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Fuel Economy vs Fuel Efficiency: How to Really Improve It in Your Fleet

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Every fleet business is looking for ways to improve fuel efficiency, increase fuel-related cost savings, and ultimately get their fleet to go further for less.

But if you're encouraging your drivers to shift to neutral at stops, only refuel on cooler days, or warm up your vehicles for better fuel economy and efficiency, then it’s time to introduce Cartrack’s fuel monitoring system for data-driven fuel management solutions.

Let’s show you how to really improve your fleet’s fuel management.

In this article, you will:

  • Understand the difference between fuel economy and fuel efficiency
  • Explore different ways to improve your fleet’s fuel efficiency and economy
  • Discover more about Cartrack’s fuel monitoring systems
  • Use our step-by-step guide to achieve a more economical and efficient fleet
  • Get answers to the most frequently asked questions about fuel economy and efficiency

Fuel economy and fuel efficiency explained

Fuel economy and fuel efficiency are both concerned with how well your vehicle uses fuel, but the difference between them lies in the definition.

Fuel economy measures the efficiency of your vehicle's engine and fuel directly using the litre per 100 kilometres (L/100KM) or miles per gallon (MPG).

On the other hand, fuel efficiency is about how well a vehicle uses energy and consumes fuel based on the engine, and other monitored factors such as driving style, idling and speeding habits, vehicle type, and other added vehicle technology.

At a practical level, focusing on improving fuel economy and efficiency matters in fleet management because simple changes to your fuel management can help your businesses:

Increase cost savings

Every fuel price hike hits hard for Singapore motorists and fleet companies because the prices are adjusted almost monthly based on local and international factors. So, you have to think carefully about your fleet’s fuel economy to keep up with the monthly fuel price adjustments and avoid exceeding their budget.

By implementing strategies to reduce fuel consumption, you can literally save money on fuel expenses and ensure a return on investment from your motorbikes, cars, trucks or machinery.

An improved environmental impact

Fuel efficiency is closely linked to the environmental impact of your fleet. When it comes to fleet companies, such as businesses in the transportation and logistics industry, greenhouse gas emissions and pollution are a major concern.

By implementing more fuel-efficient measures to reduce fuel consumption or choosing to upgrade their fleet vehicles to more economical vehicles, businesses can also contribute to a more sustainable future.

Maximise driver productivity

Several driver habits may result in unnecessary fuel consumption and decreased productivity. A 2021 research study on drivers' awareness of fuel-saving factors showed that drivers underestimated how indicators like engine speed, idling, and vehicle rolling without a load can affect vehicle fuel use. By prioritising fuel efficiency in your fleet, you can make a big difference to your overall productivity.

By monitoring and improving your fleet's fuel economy through fleet management, you can encourage drivers to adopt more fuel-efficient habits such as reduced idling and speeding.

Enhance fleet visibility and management

The right fleet management system makes it easier for your business to track your vehicle’s litre-by-litre fuel use and improve fuel consumption and overall fuel efficiency. This allows you to see where changes can be made to improve your fleet’s fuel economy and run a fuel-efficient fleet.

By introducing a fleet management system, your business gains control over every moving part (and stationary assets like machinery) in your fleet.  

Ready to address your fleet’s fuel economy and achieve ultimate fuel efficiency? Check out these five Cartrack strategies for increasing your fleet fuel efficiency.

How to increase fuel efficiency: 5 new strategies

There are several benefits from taking on the challenge of building a more economical and fuel-efficient fleet, our strategies help you make the process easier:

Method #1 Implementing fleet telematics and management software

Telematics technology and fleet management software are two essential elements to increasing fuel efficiency. These two smart technologies make the best starting point for any business focusing on improving its fleet. With telematics technology, you can track your vehicles and drivers in real time and receive notifications on engine faults or harsh driving events like speeding and excessive idling.

This data is instantly captured and made available via a fleet management system such as Cartrack, which helps you manage all your vehicles on one platform and analyse either individual vehicles' telematics data over a period or your overall fleet performance to identify areas for improvement. Getting this technology can help you identify and address fuel challenges in your fleet.

Cartrack’s telematics and management software

GPS telematics helps you view fleet-wide inefficiencies like vehicle issues, idling, and poor routing that affect your fleet’s fuel consumption.

