How you can cut costs for your biggest business expense in fuel
- 24 March 2017
What's the one thing that moves the fleet industry? Fleet fuel is what gets your drivers and goods from A to B.
Not only is fuel the single biggest expense in the fleet industry; it's also a huge cost in many other sectors. Fuel comes in as the number one expense in heavy industry, construction, the marine industry, and other transport companies including rail. The list goes on - fuel prices have an impact on a substantial range of companies and people.
It's also a hugely variable cost. Fuel is estimated to be around 70 percent or more of variable costs, which is why it is usually the prime target for those working in fleet fuel management.
Here are 3 simple strategies for saving money on fuel:
1. Find the cheapest fuel
Technology is your friend here. Many drivers use apps to help them find the cheapest fuel on the road. Alternatively you can cut out the middle man by offering your own fuel sources on site. In this case you can buy in fuel in bulk and provide more cost effective fuel for you business.
2. Use fuel cards
A fuel only card will stop drivers charging non-fuel items to your company. Bulk Fuel Australia’s BP fuel cards provide you the opportunity to consolidate all your fuel expenses into a single account. Fuel cards keep your fleet running while at the same time improve traceability and control. Say goodbye to charging meals, snacks and magazines to the company fuel card - this way you know your business' dollars are only being spent on fuel.
3. Create fuel-efficient driver policies
Certain driving practices will drag down the fuel efficiency of your vehicles. By ensuring your drivers know how to properly maintain and pack their vehicles you will be ensuring you get the most mileage possible out of your tank. Examples include making sure tyres are properly inflated to avoid dragging, avoiding idling when possible, and avoiding the fuel-guzzling combo of fast bursts of speed with quick braking.
Want to buy your fuel in bulk and save significant costs? Get in contact with us today. A fuel card with Bulk Fuel Australia is a great way to save your business some cash in your fleet fuel maintenance. As well as providing high quality Final Filtered Diesel® at prices your business can afford, we can also provide tailored advice to your industry and business on fuel cost reduction strategies. With petrol being such a huge cost for many businesses, you can't really afford not to find ways to reduce your fuel costs.