The Importance of Finding Efficiencies in fleets

There’s a lot of good news in this industry. Most fleets don’t know their fuel consumption. They don’t know how loads affect fuel consumption. They don’t know which drivers are more or less efficient. They don’t have a strategy for buying equipment, servicing the equipment or buying replacement parts. When it comes to servicing and operating equipment no analysis is done to get the best results. I’d go as far as to say that most fleets have lost sight of the fact that they need to simply move goods from point A to point B as efficiently and safely as possible.

All of this is good news because the bar is extremely low for a fleet to get hyper-focused on efficiencies for very little cost and time but gain massive financial results. The proper analysis and management of a fleet can create a virtuous cycle where good results equals more profitability and better served customers which can be used to get better drivers and customers. As a sales rep you can help a fleet find these efficiencies and the opportunities are nearly endless.

The Basics

You likely have no right to walk into a fleet and explain that they are going to begin to get serious about fleet management. You’ll probably find that this will put an end to your relationship instantly. What I’m going to define is some small ways that you can help a customer develop their parts and service strategy and provide information and insights to help them boost productivity and efficiency.

Service

Most small fleets and many medium-sized fleets have little to no way to diagnose a check engine. You can provide them with the simplest engine code scanning equipment, training from the manufacturer, and a printout or link to a website with all the codes and basic diagnostic information (many websites offer this information for free).

Not only will this save them thousands of dollars every quarter on diagnostics, transport to and from the dealership or garage, downtime their driver and truck isn’t working and customers aren’t being served, etc. but it leads to the most basic additional tools and therefore parts.

Most check engine codes have to do with sensors and wiring. You can sell them these parts. Many low-power problems come from air intake leaks, you can sell them a test kit for that as well, and the list goes on. You do have to understand the limits of the staff at this fleet, but most of the work they are sending out can be done by almost anyone, and you should profit from helping them improve their operations and reduce downtime and other expenses.

Parts

Most times a fleet manager, shop supervisor or mechanic goes to get parts or calls for parts they begin with what they have in stock. What’s in stock is largely based on what was promoted in a flyer or what the purchaser just assumed was a good price/quality. If a part is not in stock, they will likely call around and see what’s available. Then, depending on their mood, they will buy whatever part is the least expensive and currently available at the moment.

Most fleets have some mix of vehicles under warranty, vehicles they want to keep for a while, and vehicles they have no intention of keeping for very long at all. We’ve all seen manufacturers present their product offerings as Good, Better, and Best. Fleet managers want to spend nothing on warrantied vehicles, Better or Best on vehicles they want to keep for a while, and Good on the vehicles that they intend to get rid of soon.

Begin having conversations about how your customer views their equipment. Does any of it need Best? Is Better good enough? What makes a vehicle deserving of only Good parts? When you go to get their business, let’s say wheel bearings, don’t just have one product line, have two or three. If your customer breaks down a fleet by Good, Better, and Best, then offer your customer parts that are Good, Better, and Best. Does your customer view their fleet as Good, or Better? Then offer two options for their needs, and leave Best out of the conversation for all purposes other than price anchoring.

Conclusion

If you’re a new sales rep to the industry or simply don’t have the type of fleet experience that you feel comfortable having these conversations, then begin small and simple. Begin with a conversation about what the customer does when a vehicle, be it a tractor or trailer, is going to be put up for sale. Do they need decent quality parts because they’re selling to someone, they have a relationship with? Or are they cutting the tractor in two and putting it in a container never to be seen or heard of again? What does this mean for the parts they will need and the services they require?

You can also simply ask, what operations would the customer like to bring in-house. Do they want to be able to scan engines to at least know what to expect from a dealership? Or maybe they want to buy fewer batteries so a charging and testing station should be set up? Dig politely for problems and opportunities and work with your suppliers to offer solutions. And you might even have some fun in the process!

Drive Safe,

Kevin Gauthier