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Fleet management shapes future of general freight industry

By Verizon Connect Team July 2, 2023

Transportation is a vital component European businesses and global supply chains, as well as for the millions of passengers who rely on it daily. In fact, the transport sector plays a significant role in the EU's economy, contributing roughly 5% to its gross domestic product and employing over 6 million people. (1) 

Based on insights from over 1,300 fleet managers, the Verizon Connect 2023 Fleet Technology Trends Report for Europe provides valuable perspectives from business on the ground along with how fleet management technologies can transform the general freight industry. To learn more about these specific insights download our new eBrief: Advanced Fleet Management Technology for the General Freight Industry 2023.

What are the 3 key pillars where fleet management can help to make a difference in the general freight industry?

#1: Raise the bar on compliance and safety

Our latest Fleet Technology Trends Report for Europe reveals that fleet operators are making impressive strides in regulatory compliance and accident reduction. According to the report, 63% of survey respondents who implemented a GPS fleet tracking solution reported improvements in tachograph and regulatory compliance.

Specifically, 48% of survey respondents reported a decrease in accidents, while 33% saw improvements with vehicle maintenance. This is crucial for general freight businesses to promote a safe working environment and put their team's safety first. 

It’s key for fleets to take a thoughtful approach when addressing safety and compliance. Fleet management technology, such as GPS fleet tracking software can help fleets:

  • Promote teams’ safety monitoring daily operation in near real-time on a live map
  • Streamline compliance and monitoring of driver hours and rest periods remotely
  • Download your tachograph from your office
  • Boost preventive maintenance for all your vehicles

#2: Cost savings matter and have a direct impact on the bottom line 

Cost savings can significantly influence a business's profitability. Streamlining daily operations and reducing costs can have a substantial impact on your business, particularly when managing a larger fleet. By implementing cost-saving measures such as fuel monitoring, optimising labour costs, reducing vehicle maintenance and accident costs, significant benefits could be achieved. 

According to energy research, efficient driving practices “can allow us to save 10 to 25% of fuel”. This reduction in fuel consumption can have a significant positive impact on your company, especially since fuel costs represent a crucial daily operational expense. (2)

Among GPS users in the general freight industry, 72% found them “extremely” or “very beneficial” to manage their fleets. In terms of cost savings, they achieved important cost reductions with the help of GPS technology. These included:

  • Fuel cost reduction: 54%
  • Labour cost reduction: 32%
  • Vehicle cost reduction: 33%
  • Accident cost reduction: 48%

#3: A customer-centric strategy, is a game changer for general freight businesses

The implementation of GPS fleet tracking technology has proven to be a valuable solution for meeting customer demands and expectations in the general freight industry. In fact, 69% of respondents reported an improvement in their customer service levels. In this sector, providing innovative and high-quality services is crucial in setting businesses apart from their competitors.

Elevating the quality of customer service is the foundation for building strong customer relationships and increasing customer loyalty, ultimately ensuring that a business remains top of mind among both current and prospective customers.

In general, businesses believe that customers are willing to pay a premium for superior customer service, as well as for environmentally sustainable and eco-friendly products and services.

The general freight industry must prioritise reducing their greenhouse gas emissions (GHG) and proactively position their business as a part of the solution. As customer demand for environmentally conscious practices continues to rise, it’s imperative for businesses to adopt greener operations and demonstrate a commitment to sustainability.

A GPS fleet tracking solution can help your business to: 

  • Provide accurate ETAs 
  • Monitor and help reduce carbon footprint to become a greener fleet
  • Reduce fuel consumption

Fleets are using GPS vehicle tracking to help improve their business while doing a better job of meeting customer demands and cutting costs as well. Download the Advanced Fleet Management Technology for the General Freight Industry 2023 eBrief and learn more about how this tech can help you and your business.

Sources:

  1. https://ec.europa.eu/eurostat/web/products-key-figures/w/key-figures-on-european-transport-2022-edition
  2. https://www.idae.es/uploads/documentos/documentos_manualPME_6bc54e20.pdf

Verizon Connect Team

We drive a connected world in constant motion! We automate, optimise and revolutionise the way people, vehicles and things move around the world.


Tags: Cost control, Customer service, Productivity & efficiency, Safety

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