Fleet management software is now at a prime time for remote vehicle tracking. Fleet managers take pride in themselves for staying at the cutting edge of GPS tracking technology. Fast-forwarding to today, vehicle tracking systems have brought more benefits than disadvantages to fleet companies.
Transport-based businesses that rely on trucks and smaller cars to serve their clients in distant locations have reported gaining several economic advantages from their investment in vehicle tracking tools. But just how does vehicle tracking provide numerous benefits that help increase revenue?
The economic benefits can be seen in operational cost reductions and improved productivity. Fleet managers use vehicle tracking solutions to allow them to save time and money. All in all, if technology allows you to save time and money, then you are making a profit.
Economic Benefits of Vehicle Tracking
Vehicle tracking solutions allow managers to have a better overview of their drivers, vehicles and goods — while they are in service. The following points are examples of how vehicle tracking technology is beneficial in terms of boosting revenue.
Fuel keeps business vehicles on the road for hours. The fuel consumption rates of vehicles must be taken into consideration when planning routes for them. With GPS tracking systems, managers can properly plan routes to reduce the length of time spent by drivers to reach certain destinations. Tracking also enables dispatchers to find shorter routes through traffic-congested areas.
Tracking systems allow managers to set proper speed limits that are directed towards improving safety and fuel savings. Fleet managers can even install mobile Wi-Fi for vehicles from EyeRide.
Reducing Maintenance Costs
Tracking systems reduce the maintenance expenditure for commercial vehicles. With warning systems in place to ensure vehicle and driver safety, tracking tools reduce the number of times vehicles will need to be serviced in a month or year. Because shorter routes can be found by using tracking devices, vehicle wear and tear is also reduced to the barest minimum.
Reduce Costs of Insurance and Liability
Due to the reduced risks of accidents involving tracked vehicles, insurance companies give discounts to businesses that run tracking systems for their fleets. Additionally, tracking solutions reduce the liability costs involving accident claims and compensation.
Prevents Unauthorized Vehicle Usage
Most businesses suffer losses because remote drivers waste fuel by using company vehicles for their personal use — without their employer’s knowledge. Incidences of driver malpractice can be reduced when vehicles are equipped with tracking systems.
Improves Customer Service
Businesses derive revenue from the services they offer to customers. Since tracking tools are aimed at efficient customer service, companies make more sales to increase their revenues. More tasks can be completed on a given day because the journeys are optimized.
Businesses that use fleet tracking software record positive returns on investment (ROI) in less than a half year. In summary, fleet companies make bigger gains using tracking technologies in the following senses:
- Efficient deployment of vehicles
- Reduced risks of accidents through monitoring
- Prevents unauthorized vehicle usage. Stolen vehicles can be tracked secretly.
- Automatic updates on fleet data. Example — real-time location of fleet, truck mileage, idle time, etc.
- Fuel saving