Inflation is striking nearly every US industry and every sector of the economy. As a fleet manager, your customers, employees and suppliers all feel the clinch. 

Today, the Wilmar team is here to help you understand inflation. We'll start with a definition and real-world examples. Then, we'll explain how you can stay competitive during difficult years. 

Spoiler alert: outstanding customer service and quality relationships with your clients are just as important as thoughtful bookkeeping. 

What is Inflation, Exactly?

When we think of inflation, we think of rising prices. For fleet managers, it manifests as:

• Higher fuel prices
• Increases in maintenance costs
• Higher prices for consumable parts, like tires and windshield wipers
• Increases in new and used vehicle prices

And that's only what goes on in the yard. As a whole, your organization is experiencing skyrocketing:

• Insurance prices for both auto and property policies
• Employee wages (which increase the company's payroll taxes)
• And even seemingly minor items, like paper and office supplies

Still, inflation is more than that. Investopedia defines inflation as decreasing purchase power per dollar. In other words, your costs are going up, and your savings are becoming less valuable over time.

Every US business is feeling the crunch, including your suppliers and clients. Now you're thinking, "I know all this. What can I do about it?" Let's explore.

Communication is Valuable: Great Relationships Are the Key to Combatting Inflation

Costs are increasing for everyone, everywhere. Your customers, suppliers and employees all know it. So get on the phone with both ends of the chain and discuss the reality.

Focus on a Great Customer Experience

Make sure your account managers reach out to every client, even the ones who are difficult to please. This will build client loyalty and make collecting on historically slow-paying accounts easier. 

Be a Proactive Customer, Too

Contact your suppliers and service providers, too. They may have some cost-saving ideas, like:

• Bulk supply purchases
• New service contracts
• Affordable brand-name alternatives

If you don't ask for better prices and more affordable options, you won't see them.

Now that you're thinking about expenses let's talk about meticulous bookkeeping. 

Focus on Bookkeeping For the Win

Your success through inflation depends on the skill and dedication of your bookkeeping staff. If your organization is somewhat lax about the books, it's time to get focused.

Take Action on Old Debt

If you're a small business owner and handle the books yourself, figure out how much debt is owed to you. Make those collection calls for old debt, or write them off and re-approach the customer. Be sure to get a significant deposit from them this time.

Monitor Fleet Expenses Closely

Tracking the cost and effectiveness of your consumables — like tires, batteries, printer paper and toner — can help you save a ton of money. 

By monitoring supplies-related data, including cost, quantity used per job and effectiveness of the product, fleets can determine:

• Whether changing products is feasible/profitable
• If supplies are being used inconsistently on jobs
• Any signs of employee pilferage
• If it's time to replace old vehicles with more fuel-efficient models

That last point is where the Wilmar team excels. 

Wilmar is Your Source for Fuel-Efficient Fleet Vehicles

For more than 40 years, the Wilmar team has worked for our client's best interests. Our founder Bill Crawford insisted that if we followed this philosophy, we would keep clients for life. It seems obvious. Still, many fleet management companies and dealerships make recommendations that are great for their company, not yours.

Whether you need to replace one old delivery van or lease an entire fleet of new pickup trucks, we can help. Contact us and experience the difference. Our team and our trucks will work for you.