Many business owners and their fleet managers believe that investing in a GPS tracking system is a cost. If the system is used for its intended purpose, this statement can not be further than the truth. The attitude that the implementation of a tracking system is an unnecessary cost can actually only harm the business from a financial and organizational point of view.
The GPS tracking system is actually an investment with one of the highest rates of return in terms of transport. Depending on the size of the fleet, hundreds, even thousands of levs can be saved each month thanks to better organization of operations and the prevention of abuse and theft.
Over 100% monthly return on investment can only be achieved by making minor adjustments to fleet performance such as: optimizing routes, reducing unnecessary on-site engine running time, imposing a speed limit, and increasing the number of rejected tasks during the working day.
Imagine being a 10-tier company that achieves an average cost of 15l / 100km and saves only 5km per day by selecting better routes through the GPS tracking system.
1. Decreased vehicle depreciation
You save 50 km a day (10 trolls 5 km) or 1100 km per month (22 working days x 50 km / day). This is equivalent to $ 330 if we assume that on average the cost of purchasing and maintaining the vehicle amounts to 0.30lv per kilometer.
2. Decreased daily distance
You save at least 0.75 liters of fuel per bus every day or 18.75lv (10 x x (5km x 15l / 100km) per day x 2.50lv per liter). This varies to BGN 412 per month (18.75lv x 22 working days) saved by a reduction in mileage.
3. Reduce unnecessary engine running time on site
Reducing the unnecessary engine running time on site by 15 minutes per day for each car is equivalent to 55 hours less work on your car’s engines every month or 44 liters of fuel at an average cost of 0.8lph. Here we manage to save another 110lv per month (44l x 2.50lv per liter).
If you are a customer with a 2-year contract with Polaris Track, you have to pay a monthly fee of 135 BGN for all your cars, and the initial investment for purchase and installation of all devices amounts to about BGN 57 per month (10pcs x 139lv / 24months) a total of 192 leva, but from the calculations above, we save a minimum of 852 leva per month, which is equal to 660 leva saved every month!
Back into your pocket
In the example above, we used average statistics to show you how small changes you can make using a tracking system can lead to big savings and a great return on investment. We have not even included all the factors that make you more profits. Yeah, they’re like that:
Preventing thefts of fuel
Reduce accidents by speed and driving
More accurate and automated cost calculation
Greater customer trust for better service
Insurance discounts due to the availability of GPS tracking devices
Return of stolen cars
The myth that GPS tracking is a cost is DEBATE!