The largest fleet operating expense is fuel, which traditionally represents approximately 60% of all operating costs. However, the decreased miles driven by fleets during the pandemic was the No. 1 factor contributing to keeping fuel costs flat in 2020.
The COVID-19 pandemic divided the fleet market into essential and non-essential businesses, causing hundreds of thousands of company vehicles to sit idle from mid-March to mid-May. The economic shutdown caused miles-driven to plummet.
Gasoline prices remained at $2.19 for the second week in a row after a weeks of increases, following significant drops earlier in the year due to the COVID-19 pandemic.
Companies are spec’ing selectors to take advantage of more fuel-efficient vehicle technologies, such as higher-speed transmissions, turbocharged smaller displacement drivetrains, and, when possible, downsizing to a smaller vehicle.
The stability of fuel pricing has been the No. 1 factor contributing to keeping operating costs flat in calendar-year 2017. Since fuel makes up the largest portion of fleet operating costs, it has helped keep a lid on overall fleet spend.
Lower than earlier forecast crude oil prices are expected to translate into continued low prices at the pumps for both diesel and gasoline, according to a new U.S. Energy Department report.
The stability of gasoline and diesel prices over the past 36 months has been the No. 1 factor contributing to keeping fleet operating costs flat. Vehicle acquisition and used-vehicle prices are strongly influenced by low fuel prices.
Without a doubt, the top two challenges facing fleet managers are cost containment and safety. This pressure is emanating from senior management, mandating fleet managers reduce costs and minimize liability exposure.
It’s time to put another year in the books and look forward to 2016. Take some time to analyze current and future trends and how that will impact your fleet operation.
There are dramatic differences between regional fleet markets around the globe. Yet, despite these differences, there are also many similarities. Many of the challenges facing fleet managers are identical to the challenges facing their counterparts elsewhere in the world. Oftentimes, fleet best practices in addressing these challenges emerge from outside your local market, which is good reason to be familiar with what’s occurring elsewhere in the world. Here are the top 10 universal mega trends.
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