How to Make Deliveries Profitable Despite Rising Fuel Prices

How to Make Deliveries Profitable Despite Rising Fuel Prices

Shortages and rising costs are hitting businesses hard – especially those that provide delivery services.

Material shortages, staffing shortages, and now rising fuel costs. Businesses everywhere are feeling the effects of these trying times. For the logistics industry, fuel costs have always been an important factor in the cost of their services as well as their ability to make a profit. Fuel costs also create significant competition among companies in this industry, as businesses strive to provide the lowest possible rates while still turning an adequate profit. Therefore, efficiencies that minimize fuel usage and decrease delivery costs are necessary for gaining an advantage over the competition.

Optimize Delivery Routes to Reduce Fuel Costs

There’s money to be saved by optimizing your delivery routes. With a Directions API, that process is simple. By leveraging a Directions API, organizations will increase efficiency while simultaneously reducing fuel costs.

By creating custom, multi-destination routes while in route, delivery drivers can avoid unexpected road construction and delays. Less time sitting in traffic means less money spent on fuel. Directions APIs also enable drivers to receive turn-by-turn directions, from the origin point to the destination, which includes a directions narrative that provides road shields, turn directions, street names, and static maneuver maps.

Drivers can optimize and calculate routes by planning them based on the length or speed of travel, too. Routes can also contain boundaries and can take into consideration the dates and times of travel, including HOV-specific lanes, timed turn restrictions, and specific closures. Most importantly, the Directions API allows organizations to account for fuel efficiency and usage.

Verify Addresses to Avoid Undeliverable Stops

Minimizing the amount of transportation is important. It’s also important that the time spent on the road is time well spent. With a Geocoding API, there are significant savings to be had when leveraged.

Geocoding APIs provide address verification capabilities that allow your delivery drivers to find and verify an address or make a business decision based upon the quality code of that address. If an address is undeliverable or the quality code is poor, your driver can eliminate undeliverable stops – which can equate to significant fuel savings. 

Simple Processes Refinements Significantly Increase Company Revenue

Solutions aren’t always complex. APIs such as Directions, Traffic, and Geocoding APIs may be small, but they pack a big punch. Fuel prices will always be an important part of the logistics and supply chain industry as they directly impact a company’s bottom line. Fuel prices will always fluctuate, too. To better control these fluctuations, companies must be able to adapt quickly. The on-the-fly features provided by location technology allow businesses to do just that. If you’re interested in learning more or in taking the next step, contact a member of the MapQuest for Business team. You can also view the MapQuest for Business brochure, send us an email, visit the MapQuest for Business website, or give us a call at 800-827-7950.

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