  • Telematics GPS tracking: Your fleet managers know exactly where their vehicles and machinery are located and gain full visibility of vehicle and driver activity.  
  • Cloud-based software:  Our easy-to-use FleetWeb platform and Cartrack App are cloud-based, meaning your fleet managers can live track drivers, make updates, access various reports, get notified about their fleet, and ultimately streamline their workflow from anywhere.

Method #2 Use a fuel management system

Instead of manually calculating your fleet’s fuel consumption or guessing how economical your vehicles are, getting a fuel management system is a smarter, more accurate way of measuring your fleet’s fuel economy and efficiency.  

A fuel management system refers to the process of monitoring, managing and improving your fleet’s fuel usage and costs. It uses fuel sensor hardware, software products such as telematics and fleet systems, or cost and accounting software to track fuel usage in real time and calculate fuel efficiency using data-driven reports.

The power of Cartrack’s fuel management solutions

Cartrack’s advanced technology helps you identify your vehicle’s needs and areas for improvement in your fleet. When it comes to fuel management, our telematics technology and fleet management platform, FleetWeb and Cartrack App, make it easy for you to start digging into your fuel problems

  • Fuel sensors and hardware: With up to three different types of sensors available from Cartrack, you can monitor your fleet’s fuel levels to get a more accurate understanding of your fleet’s fuel consumption and efficiency.
  • Fuel-specific reports and analytics: Customise, download, and automate fuel-specific reports for different vehicles or groups of vehicles over a specific time period to make data-driven decisions about your fleet's fuel. Your fleet managers can receive notifications from drivers about activity affecting your fuel such as idling and speeding.

Method #3 Purchase and use fuel-efficient vehicles

A survey by Fleet Advantage revealed that 40.7% of businesses listed improved fuel economy as the big motivating factor for purchasing new trucks. The advancing of new vehicle technology has resulted in an increasing number of businesses operating mixed energy fleets, with EV trucks and hybrid vehicles becoming more popular. Selecting more advanced vehicle engine technology can have a big impact on fleet efficiency as a whole.

Fuel-efficient cars run longer on less fuel, so introducing fuel-efficient bicycles, cars, trucks, machinery, or fuel-powered equipment is worth the investment. The South African Automotive Master Plan (SAAM) outlines several incentives to encourage EV manufacturing and make it possible for the automotive industry to sell more affordable EV vehicles.

Fuel-efficient vehicles in your business would help you reduce fuel consumption and costs, improve your fleet sustainability, and reduce vehicle downtime. But did you know that this can also give your business a competitive advantage?

Customers and clients love using and working with businesses that care about their environmental impact. Your businesses will experience the benefits of fuel-efficient vehicles immediately and in the long run.

Cartrack’s fleet management for sustainability

Our fleet management software helps you manage your mixed energy fleet and track your fleet’s Co2 emissions so you can achieve your fleet’s sustainability target.

  • Eco-driving report: This unique report highlights your fleet’s effort to reduce its carbon footprint by measuring your drivers’ eco-driving techniques. The eco-driving report is based on your drivers' vehicle use and calculates the kilometres travelled, excessive idling, speeding, vehicle fuel economy and harsh driving to report on the fleet’s efficiency and environmental impact.
  • Vehicle maintenance history reports: This report gives information on service history and repairs for specific vehicles. Fleet managers can use this as a data-driven approach to your vehicle replacement when considering purchasing more fuel-efficient vehicles.

Method #4 Monitor and improve driver behaviour

Investing in your drivers is equally as important as investing in new or used vehicles and trucks. Skilled and motivated drivers are proven to help improve productivity, efficiency, and safety for businesses. However, when it comes to fuel efficiency, many businesses miss the chance to get their drivers on board. Inform drivers about the importance of being mindful about how their driving and decisions impact fuel consumption.  

Monitoring drivers can help you improve your drivers' bad habits and equip them with skills to drive your vehicles better. However, other driver activity may be affecting your fleet’s fuel efficiency. For example, fuel-related crimes such as misusing your machinery, fuel theft, or fuel syphoning may be behind your fleet’s fuel inefficiency problems. Alternatively, your drivers may frequently deviate from your route and make stops along the way for personal activity.

