Any upgrade you make to your fleet is an investment. This is particularly true with fleet technology. Sometimes it’s challenging to make technology decisions because so many options exist. GPS tracking is one of the most prominent technology solutions in fleet management. You may have already implemented fleet tracking and are looking for something better. Maybe you are just starting with fleet tracking entirely. Either way, we’re going to explore GPS fleet tracking’s ROI.
Fleet Tracking ROI
You can use Azuga’s fleet management ROI calculator to determine how much you can save using GPS technology. In this section, we’ll discuss how those returns come to be and in what areas you’ll see savings.
- Fuel: Fuel is a considerable cost for fleets. With GPS tracking, you can use route optimization software. This technology helps get your fleets on their way using as little fuel as possible.
- Accident Prevention: By tracking driver behavior and ensuring drivers are where they are supposed to be, you can prevent accidents for your business and save thousands.
- Labor: With fleet tracking software, you can make your fleet more efficient. This means drivers won’t be sitting around waiting, getting lost, or ending up in the wrong place. All of these benefits result in your business wasting less labor.
Calculating ROI
When calculating your ROI, you must consider two elements. First, think of the gains your investment will bring you. Then, think of how much these investments will cost. Let’s break this down in terms of GPS tracking software.
Gains
We went over some of the benefits of fleet management software. Your fleet will be more productive. As a result, you’ll be able to provide better customer service. In the meantime, you can enjoy greater ELD compliance and improved fleet vehicle maintenance. Fleet management software can help you determine your exact gains using accurate data.
Costs
Of course, nothing worthwhile is free. Luckily, fleet tracking software doesn’t involve too many costs. First, you will need to consider the cost of the fleet tracking system itself. How long will it take to install and maintain? These hours must be counted as part of the cost as well. Also, consider the downtime required to train staff on using the software and your new policies.
Calculate ROI
Once you’ve organized all of these concerns into quantifiable units, you can make the calculation. The formula is simple:
ROI = (Investment Gains) - (Investment Costs) / (Investment Costs)
This is how Azuga’s ROI calculator works as well. We walk you through every step to help quantify your gains and costs.
Azuga’s Fleet Tracking Software
If you want to implement fleet tracking software in your fleet, look no further than Azuga. Azuga’s fleet tracking solution is comprehensive, covering all aspects of fleet management. You can use geofencing and asset tracking to keep your vehicles safe or use route planning software and streamlined dispatching to make your fleet more efficient. There are endless benefits to Azuga’s fleet tracking software. To see for yourself, set up a demo with one of our experts today!
