GPS vehicle tracking is a technology that allows businesses to monitor the location, speed, and activity of their vehicles in real time. GPS trackers are small devices that are installed in vehicles and communicate with satellites or cellular networks to send data to a central system. By using GPS vehicle tracking, businesses can gain valuable insights into their fleet performance, driver behaviour, and operational efficiency. In this article, we will explore some of the benefits of GPS tracking for businesses and how it can save them money.
Benefits of GPS Vehicle Tracking
GPS vehicle tracking can offer many advantages for businesses that rely on vehicles for their operations, such as delivery, transportation, or service companies. Some of the benefits are:
- Improved customer service: GPS vehicle tracking can help businesses provide better service to their customers by ensuring timely and accurate deliveries, providing real-time updates, and responding to customer queries or complaints faster. GPS tracking can also help businesses improve their reputation and customer loyalty by meeting or exceeding customer expectations.
- Increased productivity: GPS tracking can help businesses increase their productivity by optimising their routes, reducing idle times, and eliminating unnecessary stops. GPS vehicle tracking can also help businesses monitor and improve their driver performance by identifying and correcting inefficient or unsafe driving habits, such as speeding, harsh braking, or over driving. GPS vehicle tracking can also help businesses automate their workflows, such as dispatching, invoicing, and reporting, by integrating with other software systems.
- Reduced costs: GPS vehicle tracking can help businesses reduce their costs by lowering their fuel consumption, maintenance expenses, and insurance premiums. GPS tracking can help businesses save fuel by choosing the most efficient routes, avoiding traffic congestion, and reducing engine idling. GPS tracking can help businesses save maintenance costs by detecting and preventing vehicle issues, such as low tire pressure, engine overheating, or battery failure. GPS tracking can help businesses save insurance costs by reducing the risk of accidents, theft, or unauthorized vehicle use, and by providing evidence in case of claims or disputes.
- Enhanced compliance: GPS vehicle tracking can help businesses comply with various regulations and standards, such as occupational health and safety, environmental protection, and tax reporting. GPS vehicle tracking can help businesses ensure the safety and well-being of their drivers and vehicles by monitoring their location, speed, and activity, and by providing alerts and notifications in case of emergencies. GPS vehicle tracking can help businesses reduce their environmental impact by measuring and reducing their carbon emissions, fuel consumption, and waste generation. GPS tracking can help businesses simplify their tax reporting by providing accurate and reliable records of their vehicle usage, mileage, and expenses.
How to Save Money with GPS Tracking
According to studies, GPS vehicle tracking can save businesses an average of $5,484 per vehicle per year. This translates to a return on investment (ROI) of 11 times the cost of the GPS tracker. Here are some of the ways GPS vehicle tracking can save money for businesses:
- Fuel savings: GPS vehicle tracking can help businesses save up to 33% on their fuel costs by choosing the most efficient routes, avoiding traffic jams, and reducing engine idling2. For example, a fleet of 20 vehicles that travels an average of 50,000 km per year can save up to $33,000 per year on fuel by using GPS vehicle tracking.
- Maintenance savings: GPS vehicle tracking can help businesses save up to 25% on their maintenance costs by detecting and preventing vehicle issues, reducing wear and tear, and extending the lifespan of their vehicles. For example, a fleet of 20 vehicles that spends an average of $10,000 per year on maintenance can save up to $50,000 per year by using GPS vehicle tracking.
- Insurance savings: GPS tracking can help businesses save up to 15% on their insurance premiums by reducing the risk of accidents, theft, or unauthorized vehicle use, and by providing evidence in case of claims or disputes. For example, a fleet of 20 vehicles that pays an average of $5,000 per year on insurance can save up to $15,000 per year by using GPS vehicle tracking.
- Overtime savings: GPS tracking can help businesses save up to 10% on their overtime costs by preventing employee overtime, improving driver productivity, and validating service calls. For example, a fleet of 20 drivers that earns an average of $25 per hour and works an average of 40 hours per week can save up to $52,000 per year by using GPS tracking.
GPS vehicle tracking is a powerful tool that can help businesses improve their service, productivity, efficiency, and compliance, while saving money on fuel, maintenance, insurance, and overtime. GPS tracking can offer a high ROI for businesses that invest in this technology and use it effectively. If you are interested in learning more about how GPS tracking can benefit your business, contact us today for a free consultation and quote.