CapEx vs OpEx: How Fleets Should Prepare for Industry Growth

2025 is off to a strong start for U.S. commercial fleets, and industry leaders are preparing to shift focus from discounts and opportunistic CapEx investments, to tightened budgets geared towards profitability. For example, five of the top fleets recently reported they’re budgeting for capital expenditures of around $2.4 billion, nearly 25% less than their collective totals in 2024.

Previous investments made in response to the high post-COVID demands —along with efforts to grab market share after the Yellow shutdown — resulted in significant CapEx numbers over the last few years. As the industry begins to level back out, fleets are looking to return to more efficient operations and evaluate the benefits of an OpEx model in order to boost profits. 

Signals of Industry Growth

Several factors are simultaneously falling into place to set the stage for an exciting year to come. For example, many fleets have been diligently investing in technology over the past few years, bolstering their ability to run in-house telematics analytics. This year indicates that many are set to fully utilize these tools for optimized operations. 

Additionally, the U.S. Institute for Supply Management Manufacturing Purchasing Managers Index (PMI) — after 26 months of predicting industry contraction — has now changed to indicating likely expansion for the sector in the months to come. Areas in the expansion territory include new orders, production, employment, and supplier deliveries. Additionally, eight industries reported growth in January 2025, including: 

• Textile mills
• Primary metals
• Petroleum & coal products
• Chemical products
• Machinery
• Transportation equipment
• Plastics & rubber products
• Electrical equipment, appliances & components

How can fleets prepare for upcoming growth opportunities?

Fleets looking to focus on profitability and efficiency in response to the growing industry momentum can take several steps to prepare. For example:

1. Consider HaaS or OpEx options.

The Hardware as a Service (HaaS) model, also known as an operational expenditures (OpEx) model, allows fleets to pay for fleet management services hosted by technology providers rather than hosting them in-house, reducing overhead and risk for the fleet. Services are delivered and updated virtually by the provider, including new features, updates, and compliance items. Some providers also offer usage-based billing, meaning a fleet is only billed for what it actually used by the active number of trucks that month, saving additional cost and boosting profitability. 

2. Implement technologies that improve fleet efficiency.

The opportunity for profitability only works if your house is in order. Make sure your existing tools and processes are functioning properly and optimized by conducting regular internal audits and tracking key metrics over time. Take advantage of technologies and apps available today designed specifically for commercial fleets and geared towards a wide range of efficiency topics. 

For example, automated tools can sort and make suggestions on your Unassigned Drive Time events, saving your back office hours of busywork. Some apps track local fuel prices to help create the most efficient routes, while others allow you to create easy-to-read dashboards with a bird’s eye view of every truck in your fleet. Leveraging automated technologies can streamline your operations while reducing errors and improving your data quality.

3. Future-proof your fleet.

Ensure that your fleet management tools are flexible and can scale with your business operations. Usage-based billing allows your expenses to reflect your customer load and current number of active trucks and employees. Additionally, choosing in-cab tools that make your drivers’ days easier and more efficient sets your reputation as a driver-focused company, supporting your driver retention efforts and laying the groundwork for future recruitment needs. Finally, choosing a technology provider that is connected to and active in industry events, thought leadership, and trending topics ensures you will be on the forefront of new developments and opportunities on the horizon.

4. Help drivers find success.

Supporting your drivers with useful technologies helps them find more success in their daily tasks, supporting company culture and fostering shared ownership on company goals, including efficiency. Driver success also equates to happier customers whose expectations and timelines are met. For example, driver-focused telematics tools and apps can improve navigation, response to weather events, and communication between the back office and the cab. Other technologies help ensure drivers pull the right trailer every time, while others report regularly on the safety and status of the cargo. Finally, automated inspection tools improve the quality and speed of inspections, getting drivers back on the road quicker while helping them stay safer in better-maintained trucks.

5. Fight hidden costs with preventative maintenance.

Inspection violations, accidents, and compliance issues can be unfortunate surprises that damage your bottom line. Whether it is expensive litigation, trucks out of service, or increasing FMCSA violation fees, these unplanned costs can do serious damage to your profitability. Preventative maintenance schedules – automated and shared between maintenance and drive teams – can reduce unplanned downtime and schedule disruptions from breakdowns. 

Better-maintained trucks are safer to drive and keep drivers happier, and keeping a close eye on the health of your vehicles reduces your chances for an inspection violation. By using technologies like DVIR software that proactively keep your trucks safe and compliant every day, you reduce the likelihood of unexpected expenses that can derail your profitability. 

6. Improve company reputation for more business opportunities. 

Your safety rating can go a long way in attracting new customers and ensuring continued business with existing ones. By supporting safety initiatives for your drivers and vehicles, you can ensure that your fleet reputation remains stellar. According to a recent Nielsen study, 88% of global respondents stated they trust recommendations from people they know more than any other marketing activity, so your company reputation and word-of-mouth is key in attracting new business. The work you do behind the scenes today to meet timelines and stay compliant translates into increased profitability in the months and years to come. 

As fleets prepare to shift into profit mode for the year ahead, these tips can set you apart from competitors and ensure you are ready to meet the opportunities moving your way in the year to come. 

‍Learn more about Platform Science’s full suite of technology tools for fleets and drivers, or contact us to schedule a demo.