How To Use Real-Time Tracking To Reduce Fuel Costs

Fleet managers consistently seek ways to reduce transport expenses, with fuel generally seen as the most significant. In competitive business settings, customer demand, rising taxes, and vehicle maintenance can put a heavy strain on a fleet manager. Rising fuel costs are an understandable bane of a transport manager’s life. However, there are tools to help fleet managers manage and reduce their fuel costs. Real-time tracking technology provides intelligence on fuel usage allowing fleet managers to reduce costs based on the analytics they receive from such tools. Here, we take a look at how to use real-time tracking to reduce fuel costs.

Why it matters

Over time, fuel costs have been wildly inconsistent. High price rises have been seen in recent years, while we also live in the age of instant deliveries and membership clubs. This has meant that many customers, who may also be feeling the brunt of rising costs, are unwilling to pay extra fees for their deliveries despite the heavy cost of distribution services. This is a worldwide problem that at times can, if not properly managed, lead to significant problems for a logistics business. As there is no way to control flat fuel rates, companies have to invest time and money into strategies and technology that can reduce the amount of fuel they use. That way they can remain profitable and operational, even in a volatile market.

Optimise routes

We’ve all been in a situation where heavy traffic seems to come out of nowhere and put paid to our plans for an easy journey. Idling in traffic is frustrating enough for a driver but even more so for those looking to reduce their fuel costs. Real-time tracking systems provide a wealth of data on traffic conditions. This allows drivers to choose a better route to avoid delays and cut down on fuel costs. Not only this, but optimising routes can also improve the customer experience. This can bring repeat business to the company and even lead to business enquiries through word-of-mouth recommendations

Optimise driver behaviour

We all know that aggressive driving habits can significantly increase fuel consumption. Harsh breaking, speeding and rapid acceleration will take their toll on not only the vehicle but the amount of fuel it uses. Real tracking systems allow fleet managers to monitor the behaviour of their drivers. That way, they can identify training areas and promote safer driving while reducing the cost of fuel wasted.

Don’t sit idly by

Excessive idling exacerbates fuel waste. If a vehicle is idling for an extended period, a real-time tracking device can alert the vehicle manager. Whether this is due to driver behaviour or inefficient routing, the data that a system collects can allow a fleet manager to address the root cause.

Vehicle maintenance

As well as tracking user behaviour and traffic, real-time tracking can also offer insights into maintenance and service issues. By proactively monitoring and acting swiftly, fleet managers can prevent vehicle breakdowns and ensure optimal performance. Obviously, a better-maintained vehicle will use less fuel than one that is struggling and, therefore, fuel-inefficient.

The ongoing benefits

One ongoing benefit of real-time tracking systems is that over time, more data will be collected. Fleet managers can use this to take a look at the bigger picture of why their fuel costs might be rising, and take steps to deal with this.

As you can see, there are significant benefits of utilising real-time tracking to manage your fuel costs. All managers should be aware of the range of options available to them. Consulting specialists will allow them to choose the best tracking systems for their unique business needs.