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How to Scale Your eCommerce Business With On-Demand Fleet Management Solutions

This is a guest post from Fluid Truck.

Scaling your eCommerce business requires more than simply finding new customers; you have to be able to hold onto those you acquire by going above and beyond their expectations. For delivery-driven businesses, that means building a fleet that can expand with the business. 

Rising to meet demand without high expenses cutting into revenue takes effort but is doable, and we’ll explain how. Let’s explore how you can use on-demand fleet management solutions to scale your business and successfully manage the costs of a growing delivery fleet.

Understand your delivery needs

The first step is conducting a full assessment of your business’s current and projected delivery needs. This includes tracking the volume of deliveries and the routes drivers will follow. Understanding your requirements will ensure your fleet is equipped with the right vehicles both to carry out daily operations and handle unexpected circumstances like breakdowns or extra jobs. 

On-demand fleet management solutions are particularly useful for covering those surprise, last-minute deliveries and vehicle maintenance delays. 24/7 rental companies like Fluid Truck are prepared to fill in any gaps that appear in your fleet with reliable vehicles so your performance never slips.

Choose flexible on-demand fleet management options

Delivery-based businesses often encounter seasonal market changes that make it tricky to navigate supply and demand, especially for small or mid-sized companies. You may find yourself swamped with deliveries during the holiday season, only to be hit with a dry spell in the weeks that follow. Your fleet needs to be able to scale both up and down to accommodate those shifts so you maximize revenue and cut costs.

By working with a flexible, on-demand fleet management solution, you can quickly rent and unload vehicles as needed to account for fluctuations in demand without committing to the high costs of vehicle ownership (i.e., capital investment, maintenance, insurance).

Leverage analytics

The best way to improve your fleet is to evaluate the data gathered through telematics and tracking software. That information reveals detailed insights into delivery times, fuel efficiency, route planning, and driver performance. 

By incorporating these data-driven insights in your operations, you can cut down on a number of costs, including:

  • Vehicle maintenance: Predict when tires and oil will need replacing based on performance to avoid wasting money on unnecessary upkeep.
  • Route planning: Maximize revenue and reduce vehicle idle times by using AI to analyze typical traffic patterns and plan optimal routes.
  • Driver performance: Track your drivers’ habits and offer training to correct poor performance.

Test various on-demand fleet management solutions

Growing your fleet doesn’t just mean adding more vehicles. Often, businesses find they need a different type of vehicle to carry out deliveries. You may start by increasing the number of deliveries each vehicle makes per route; in which case, you’ll likely need something with a larger carrying capacity than your current fleet vehicles. On-demand fleet management rentals allow you to test out various makes and models to determine which one best fits your needs before you commit to purchasing a permanent addition to your fleet.

Train your drivers for efficiency and safety

A delivery company can’t function without drivers (not yet, anyway). So, naturally, driver safety remains a top priority for about 48% of fleet managers in the U.S. Additionally, safe drivers help cut down on the cost of repairs and maintenance. Consider equipping your drivers with tools to maximize efficiency as well, including route planning apps and industry-specific gear like insulated delivery bags.

You can also encourage responsible drivers by rewarding them for following safety guidelines. Fluid Truck offers a safe driver tracking feature that assigns a safety score to each driver in your fleet. The score considers factors like rating, miles driven, hard braking, over acceleration, and hard cornering. See firsthand how your drivers can improve their skills and reward those who practice safe driving habits.

Stay up to date on industry trends

The logistics and fleet management industry is constantly evolving. From cloud-based vehicle management systems to AI and autonomous modes of transport, there’s constantly something new on the horizon. To ensure your business’s on-demand fleet management solutions remain competitive and efficient, you have to keep up with the latest trends and technologies as they hit the market. 

It can be difficult for busy business owners to stay current with all relevant fleet-related news. Thankfully, Fluid Truck’s newsletter is a helpful gateway into the industry. Get the rundown on top stories each month so you never miss out on a chance to take your fleet management to the next level.

Evaluate your on-demand fleet management costs regularly

Fleet-related expenses can rack up quickly if you fail to keep a close eye on them. So, regularly evaluate your expenses to pinpoint where to reduce costs. Common examples include fuel consumption, idle vehicle times, and maintenance and repairs.

Data indicates that leasing part or all of your fleet can be up to 15% more cost-efficient than owning vehicles outright. When you lease, you’re able to avoid a number of costs that would otherwise increase your expenses

Additionally, most rental solutions will cover the cost of routine maintenance and repairs on vehicles, removing those costs from your budget and freeing up more cash flow to cover other expenses.

Wrapping up — Let your fleet carry your business to new horizons

As your business grows, your fulfillment capabilities need to keep pace as well to avoid service disruptions that could impede sales and frustrate customers. Developing a strong relationship with your on-demand fleet management solution provider can also lead to better service and support. They draw on their own experiences and expertise to offer advice that’ll help you scale your fleet according to your specific business needs. By implementing the steps outlined in this article, you’ll facilitate smooth upward momentum for your company.