GPS Fleet Tracking: Expert Guide To Double Your Business ROI

What is ROI in fleet management?

As you know, ROI stands for “return on investment”. It’s a fleet’s net profit ratio to its investment cost. If your business has a high ROI, your profits outweigh operational costs, giving your business more profitability. In contrast, if your business currently has a low ROI, you’re spending more than your business is earning.

Critical data points that can affect your fleet’s ROI include:​

1. Annual claims: Your annual out-of-pocket claim costs for the previous year
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2. Annual repairs: Your annual out-of-pocket repair costs for fleet vehicles or third parties
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3. Fuel waste: The total estimated cost of wasteful driving behaviour like idling
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4. Insurance premiums: Some insurance companies offer a reduced premium if fleet vehicles have devices that track GPS data

Why should you calculate your fleet's ROI?

Calculating your business’s ROI helps identify and determine the financial benefits of specific purchases, which can be used to justify the investment to stakeholders or for record keeping. So, if you’re considering incorporating EVs in your fleet, looking at ROI will indicate whether going green is doable and profitable.

Calculating also helps businesses prioritise goals, identify areas of improvement, and track progress over longer periods. Progress tracking is beneficial for informed future decisions and progressive changes.

4 ways statistics prove GPS fleet tracking technology boosts ROI

Can GPS tracking technology really help you boost your profits?

Looking at relevant statistics can help you make a smart decision. These mind-blowing stats from the US indicates how intricately linked GPS tracking technology is with increased ROI.

1. 64% of fleet managers currently use GPS fleet tracking technology in their businesses. This shows that GPS is a valuable fleet tracking asset that lightens the load on fleet managers.  
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2. While medium-sized fleets are more likely to adopt GPS tracking technology, a 12% increase was recorded for smaller fleets from 2019-2020, indicating an increase in the benefits of GPS fleet tracking technology and its profit-boosting benefits. 
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3. In 2021, a whopping 45% of 1,200 U.S. fleet managers and other business professionals using fleet management solutions reported a positive ROI in 11 months or less — a clear indication of how quickly companies can start seeing a difference in their profits. 
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4. In 2020, a massive 54% improvement in customer service was reported due to fleet tracking technology. Happy customers is a solid profit-boosting tool, making this stat a testament to how fleet tracking technology is instrumental to business success.

Your expert guide to double fleet business ROI with GPS tracking

If you’re ready to see a real profit boost, the best place to start is to ensure you understand what to do. With our expert guide, you can quickly identify pain points, implement cost-saving solutions, and double your fleet’s ROI.

• Optimise routing efficiency: By using GPS tracking and real-time position data, you can identify the most efficient routes for your drivers, ensuring timely deliveries and cost savings.
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• Prevent costly repairs: Implementing maintenance schedules and reminders based on fleet data allows you to proactively address vehicle upkeep, extending lifespan and avoiding expensive repairs.
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• Enhance safety and reduce incidents: Tap into fleet data to evaluate driver adherence to safety protocols, enabling you to identify areas of improvement and reduce the number of accidents and safety violations.
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• Get insights from fuel consumption analysis: Take advantage of fleet data to pinpoint excessive fuel usage or theft and identify areas where consumption can be optimised, leading to substantial fuel-cost savings.
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• Boost operational efficiency: Analysing data on idling time, lengthy trips, and absenteeism helps identify bottlenecks and inefficiencies within your fleet, enabling you to streamline operations and maximise productivity.

Cartrack’s telematics-based solutions can help you turn your fleet-management business into a profit-generating machine.

Contact Cartrack Indonesia today for the ultimate ROI-boosting fleet management tools.