Not only do the costs of running a business keep increasing, when you own (or lease) a fleet of vehicles to keep your business growing, fluctuating fuel prices can also put a damper on your profit. It is essential that you do everything that you can to make sure that you are not wasting valuable money on fuel.
Here are some ways to reduce your fuel costs.
Before you can cut back on your fuel costs, you have to know what you are spending. Unless you know exactly what you are spending in fuel, you won't really be able to know if your costs are going down. It is important that you keep detailed records of fuel costs.
Not only should you be watching this as a whole, you may want to break it down between vehicles and drivers. You might be able to notice a pattern if one vehicle seems to be using a lot more than some of the others.
1. Your driver's behavior can really affect your fuel cost
Your drivers should know that you expect them to drive safely. By following the speed limit and avoiding aggressive driving, they will help to keep your costs down. They should also be warned of excessive idling, which can really waste fuel for no reason.
You may notice a big difference in your fuel consumption by working with your drivers. It might be enough that you can reward those who keep their fuel spending down!
2. Try to cut back on the mileage traveled
By watching where everyone is going, you may realize that you are not being smart with your workers. They may spend unnecessary time on the road, driving to and from different sides of town. Try to give your drivers jobs that are close together, so they have less driving time.
Not only will this cut back on the mileage and fuel, you might be able to take on more jobs. Emergencies may happen which can cause your drivers to have to put more miles on their vehicle, but by grouping jobs together, you might really see some of your costs come down.
3. Keep your fleet full of new(ish) vehicles
Though you may not want to update your vehicles regularly, it can be a smart investment. Mercury's studies have shown that older vehicles can, in fact, cost more. Not only will they take more money to keep them maintained, they are not as efficient on fuel, decreasing their fuel economy.
Don't have the capital to buy new vehicles every few years? Look into leasing vehicles. It may be the best way to keep better vehicles in your fleet.
4. Maintaining the vehicles that you do own
Vehicle maintenance can really help with fuel economy. Though this sounds like a lot, it doesn't have to be. Just by fixing problems as they occur, keeping your tire pressure adjusted, and changing the air filter regularly, you will also notice a difference in your fuel consumption.
Fuel may be one of the most expensive expense for your business so you should always look for ways to save some money. By monitoring where you are spending the money, you can look for places where you can reduce fuel costs. Two of the biggest things that can help with fuel consumption are drivers and the vehicles themselves.
5. Drivers need to learn how to drive safely
Hard breaking followed by speeding can really increase fuel use. By training your drivers to follow the speed limits, you can really cut back on these costs. Regular maintenance on your vehicles will also help, though you may also want to think about buying newer vehicles regularly because they are much more efficient on fuel.