The food and beverage industry is constantly evolving, and businesses must stay ahead of the game to remain competitive. One critical aspect of their operations that often goes overlooked is their vehicle programs.
Company car programs can be arranged in multiple different ways, with fleet, FAVR, and allowance being some of the most common. Depending on how an F&B company organizes their vehicle program, they could win or lose big—that’s where data comes in.
As the industry embraces digital transformation, it becomes increasingly crucial for companies to utilize data-driven decision-making to optimize their vehicle programs. In this blog post, we will explore the importance of adapting to the evolving market, leveraging business intelligence tools, and using market data to benchmark and improve existing programs.
Adapting to the Market in the Food and Beverage Industry
The food and beverage industry is highly dynamic, with changing consumer preferences, delivery demands, and sustainability concerns. To survive and thrive in such a landscape, companies must be agile and responsive.
Vehicle programs play a pivotal role in:
- Empowering outside salespeople and merchandisers,
- Increasing company tax-efficiency,
- Meeting customer expectations.
But what exactly is a vehicle program? It’s the way that your company organizes how drivers will conduct their car travel, for example for outside sales or merchandising duties. There is everything from fleets of company cars to vehicle reimbursement programs.
The right programs are cost-effective, because there are tax deductions for organizing your vehicle program properly. That’s where data comes into decision making.
By making data-driven decisions, businesses can ensure that their vehicle programs align with industry trends and meet evolving customer needs. Moreover, with vehicle reimbursement programs, good data means tax-efficiency.
Procuring Business Intelligence Tools
One powerful tool that empowers companies in making data-driven decisions is Cardata. Cardata provides comprehensive reporting solutions that offer invaluable insights into vehicle program management.
By harnessing the power of Cardata’s reporting, businesses gain visibility into various aspects of their programs, enabling them to identify opportunities for optimization and cost savings.
Gaining Insights Through Comprehensive Reporting
Cardata’s reporting solutions offer a wealth of information that aids decision-making in vehicle programs. Some of the key reports include:
A. Taxable Income Reports: Automatic tax calculations streamline payroll processes and reduce tax exposure, making compliance more manageable for the company and its employees.
B. Daily Trip Reports: Leveraging detailed trip data allows businesses to improve decision-making, enhance driver productivity, and increase on-road efficiency.
C. Mileage Audit Report: This report ensures transparency and accuracy in mileage reimbursement, while also identifying potential areas for program optimization.
Data and FAVR Rate Design
Data isn’t only used to optimize programs, but also to set them up. For example, local vehicle cost data is crucial to have access to, since driver location influences reimbursement rates in a FAVR program.
By considering geographic nuances, companies can customize their reimbursement strategies to reflect unique cost-of-living factors, driving conditions, and economic dynamics. Access to comprehensive data sources is essential to design rates accurately and ensure fair compensation for employees based on their specific locations.
FAVR programs have gained popularity nationwide, with certain states like California, Florida, and Texas leading the way. This geographically-tailored approach has revolutionized vehicle reimbursement, providing a precise and equitable solution for employees across diverse industries.
To learn more more about FAVR geographic data, read this next.
Having access to a vehicle reimbursement partner gets you the data you need to benchmark your program against other companies in the F&B space. Being able to access this information is crucial for attracting and retaining talent while running the most efficient program possible.
Benchmarking is a powerful tool that allows businesses to compare their vehicle reimbursement program against industry peers in the industry. By partnering with a vehicle reimbursement provider like Cardata, companies gain access to valuable data that enables them to assess the competitiveness and efficiency of their program.
- Competitiveness in Talent Acquisition and Retention: In a competitive job market, offering a competitive vehicle reimbursement program can be a significant factor in attracting and retaining top talent. Benchmarking allows companies to see how their program measures up against other F&B companies in terms of reimbursement rates, coverage, and overall benefits. Armed with this data, businesses can adjust their program to ensure they remain competitive, attracting skilled professionals and reducing employee turnover.
- Efficiency and Cost-Effectiveness: Benchmarking also helps companies gauge the efficiency and cost-effectiveness of their vehicle reimbursement program. By comparing their program with industry peers, businesses can identify potential areas for improvement, cost savings, and optimization. This may include refining reimbursement rates, analyzing mileage allowances, or considering alternative reimbursement models like FAVR. The data-driven insights gained through benchmarking enable companies to make informed decisions to run the most efficient program possible.
Data-driven decision-making is imperative for businesses operating in the food and beverage industry. Leveraging business intelligence tools like Cardata’s reporting solutions provides a competitive edge in the market. By staying ahead of industry trends and making informed choices, companies can optimize their vehicle programs to meet the demands of an ever-changing market. Embracing data-driven decision-making is the key to success in an evolving industry landscape.