Cost savings: How a GPS tracking solution can help your company’s bottom line

Cost savings is key for any business, as reducing a company’s overall spend directly impacts the bottom line. But it can be difficult for businesses to remain competitive with rising fuel prices, changes in the global and local markets, and everyday operational challenges.

For businesses of all sizes, saving money often requires small actions that all add up to big changes. For fleet-reliant businesses, significant fleet cost reduction can be achieved by reducing fleet operating expenses and tackling strategic areas such as fuel consumption, vehicle maintenance, routing among others.

The latest Fleet Technology Trends Survey highlighted the most important daily challenges faced by U.S. fleet managers and mobility professionals—and how fleet technology can help them to reduce costs in areas such as fuel consumption, labor and vehicle maintenance.

According to our survey, 77% of businesses said that increased costs was one of the biggest business challenges (extremely or very impactful), followed by driver shortage (52%), meeting customers’ expectations (51%), increased regulation (43%) and competitive pressure (33%).

Discover the top challenges that fleet managers and business owners face in their daily business, by downloading the Fleet Technology Trends Report.

Fleet technology savings add up over time

• Across all industries, GPS tracking users reduced fleet fuel costs by an average of 16%. 
• Users also saw an average decrease of 22% in accident costs and reduced fleet labor costs by 16%. 
• GPS tracking users also lowered their vehicle maintenance costs by 16% and saw a 13% decrease in insurance premium costs. 

Let’s dive into the top four ways managers can reduce fleet operating expenses: 

Reduce fuel costs: Receive a clear and detailed overview of the fuel consumption of all your vehicles, including fuel used, distance traveled, harsh driving events, speeding events and idling. Discover whether poor fuel efficiency is costing you extra and help identify vehicles experiencing fuel efficiency issues. 

Based on the distance traveled and estimated fuel consumption, fuel efficiency is displayed as an overall positive or negative cost. You can then take action to boost fuel efficiency within your business and realize fleet management savings.

Decrease accident costs: Fleet management technologies such as video telematics can help you understand what is happening on the road, leading to fleet cost reduction. Receive an alert in the event of harsh driving, and access video footage to help protect your drivers and business from false claims, potentially reducing expenses associated with accidents.

Reduce labor costs: Manage your team’s time more efficiently with better route planning that avoids extra miles driven or congestion, so you have more time to meet your customers' needs instead. Monitor the progress of activities in near real-time, such as the time your team spends serving customers, multiple stops made or excessive downtime. All this helps you achieve GPS tracking cost savings by keeping your team running on schedule and up to speed.

Lower vehicle maintenance costs: Boosting a vehicle maintenance program with the combined help of fleet management, vehicle data and known maintenance needs can lower vehicle maintenance costs. You can also receive alerts regarding vehicle issues and regular vehicle check-ups are made easier thanks to detailed records.

To learn more about the value of GPS fleet tracking technology and how you might achieve fleet cost reduction, download the full 2025 Fleet Technology Trends Report.

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