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The ROI of Installing the Automatic Reverse Braking System on OEMs.

Updated: Dec 7, 2023

For fleet owners and operators, safety is not only a top priority but also a significant factor in profitability. The Automatic Reverse Braking System offered by Global Sensor Systems has become an indispensable tool for enhancing truck safety, reducing accidents, and preserving lives in the transportation industry. In this blog post, we will delve into the Return on Investment (ROI) of installing the Automatic Reverse Braking System in Original Equipment Manufacturer (OEM) trucks, highlighting the financial benefits that come hand-in-hand with improved safety.

Sensing Area of Automatic Reverse Braking Systems

Sensing Area of Automatic Reverse Braking Systems

Enhanced Safety, Reduced Costs:

The foremost advantage of installing the Automatic Reverse Braking System in OEM trucks is the increased safety it provides. By automatically stopping a vehicle when an object is detected within 6 feet during reversing maneuvers, this cutting-edge technology significantly mitigates the risk of accidents and collisions. Fleet owners can avoid costly repairs, insurance claims, and potential legal liabilities associated with accidents, ultimately leading to substantial cost savings in the long run.


Lower Driver Training Expenses:

Unlike other safety measures that might require extensive driver training or changes in operating procedures, the Automatic Reverse Braking System integrates seamlessly into any air brake truck. This means minimal disruption to existing processes and reduced training expenses for drivers. The intuitive nature of the system ensures that any driver can quickly adapt to its functionality, maximizing efficiency and productivity.


Reduced Downtime:

Accidents and collisions often result in vehicle downtime, which directly impacts a fleet's profitability. The Automatic Reverse Braking System's ability to prevent backing accidents ensures that trucks remain in operation, reducing downtime and maximizing revenue-generating hours for fleet owners. By investing in this innovative safety technology, fleet operators can maintain a consistent workflow, avoid delays in service, and satisfy customer demands promptly.


Insurance Premium Reduction:

Insurance costs are a significant expense for fleet owners. The Automatic Reverse Braking System, with its proven track record of minimizing accidents, can lead to insurance premium reductions. Insurance providers recognize the added safety measures implemented by businesses and often offer discounts or preferential rates to those who install advanced safety systems like the Automatic Reverse Braking System. This further contributes to the overall ROI of the investment.


Positive Brand Image and Customer Satisfaction:

Operating a fleet of trucks equipped with the Automatic Reverse Braking System reflects a commitment to safety and a dedication to protecting employees, customers, and the general public. This proactive approach not only enhances the brand image but also fosters customer satisfaction and loyalty. Clients appreciate partnering with companies that prioritize safety, leading to potential new business opportunities and positive word-of-mouth referrals.


Calculating the ROI:

Let's evaluate the return on investment of installing the Automatic Reverse Braking System. The average cost of the system is around $3,000 USD for each truck. However, it's important to note that there are no additional maintenance fees, and the system outlasts the lifetime of the truck.


Considering the potential cost savings from accidents, repairs, and insurance premiums, let's assume a conservative estimate of avoiding just one major accident per year, which could cost $50,000 or more in damages, legal fees, and increased insurance rates.


ROI Calculation: ROI = [(Cost Savings - Cost of Investment) / Cost of Investment] * 100

Cost Savings (with just one avoided accident) = $50,000 Cost of Investment (per truck) (average) = $3,000 ROI = [(50,000 - 3,000) / 3,000] * 100 ROI = 1,566.7%


With the Automatic Reverse Braking System installed, fleet owners can potentially achieve a remarkable ROI of 1,566.7% by avoiding just one major accident. This ROI calculation doesn't even consider the numerous smaller accidents and associated costs that can be prevented, along with the reduction in insurance premiums and enhanced brand image.


Conclusion:

Investing in the Automatic Reverse Braking System for OEM trucks is a strategic decision that not only improves safety but also yields a significant return on investment. With the system's ability to reduce accidents, cut costs, minimize downtime, and lower insurance premiums, fleet owners can optimize profitability and demonstrate their commitment to safety. Global Sensor Systems continues to revolutionize truck safety with this game-changing technology, empowering businesses to safeguard lives, protect assets, and advance their financial goals. The tremendous ROI potential, along with the system's upfront affordability and durability, makes it a wise investment for any fleet owner looking to prioritize safety and maximize their bottom line.


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