by Rocco Davanzo, Exec. Vice President of Capacity Development
It’s the Holiday Season! A time of year synonymous with festivities, gifts and, unfortunately, spending a lot of extra money. But what if as an owner-operator you could actually save money during the holidays and the rest of the year too? Thousands of Landstar BCOs are doing just that by way of amazing fuel discounts through Landstar’s Contractor Advantage Purchasing Program (LCAPP). Just last week, Landstar owner-operators saved over 60 cents a gallon over the regular retail price, with one BCO reporting saving more than $1 per gallon on fuel! How’s that for putting a little extra jingle in your pocket for the holidays?
Landstar’s ability to secure the cheapest fuel prices for its owner-operators would make even Ebenezer Scrooge jealous! In 2013, Landstar BCOs saved over $19 million on fuel purchases through the LCAPP program…and the savings for 2014 are shaping up to be even more impressive, at nearly $24 million in fuel cost savings with a few more weeks to go.
The average savings on fuel purchases through LCAPP for 2014 year-to-date is around 22 cents per gallon. That equates to substantial savings when calculated throughout the entire year.The U.S. Energy Information Administration (EIA) has projected the average retail price of on-highway diesel fuel for the second half 2014 to be $3.86 per gallon. At that price, an owner-operator who drove 110,000 miles this year and averaged 6.5 miles per gallon would save approximately $3,800 in 2014 on fuel purchased through LCAPP. Given that you don’t pay taxes on money saved, some financial experts say that additional dollars saved are even more beneficial to your businesses’ bottom line than additional dollars earned.
Spending retail cost on fuel this Holiday Season? Landstar says, “Bah! Humbug!”