Bussone: Leveling the financial playing field in today’s fleet economy

The latest benchmarking report from the American Transportation Research Institute, An  Analysis of the Operational Costs of Trucking, offers a mixed bag of results for the industry. On the surface, there’s a bit of good news: The average cost of operating a truck in 2024 dipped slightly to $2.260 per mile, a modest 0.4% decline from the previous year. But that good news doesn’t tell the whole story.

When fuel is removed from the equation, the picture changes dramatically. Marginal costs rose by 3.6% to $1.779 per mile, the highest level of non-fuel operating costs ATRI has ever recorded. And the largest contributor to that increase? Truck and trailer payments jumped a staggering 8.3% to $0.39 per mile.

At the same time, fleets continue to operate in an environment marked by persistent uncertainty. Fluctuating tariffs disrupt supply chains. Fuel prices swing unpredictably. For an industry already operating on thin profit margins, these pressures demand immediate and strategic action.

Fixed costs, strategic choices

Some costs, like fuel and parts shortages, are mainly out of your control. But fixed costs, which make up roughly 41% of an asset’s total cost of ownership, present an opportunity to take control back. Among these, lease and loan payments are a key area where smart financial planning can unlock profitability.

Here’s where to start:

Lease vs. purchase

Whether to lease or purchase vehicles isn’t a one-size-fits-all decision. It depends on your company’s goals, asset strategy, and financial flexibility.

• Purchasing is often the right choice if you’re looking for long-term asset life cycles, have specific customization needs, or want complete control over maintenance schedules and resale. But owning comes with capital constraints and greater exposure to asset depreciation.
• Leasing, on the other hand, allows for fleet flexibility. It avoids long-term financial commitments, typically offers lower upfront costs and payments, and lets you upgrade to newer equipment more frequently, which is critical in today’s rapidly evolving environment.

Whatever route you choose, partner with a provider that offers flexible, fleet-specific financing options that allow you to adapt to shifts in demand and market conditions without locking you into rigid terms.

Smarter utilization

Not every truck in your fleet is the right fit for every task—or every financing structure.

• Leasing a vehicle with high mileage caps might seem like a smart move, but if you consistently fall below those thresholds, you’re overpaying for unused capacity.
• On the other hand, exceeding mileage limits can lead to unexpected penalties and erode cost savings.

To optimize utilization, base replacement decisions on performance data, not just asset age. Understand which vehicles are underperforming, which are being overused, and which might be mismatched for their assigned roles. Data-driven utilization ensures you're not paying for inefficiencies you can eliminate.

See also: Clark: The diesel technician loyalty gap

The details are in the data

You already have the data you need to make smarter, more profitable decisions—if you know where to look and how to use it. For instance, at Corcentric, our fleet analytics suite (Cafe) uses 10 distinct performance monitoring tools to deliver a holistic view of your operations.

Data alone isn’t enough. It must be accurate, organized, and actionable. Clean, well-structured data gives you the power to:

• Predict optimal replacement timing 
• Avoid over- or under-utilization 
• Gain insights into improved efficiencies 
• Procure optimal finance structures 

With the right analytics, you move from reactive to proactive asset management, saving money and improving performance across the board.

Choose a financing partner that knows your business

Fleet operators already have plenty to manage day to day. The last thing you need is a financing partner that doesn’t understand the pressures of the trucking industry.

The right partner does more than offer loans or leases. They provide industry-specific insight, flexibility, and solutions that help you thrive in a volatile economy. Essentially, that means:

• Offering financing structures tailored to your fleet’s size, structure, and goals
• Helping mitigate the impact of interest rate hikes, inflation, and regulatory changes
• Unlocking growth opportunities through smarter capital allocation

When your financing strategy aligns with your operational goals, you create space to invest in innovation, refresh your fleet, and boost profitability.

Turning financial pressure into competitive advantage

Rising operating costs, volatile markets, and economic uncertainty aren’t going away, but with the right strategies, they don’t have to derail your business. By taking a proactive approach to asset management, leveraging clean and actionable data, and partnering with a financing provider that understands the fleet industry inside and out, you can turn today’s financial pressures into tomorrow’s opportunities.