Tire Prices Weigh on Car Fleet Maintenance Costs - Tire Review Magazine

Tire Prices Weigh on Car Fleet Maintenance Costs

Even as overall car fleet maintenance costs dropped in 2013, GE Capital Fleet Services said the rising cost of replacement tires proved to be an issue.
The Eden Prairie, Minn.-based global fleet management company conducts an annual survey, and its 19th study showed that “overall fleet car maintenance costs decreased by 4% in 2013 as compared to 2012.”
Such costs include unscheduled repairs, preventative maintenance, tires and replacement rentals. The study analyzed actual maintenance expenses incurred by nearly 37,000 passenger cars from Jan. 1 to Dec. 31, 2013.
The research found monthly preventive maintenance expenses decreased 14% in 2013 and average vehicle maintenance costs decreased from $50.47 to $48.36 per vehicle per month.
Key to the decrease were increased oil change intervals, better vehicle cycling, and improved overall vehicle quality.
Although costs for replacement tires increased by 10% in 2013 versus 2012, fewer tires were purchased due to proper vehicle cycling – trading in vehicles on schedule and avoiding tire purchases. This resulted in a 3% decrease in overall tire cost per vehicle. Additionally, new tire technology helped to extend tire tread life, allowing for tighter trade-in scheduling.
While costs for oil services rose by $3 from the previous year ($39 to $42), the interval for oil changes increased from 3.6 months to 4.3 months and from 7,515 miles to 8,817 miles. GE Capital attributed that to improvements in engine design, onboard vehicle technology and oil quality.
“Vehicle quality improvements will continue to present opportunities for fleet maintenance savings in 2014 and beyond,” said Eric Strom, maintenance and safety product manager for GE Capital Fleet Services. “However, labor rates, rental costs and the price of replacement parts are expected to increase in the year ahead. As cost savings remains a top priority for fleet managers, our team of experts aims to provide customers with a thorough list of options for finding and achieving savings within their fleet.”

You May Also Like

RNR Tire Express honors the legacy of franchisee Richard Rose

Rose was posthumously awarded with the franchise’s second-ever Lifetime Achievement Award.

RNR-Tire-Richard-Rose

RNR Tire Express (RNR) recently closed out its annual franchise conference, where it honored the legacy of Richard Rose, who it considered one of its “trailblazing franchisees.” Rose was posthumously awarded with the franchise’s second-ever Lifetime Achievement Award.

Members of the Rose family were in attendance at the conference to accept the Lifetime Achievement Award on Richard’s behalf. Rose's two sons will continue to operate their father’s franchise locations in Virginia and ensure his legacy continues within the RNR system and throughout the communities he services, RNR Tire Express said.

McCarthy Tire Service earns gold in Best of the Best contest

The company secured gold awards in four categories, including Best Employer, Best Auto Repair, Best Car Wash and Best Auto Detail.

award-stock
Continental Tire discusses how prioritizing dealer feedback maximizes profits

Continental Tire executives talk about the status of the PLT tire market, the company’s strategic balance between OE and replacement tire offerings, and more.

conti-Combo-1400
Anyline secures funding from Austrian agency for AI development

Anyline received around $2.86 million to fund research and development of Closed Loop Training for artificial intelligence models.

ANYLINE-AI-stock
Continental appoints new ‘head of region’ for the US, Canada

In this role, Rob Schroeder will oversee all of material handling, port, earthmoving and agriculture tire business in the United States and Canada.

Conti-RobSchroeder_HeadofRegion

Other Posts

K&M Tire adds Jon Zurcher as executive vice president

Zurcher previously served as COO for Best-One Tire for the past seven years.

John-Z-K&M
Hercules Tire reveals spring rebate on five tire lines

From now until May 15, customers who purchase four qualifying Hercules Tires may be eligible to receive up to a $70 rebate.

hercules-spring-us-rebate
Kenda Tires becomes Cleveland Cavaliers associate partner for NBA playoff games

The tire manufacturer will be advertised on the court, with Kenda-branded rally towels, and will appear during local pre-game programming.

Kenda-Tire-Sir-CC-High-Fives-1400
Nokian Tyres releases 2023 sustainability report

Highlights of the company’s sustainability actions in 2023 include a commitment to achieve science-based net-zero emissions by 2050.

Nokian-Tyres-sustainability-report