If you suspect that other factors may be affecting your fleet’s efficiency, here are some effective Cartrack solutions.

Driver monitoring for fuel efficiency with Cartrack

Quickly turn and take action against careless driving that is wearing out your vehicles, using up your fuel, and reducing your fleet’s fuel efficiency.

  • Driver ID tags: Help you monitor drivers while using company vehicles, you’ll know who did what with your vehicles at all times, ensuring accountability in your fleet. Know where your driver starts and ends his trip, and pick up driver deviations. Alternatively, a Cartrack trip summary report can show you all the stops, deviations, and other unusual activities.  
  • Cartrack Driver Scorecards: This is a gamified method for monitoring your driver's activity on the road. The scorecard rates your driver's performance and deducts points for harsh driving, such as excessive acceleration, harsh braking, and long idling. These scorecards are useful for coaching drivers, helping them understand their own bad driving habits, and working on improving them.
  • Driver behaviour reports: A behaviour report gives you driver-specific details on harsh braking, speeding, excessive acceleration and idling. With driver behaviour reports, you can pinpoint fuel-inefficient driving habits and train drivers to improve their technique.  

Method #5 Improve fleet vehicle maintenance

Proper maintenance on vehicles and other engine-powered machinery helps avoid unplanned downtime and improve your fleet's fuel efficiency. Regular maintenance can also help maintain an optimised fuel economy, ensuring even your oldest vehicle operates like brand new.

Since fuel efficiency is related to your vehicle’s health, keeping up with your services and maintenance helps improve your fleet's fuel-efficient performance. Get ahead of your vehicle maintenance by educating your drivers and fleet staff on regular oil changes and tyre pressure checks, for example. Alternatively, pay attention to your real-time telematics data on vehicle health, which reports on potential engine issues which may result in costly repairs and downtime down the line.

Preventative maintenance for fleet fuel efficiency

Our fleet management software helps you keep track of your vehicle and machinery’s maintenance history, upcoming service, and relevant cost with the following tools:

  • Maintenance reminders: Schedule your vehicle's maintenance and detail the type of service. Alternatively, based on usage hours and information on the previous service our software notifies you of your next service for each of your vehicles and saves you the headache.
  • Cartrack’s MiFleet: Cost and accounting management software helps you keep up with your vehicle's maintenance schedule and manage the costs for repairs, towing, services, tyre changes, and more. This way, you don’t fall behind your fleet’s maintenance or lose track of the cost of your vehicle's maintenance.

Improve your fleet fuel economy and efficiency with Cartrack

Telematics-based fuel solutions can really help you improve your fleet fuel economy. They are designed to make achieving fuel efficiency easy, regardless of your vehicle or engine type.

Contact us for a demo of our fuel monitoring system.

Fuel economy and efficiency big FAQs

We like it short and sweet! If you have any further questions, here are some frequently asked questions on fuel economy and efficiency we’ve expertly laid out just for you.

  1. How do you increase fleet efficiency?

Here are nine tried-and-tested solutions from Cartrack that help businesses improve their fleets’ efficiency:

  • Real-time fleet monitoring
  • Implementing fleet management software
  • Monitoring driver performance and improving productivity
  • Improving communication within your team
  • Utilising route optimisation
  • Regular asset maintenance
  • Eliminating empty miles
  • Data-driven insights for fleet reports

  1. How can we improve fuel economy?

Businesses can improve fuel economy by:

  • Using fuel monitoring systems
  • Keeping up with their vehicle's maintenance and service
  • Using more efficient vehicles
  • Monitoring driver behaviour

  1. How can we improve the efficiency of fuel?

For individuals, there are a few methods to improve fuel efficiency:

  • Avoid constant and excessive speeding
  • Regular vehicle maintenance
  • Be mindful of unnecessary idling

  1. What is the key to achieving better fuel economy?

Telematics-based fuel monitoring solutions are the key to achieving better fuel economy. They make it easier to change, monitor, and ultimately improve your fleet’s fuel practices.

Want to know more about fuel monitoring for your business? Contact us for a demo.

Cartrack over Fuel Matter

Easily improve your fleet’s fuel economy & efficiency with our fuel management solutions.

Find out how to enhance your fleet’s fuel economy, minimise fuel expenditure, and get your fleet to travel further on little with our fuel monitoring system.