The biggest challenge for trucking businesses is to track and control fuel expenses and plan well the cash requirements to maintain smooth operations. Fuel constitutes the majority of operating costs amounting to 95.2 cents per dollar spent. It leaves with a paltry sum of 4.8 cents as profit and to make the business survive with such wafer-thin margins; trucking operators must save every penny that they can. And the biggest contributor could be fuel, diesel or petrol.
To generate those savings, carriers of any size would find it sensible enough to use fleet fuel card for truckers. Although you must have heard about it, you may not know exactly how it works, but once you know about it, you can figure out the saving potential hidden under it. Moreover, there are many kinds of fleet cards, and the knowledge should help to select the one that is right for you. In addition to saving money on fuel, you derive some other benefits too.
Discounts on fuel
Trucking companies consume high quantity of fuel and can benefit from the discounts offered by oil companies on their purchases made against fuel cards which also generate loyalty. Therefore, it is a win-win situation for cardholders and oil companies which have enhanced the popularity of the cards. Fuel cards are a better alternative to issuing unrestricted credit card to drivers because it helps to monitor the fuel purchases besides controlling it. Fuel cards are foolproof and do not leave any room for drivers to manipulate expenses.
Fuel cards are more attractive today because it is available in a wide range of choices with prepayment and discount options. They are available from a spectrum of retailers. Users of fuel cards have ready access to real-time information about movement in fuel prices across the country so that there is an opportunity of availing the lowest prices to boost savings.
Do some shopping
Since fuel discounts can vary considerably and with many different kinds of fuel cards on offer with varied benefits, you must understand each card well and do some shopping to decide on your choice of card. Since the consumption of fuel is very high, the marginal difference in discounts of a few cents can translate into considerable savings running into a few thousand dollars.
More saving options
While saving on fuel cost is the most visible benefit of fuel cards there are many other saving options offered by the card companies. Many card companies attract customers by offering discounts on some elements of operational and maintenance cost like buying tires, repairs, maintenance, lodging and other allied expenses for fleet operations.
Control spending
Receiving real-time transaction reports for fuel cards help to control the fuel purchases and other expenses closely as some cards allow you to restrict the manner of using the card. With information ready at hand and a tab on expenses, it becomes easy to manage the operational expenses efficiently.
Finding a fuel card that does not charge for transactions will enhance the savings.
