs
The initial purchase price of new trucks is a substantial part of fleet expenses. To reduce these costs – rationalize truck specifications.
Avoid over engineering your new trucks. Focus on necessary functions and features, and pay attention to specifications tailored to your specific distribution routes and scenarios.