The big news is gas prices are falling—the lowest they have been in five years, according to the Wall Street Journal. It’s excellent news for businesses that spent a lot of time on the road. While gas prices have fallen, business owners still should be diligent about planning efficient business routes. Here are a few other things to think about when recalculating your business transportation costs.
While prices are falling now, there’s no promise they won’t go back up sometime in the near future. Change is the only constant. Now is the time to prepare your business for the fuel cost roller coaster. Optimizing your driving routes while gas prices are low will pay off down the line when prices go up again. In the meantime, the extra money you are saving on fuel can be redirected to other line items. Take advantage of your good fortune by putting that extra cash to good use.
Transportation costs include more than just the cost of a tank of gas. Now is a good time to review all your vehicle expenses. For example, now might be the time to buy a fuel efficient vehicle because the demand is lower (and prices come down) when fuel costs are lower. These vehicles not only save money on fuel, they help reduce pollution. It’s important to review all the life cycle costs of a new vehicle, not just an initial capital purchase. Look at all the factors, including a vehicle’s care, maintenance, fuel efficiency and suitability for the task.
When your business depends on its transportation plan, time is literally money. Lower gas prices also means there are more cars on the road, so you might spend more time spent stuck in traffic. Route planning helps you spend less time in your vehicle and more time with your customers by getting you where you need to go as efficiently as possible.
Route planning creates more benefits for businesses than simply the financial ones. Optimized route planning also reduces smog, carbon monoxide and particulates in the air. Every mile not driven has a positive impact on our environment. Plus, it’s personal. Reducing your environment impact affects your health as well as the health of your family and your employees. Although less tangible, these benefits add up over time and impact us all.
Now may be a great chance for you to grow your business. With fuel costs under control, it’s easier to expand your business territory or find new customers with minimal impact on your expenses. Don’t forget to promote your green business practices. The majority of consumers say it is very or somewhat important that companies are environmentally friendly and 35% are willing to spend more for green products, according to a survey conducted by Cohn & Wolfe.