Planning Ahead for Savings: Fuel Planner for Better Budgeting
For a small trucking company, fuel costs can account for as much as 40% of total operating expenses. With fuel prices constantly fluctuating, it’s essential for fleet managers and owner operators to budget carefully and plan ahead to maximize their savings.
One of the most effective ways to do this is by fuel planning, similar to the way you would route plan. By leveraging the power of fuel planning, trucking companies can better predict and control the fuel costs along their route, making operations more efficient and each run more profitable.
What is Fuel Planning and How Does It Work?
Fuel planning allows fleet managers to calculate fuel expenses before the journey even begins. This enables you to adjust routes for maximum efficiency and plan stops at the most cost-effective fuel stations.
Once a route for your load is planned, consider factors such as your fuel consumption rate, your route, and hours of operation to determine approximate areas you would like to fuel. For example, fueling well before hitting a major city thoroughfare can prevent a low-fuel disaster in a traffic backup and likely save on your price per gallon as well.
Once you understand approximately where you would like to fuel, you can leverage your fuel card mobile application to identify fuel merchants in the area. Narrow your options based on the fuel you will need to purchase and amenities you’ll want to leverage at each stop (i.e. DEF, a hot meal, parking and a shower, etc.). Your fuel card mobile application should provide you with fuel locations that have the amenities you need and allow you to compare options based upon their diesel fuel price and location.
Advantages to Fuel Planning
Better Budgeting and Forecasting
Fuel planning allows you to predict your fuel costs before a trip, so you can allocate your budget more effectively and avoid unexpected expenses. This forward planning also enables fleet managers to make better decisions about fuel purchases, such as identifying the most cost-effective times and places to refuel.
Cost Savings
One of the most significant benefits of fuel planning is the potential for cost savings. By mapping out fuel stops (especially those within your fuel card’s network) ahead of time, fleet managers can plan routes that take advantage of fuel price differences between locations. By refueling in areas where fuel prices are lower, fleets can reduce overall fuel expenses. This strategic approach to refueling can make a big impact on the bottom line over time.
Expense Control
Fuel planning gives fleet managers greater control over fuel expenses by offering a clear picture of how much fuel will be needed for a particular route. This helps avoid overspending and ensures that fuel costs are kept in check. Fuel planning also makes it easier to spot inefficiencies, allowing managers to adjust routes, fuel stops, or driving habits to further optimize costs.
Long-Term Benefits of Fuel Planning
Fuel Efficiency and Environmental Impact
Effective fuel planning encourages more fuel-efficient driving practices, which can reduce overall fuel consumption. This not only saves money but also helps minimize the environmental impact of your fleet’s operations. By choosing more efficient routes and making fewer stops, your fleet can reduce emissions and contribute to a more sustainable future.
Financial Stability
When fuel costs are predictable and manageable, it creates financial stability for your business. You can avoid unexpected cost spikes, better manage cash flow, and ensure that your fleet remains profitable. Fuel planning helps maintain this financial stability by mitigating the inherent price volatility in the diesel market.
When you weigh all the benefits, fuel planning is an effective way to save money and improve your overall budgeting strategy. By predicting fuel costs, optimizing routes, and controlling expenses, fuel planning allows trucking companies to make more informed decisions and keep costs under control. Multi Service Fuel Card makes it even easier to implement fuel planning, providing access to real-time fuel prices, extensive network coverage, and strategic alliances that can maximize your savings.
Multi Service Fuel Card customers can take their fuel planning efforts to the next level. Using the Multi Service Fuel Card app, fleets can find the closest diesel fuel in our expansive network of 8,900 high-flow diesel fuel stations, which includes the big 3, super regionals, and regional stations.
Start planning ahead for savings today—discover how a fuel planner can transform your budgeting strategy and help your fleet stay efficient and profitable.