Some 63% of fleet management firms cite customer demand as a major influence on their transition to more energy efficient vehicles, a new study by Teletrac Navman has found.
The Mobilizing the Future of Fleets Report: 2025 Energy Edition found that more than half (58%) of fleet management firms surveyed cited the growing importance of brand reputation and corporate sustainability goals as a primary driver.
Just 29% said that regulatory pressure and government mandates was guiding their decision making when it came to transitioning their fleets.
“Fleets are focusing on their own net-zero goals as a part of their corporate reputation and long-term commercial strategies, rather than just seeing it as a compliance checkbox,” commented Alain Samaha, CEO of Teletrac Navman.
“Customers recognise the importance of sustainable operations, and according to our research, are making active decisions around the businesses they support based on their sustainability credentials.”
Key priorities
Operational improvements are the key focus area for fleets, cited by 84%, followed by regular vehicle maintenance (49%), optimising vehicle utilisation (36%), and investment in driver training (28%), the study found.
At the same time, some three fifths (61%) of firms are making capital expenditure investments in their fleets, with 48% upgrading to more fuel-efficient vehicles, and 31% to vehicles that use alternative fuels.
Larger fleets, especially those with 50 or more vehicles, are taking the lead when it comes to sustainability planning, with 62% of firms already investing in their sustainability performance.
With 61% of fleet management firms having switched to a mixed-energy model, plug-in hybrid electric vehicles (PHEVs) (39%), battery electric vehicles (BEVs) (37%), and natural gas (23%) are the most widely-adopted models.
Some 8% have transitioned at least half of their fleet, while 85% expect to reach that milestone within five years.
‘A pivotal moment’
“The push for fleet sustainability is at a pivotal moment. There is no single viewpoint on the best path forward and while concerns persist, many operators see decarbonisation as a strategic advantage,” continued Samaha.
“The pace and feasibility of adoption remain points of debate, however, access to accurate data and actionable insights will be critical factors in making informed decisions that align with both business needs and sustainability goals.”
Teletrac Navman’s report surveyed 536 respondents in Australia, New Zealand, Mexico, the United Kingdom and the United States, and was carried out in November 2024. Read more here and here.
