High Gas Prices Negatively Impacting Business Profits

Recently a survey was conducted to gain insight on businesses’ views on fuel pricing, its impact on their fuel budgets and any steps they may have taken to proactively manage volatile gas prices. The survey by Price Lock and Automotive Fleet  said the two biggest issues for fleet management are fuel efficiency and lack of control over gas costs.

What’s interesting about these results is that gas prices have risen almost $.40 since the polling ended. (The survey was conducted form January 20, 2011 to February 18, 2011.) If companies were feeling the pain at the gas pump a month ago, when gas prices were much less, then they really must be concerned now.

The results of the survey showed that 99% of respondents are concerned with fuel prices in 2011. 65% of survey respondents said that they were forced to absorb higher fuel costs, but only 16% are able to pass the increased costs onto the customer.

When it comes to fleet concerns about rising fuel prices, construction industry fleets have the most concern about fuel prices and more concerned about fuel efficiency. Of respondents in the construction industry, 43.2 percent said high fuel costs for their fleet impacts negatively impacted business profits. In the automotive/transportation industry, over 31%  said fuel costs are negatively effecting earnings.

The survey polled a diverse group of professionals in the fleet management industry –  fleet managers, executives, directors, and others who work at small, medium, and large companies as well as managers in government fleet operations.

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