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Fleets report positive ROI with fleet tracking software
Learn how investing in GPS tracking technology can positively impact your company's ROI.
Read moreEvery organization has competition, evolving industry dynamics to keep up with, and changing customer bases. These factors make it crucial to keep a pulse on how your company is operating, and where challenges and opportunities exist for improving operations.
Regardless of the industry you work in, your company should put benchmarks in place as a way of periodically measuring business success and looking for ways to improve ROI.
Fleet managers are especially reliant on knowing near real-time ROI metrics. Here are some best practices in how you can gauge your fleet’s success:
1. The break-even point
This is the number you need to get to in each period (generally monthly or quarterly) for the company to cover its own costs and sustain itself, even if it is not making a profit during a slow time.
2. Leads generated and leads converted
Not all organizations depend on marketing. But if yours does, you need to keep track of where your leads come from (direct mail, email, ads, etc.) to help you decide where to allocate marketing dollars. Likewise, you should also know how many leads convert or become customers, which helps track growth.
3. Sales indicators
Volume and frequency of sales can provide data on overall business success. You can break this down by sales to new customers, sales to existing customers, profit per sale, which products/services are making the most money, or any other categories that might be important to your business. Keeping track of these numbers can provide valuable insight into other actions. For example, if you see sales to existing customers suddenly drop, you can investigate why.
4. Net income ratio/profit
Your profit—the money left over after operating expenses are subtracted from revenue—is an important benchmark. A business just starting out, or one in an industry that experiences periodic or seasonal slowdowns may have a bottom line in the red from time to time. But you should always aim to grow profits—if you’re losing money, look at ways to trim expenses or reconfigure operations.
5. Customers (new, repeat and referrals)
A growing customer base means your business is meeting target audience needs and creating happy customers who are likely willing to refer others. So, consider offering a referral incentive to help attract new customers and help you gauge current customer satisfaction. Keep all customer data in one place and be sure to have a way to track where each customer came from.
6. Employee satisfaction
Your employees are a critical part of your company. Helping ensure they have a positive, supportive work environment with tools that let them succeed will motivate them to work harder. This lays the groundwork for employee satisfaction which translates into increased customer satisfaction.
7. Your satisfaction
Don’t discount your own satisfaction with your business and the direction it’s going. If you aren’t happy, it can trickle down to employees and ultimately to customers. Make sure to periodically review the state of operations – If you’re not satisfied, create an actionable plan for change around areas that need improvement.
GPS fleet tracking technology can positively impact ROI
GPS fleet tracking technology enables your organization to create specific reports around route optimization, asset tracking, fleet maintenance, and costs, along with long-term driver behavior monitoring.
From GPS fleet and asset tracking to video monitoring via AI dashcam video solutions, telematics can help fleet-driven companies like yours increase their chances of meeting and even exceeding metric benchmarks.
“Fuel costs have seen a dramatic decrease since we began using the features and reporting of the platform.” – Michael I., Construction Industry
Telematics provides tools to help drivers and staff work more productively and efficiently, while at the same time streamlining workflows, centralizing data access, and helping to prioritize safety and improve ROI. Technology plays a critical role in how fleet managers meet and exceed their goals.
Want more information on how fleet management software can help you achieve a positive ROI? Download our free Fleet Technology Trends Report or schedule a free online demo.
