Given that fleet fuel costs are traditionally 60% of a fleet’s operating expenses, it’s no…
When it comes to saving money on fleet operations during & after the pandemic, RouteSavvy route optimization generates fleet management ROI (return on investment) that all fleets could use in these troubled economic times. The bottom line is that RouteSavvy provides fleet management ROI that saves precious cash, both now and in the future.
How Does RouteSavvy Generate Fleet Management ROI?
In terms of fleet management strategies, route optimization software emerges as the THE affordable fleet management technology that provides huge bang for the buck – saving both time and money. Here’s how:
Fuel Cost Savings – When considering how to reduce the most expensive fleet operating cost (fuel), route optimization saves money whether fuel costs are high or low. While labor costs have started to compete with fuel costs as the biggest fleet expense, Automotive Fleet Magazine reports that fuel costs still comprise between 40-60% of a fleet’s operating costs. When route optimization tools like RouteSavvy help small to mid-sized fleets reduce miles driven through more efficient routing, the biggest cost of operating your fleet is reduced.
Maintenance Cost Savings – There are plenty of fleet maintenance costs that are tied to miles driven, most notably, oil changes. The American Transportation Research Institute reported that the cost of fleet repairs & maintenance has hovered near 10% of annual fleet operating costs since 2016. When route optimization is deployed and miles driven are reduced, this reduces mileage-related repair and maintenance costs.
When fleet managers invest in affordable route optimization software tools like RouteSavvy, the investment results in operational cost savings that go straight to the bottom line – and can help businesses with fleets live to operate another day in tough economic circumstances during the pandemic, and beyond.
To Improve Fleet Management ROI, Fleet Managers Need RouteSavvy
Here’s a look at some sample ROI models to show how RouteSavvvy provides a massive return on investment:
Sample Fleet: 5 16-foot Box Trucks:
Miles Driven Per Week (5 box trucks): 500 miles per week
Average Mileage – 16-foot Box Truck: 10 miles per gallon
Total Miles Driven Per Year (50 weeks): 25,000 miles per 50-week year
Total Gallons of Fuel Purchased Annually at 10 MPG: 2,500 gallons
Average Cost of Diesel Fuel (Jan. 2020): $3.05 per gallon
Annual Fleet Diesel Fuel Spend-2020: $7,625.00
Average Cost Gasoline Fuel-2020: $2.60 per gallon
Annual Fleet Gasoline Fuel Cost-2020: $6,500
If more efficient routing yields a 15% reduction in miles driven, here’s the fuel costs that would be saved:
Oil Change Savings @ 1 less oil change per year for 5 box trucks: $350
Diesel Fuel Savings: $1,144 + $350 (1 less oil change) = $1,494
Gasoline Fuel Savings: $975 + $350 (1 less oil change) = $1,325
Annual Cost of RouteSavvy Route Optimization Software To Accomplish These Savings: $300
Note to Readers: For specific case studies in which RouteSavvvy has saved businesses & non-profits both time & money, please visit the RouteSavvy Knowledge Center. In the case studies section, you’ll find case studies of RouteSavvvy users in a variety of industries, including:
- Beverage distribution company
- Printer service & supply company
- Real estate signage delivery company
- A regional tree & lawn service company
- An organic produce delivery business
- A non-profit meal delivery service…and more!
RouteSavvy can transform fleet management ROI by providing the most affordable, powerful route optimization software for just $300 per year, and a return on investment of a factor of 5 or more.
Need to improve your fleet management ROI? Schedule a free trial of RouteSavvy route optimization software for small to mid-sized fleets.