Fleet Advantage: New data index helps find 'sweet spot' for equipment replacement

April 27, 2016
Fleet Advantage unveiled its new data index resource designed to compare costs of older Class 8 trucks and calculate the savings of new model replacements.

Fleet business analytics company Fleet Advantage unveiled its new data index resource designed to compare "all-in" costs of older model year Class 8 trucks and calculate the savings of new model replacements.   

"We thought it would be helpful if we released a periodic index so that fleet operators know more about current costs related to replacing equipment — this can help them identify the 'sweet spot'" of when new equipment would save overall costs vs. what fleets are running currently, says John Rickette, vice president of transaction management at Fleet Advantage.

According to Fleet Advantage, "all in" means taking into account operating costs of fuel, finance, maintenance and repair, and tires. The index calculates that companies would save about $18,000 per truck in the first year by upgrading from a 2011 to a 2017 model year day cab or sleeper truck while reducing CO2 emissions by 14%.

Day Cab "All in" Cost Comparison - Fleet Advantage Data Index*

Model Year

Approx. "All in" Cost

2017 Model Year "All in" cost

Savings with 2017 Model Year Truck

Fuel/CO2 Emissions Saved

2011

$65,760

$47,679

$18,081

14%

2012

$61,089

$47,679

$13,410

12%

2013

$57,406

$47,679

$9,727

9%

2014

$56,712

$47,679

$9,033

7%

Sleeper "All in" Cost Comparison - Fleet Advantage Data Index*

Model Year

Approx. "All in" Cost

2017 Model Year "All in" cost

Savings with 2017 Model Year Truck

Fuel/CO2 Emissions Saved

2011

$68,405

$50,398

$18,007

14%

2012

$63,736

$50,398

$13,338

12%

2013

$60,067

$50,398

$9,669

9%

2014

$59,416

$50,398

$9,018

7%

*Based on 100,000 miles per year and average price of diesel of $2.08/gal.

"We put together this simple matrix to showcase for fleet operators how big an impact lifecycle management can have," Rickette tells Fleet Owner. "It's developed out of our proprietary ATLAAS system, which stands for Advanced Truck Lifecycle Administrative Analytics Software. We want to continually show, using current figures, what 'all-in' costs of equipment would be."

Rickette contends this will be increasingly important for fleet operators as new 2017 models arrive with higher fuel efficiency and also with upcoming GHG Phase II regulations spelling out fuel efficiency and emissions improvements in the years to come. "Getting past the 'sticker shock' of brand-new equipment costs, even though your [per-truck] finance costs might go up $100 or $200 a month, that's going to be much more offset by the reduction in fuel and maintenance/repair costs," he says. 

About the Author

Aaron Marsh

Before computerization had fully taken hold and automotive work took someone who speaks engine, Aaron grew up in Upstate New York taking cars apart and fixing and rewiring them, keeping more than a few great jalopies (classics) on the road that probably didn't deserve to be. He spent a decade inside the Beltway covering Congress and the intricacies of the health care system before a stint in local New England news, picking up awards for both pen and camera.

He wrote about you-name-it, from transportation and law and the courts to events of all kinds and telecommunications, and landed in trucking when he joined FleetOwner in July 2015. Long an editorial leader, he was a keeper of knowledge at FleetOwner ready to dive in on the technical and the topical inside and all-around trucking—and still turned a wrench or two. Or three. 

Aaron previously wrote for FleetOwner. 

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