Fleet Sizes: Who Cares?

Posted on February 4, 2009 by - Also by this author

INDUSTRY DEBATE: We at LCT have been getting an earful for years about fleet sizes, and how so-and-so exaggerates, how fleet sizes don't matter, why do we focus so much on the number of vehicles, etc. Well, the skeptics do have a point.

So LCT would like to put forth a more valid and worthy measuring stick: Profit per vehicle. The true indicator of success in the chauffeured transportation industry is not HOW MANY vehicles an operator runs, but HOW MUCH each vehicle generates in profit as an independent unit. An operator with, say, 4 vehicles that each generate a 25-35% profit margin is more successful than the operator with 20 vehicles who has some generating double digits, others single digits, some flat, others negative or just parked on the lot.

The question then becomes: Would 9,000 plus operators be willing to disclose profit margins on each of their vehicles via a certified audit,  and a "Top 100" list evolve out of that? Somehow, we think this is as likely as the federal government junking the IRS tax code in favor of a flat-tax postcard 1040.

So we're back to counting chauffeured cars. That's why LCT is left to focus on fleet sizes. -- M.R. 

View comments or post a comment on this story. (5 Comments)

More LCT Blog Blog Posts

October 1, 2012

Event Management

Don't let your guests down. Here are some things to think about before the event starts.

September 26, 2012

October LCT Mag Focuses On Customer Service

ISSUE PREVIEW: What does he think? What did she really say? Are you channeling your customers? In the October 2012 issue of LCT Magazine, you’ll get a complete primer on how to read and please your
September 26, 2012

Driverless Cars Legalized In California

With no need for people to operate vehicles, how can limo companies adapt to the new world of transportation?
September 26, 2012

Manners Still Matter On Social Media

It has never before been easier for businesses to share information, insight and intimacy with consumers; it has also never been easier to offend them. Read more to learn how to avoid a social media faux pas.
September 20, 2012

My First Encounter With The 2013 Lincoln MKT Town Car

On my trip to Chicago last week for the 2012 BusCon Expo, I had the pleasure of experiencing a new ride — the 2013 MKT Town Car.
See More

Facebook Comments ()

Comments (5)

Post a Comment



See More

See More

See More

See More

LCT Store

LCT Magazine - January 2017 $12.95 THE MONEY ISSUE COVER STORY: * Dashboard Helps Steer Company Finances * *


Experience the three annual industry events for networking for business, showcasing vehicles and products, and getting the tools for success.

Read About Your Region

What’s Happening Near You?
Click on any state to see the latest industry news and events in that region.

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment



Work Truck Magazine

The number 1 resource for vocational truck fleets

Metro Magazine

Serving the bus and passenger rail industries for more than a century

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

Please sign in or register to .    Close