Reducing Wasted Fuel Costs with Connected Transport

Tony Tye

When it comes to managing your equipment delivery costs, every mile counts - literally. Yet, too often, trucks are sent out without a clear, efficient plan, creating “wasted” trips that drain fuel and profit.

Think of it this way: one truck needs to drop a bulldozer off at site A, then pick up a front-loader at site B, then drop off a generator at site C. Without a strategic route plan, the driver may zigzag across town, or worse, return to the yard empty-handed. The result? Hours of unnecessary driving and gallons of fuel burned.

Connected Transport changes the game by automatically routing drivers to jobsites in the most fuel-efficient manner. This reduces deadhead trips where trucks return to the depot empty, as well as unoptimized routes with unnecessary back-and-forth. Instead of a driver heading out to drop off a single machine and come back to the yard with an empty truck, Connected Transport identifies other pickups or deliveries nearby, allowing you to handle multiple stops in one go.

Why It Matters

Even small adjustments can have a huge impact. When a flatbed truck averages 10 miles per gallon, a few miles here and there add up fast. For many rental companies, cutting just 5 miles per trip can save thousands of dollars in fuel annually. And that’s before factoring in reduced labor time, wear, and tear.

Fuel Savings and Operational Efficiency

Fuel costs represent a substantial portion of expenses for equipment rental businesses, especially those with large fleets. Inefficient routing, idle time, and manual dispatching contribute to unnecessary fuel consumption.

Let’s look at a little real-world math.

Reducing just 100 empty miles per day can generate approximately $7,380 in annual fuel savings, based on an average of 10 miles per gallon, diesel at $3 per gallon, and 261 delivery days per year. Adjust the calculation as needed depending on your actual price per gallon and the number of delivery days per week.

For larger fleets—or rental companies operating across broader or less densely developed territories—cutting 500 empty miles per day can translate to $39,150 in yearly savings. And that’s purely fuel cost; it doesn’t even factor in driver wages, overtime, or third-party hauling fees. It’s just one slice of the overall OPEX picture.

The Stats You Need to Know

Deadhead Miles Are Costly: Deadhead miles can make up more than 16 percent of trips, according to the American Transportation Research Institute. This means that nearly one in six miles driven was without a load, directly impacting fuel efficiency and profitability.

Fuel Costs Represent a Significant Portion of Operating Expenses: Fuel accounts for approximately 24.4% of a fleet’s total operating cost per mile – the largest single cost in the equation. With fluctuating fuel prices, even minor inefficiencies can dramatically increase the cost of picking up and dropping off equipment.

Potential Savings with Connected Transport: Implementing a Connected Transport solution can lead to fuel savings of 10-15%. This translates into significant fuel cost reductions, especially for large fleets and those covering extensive daily distances.

Plan Smarter Routes

Connected Transport lets you optimize your pickup and delivery routes to ensure trucks don’t return empty if there’s equipment that can be brought back to the yard on the same trip. Similarly, it helps re-route around traffic that could otherwise burn fuel while the driver sits in gridlock. It’s about eliminating wasted miles, reducing fuel costs, and making every trip more productive. 

Key Ways InTempo CTX Helps Equipment Rental Companies Reduce Wasted Fuel

• Load Optimization: Automatically determine which rental equipment should go out or come back in on each delivery vehicle, taking into account the weight and dimensions of the equipment and the vehicle. A driver won’t have to return to the depot empty-handed because they didn’t take a truck that was – for instance – large enough to accommodate a boom lift on the return trip, even though it was dropping off a smaller skid steer on the way out.
• Real-Time Adjustments: Quickly respond to last-minute changes and historical traffic patterns without manually recalculating the entire plan – or letting drivers “go rogue” and chart their own path to get around accidents or rush-hour back-ups.
• Seamless Communication for Reduced Idle Time: Maintain clear communication between dispatchers, drivers, and customers, ensuring everyone is on the same page. Drivers can pull up delivery notes within their mobile app, so they know precisely where they need to go at each jobsite – without having to drive in endless circles looking for the right spot.

The Bottom Line

InTempo CTX has helped many equipment rental companies achieve substantial cost savings – even within the first few weeks of use. By optimizing delivery routes and reducing fuel consumption, businesses can improve their bottom line; operate more efficiently; and even become more environmentally sustainable.

To see how InTempo CTX can help you reduce fuel costs and improve your bottom line, contact us today or request a demo.