This blog entry is the third in a series that will briefly address key questions asked by those in the waste oil collection industry. It will provide insight into how implementing a tank monitoring solution allows collectors to deliver best -in-class customer service, plan logistics more efficiently, secure their supply of waste oil, and reduce ghost gallons.
How Can I Secure My Supply of Waste Oil?
As discussed in previous posts, the waste oil collection business is extremely competitive. Since customers can easily be lost to competitors, it is of utmost importance to sign customers to long term contracts, ensuring your supply of waste oil. To do so, waste oil collectors must find new ways to differentiate themselves and provide value to their customers beyond direct payment for the oil collected. Implementing a tank monitoring solution allows you to provide additional benefits to producers and sign them to long term deals.
With a cloud-based data system, tank-level data can be shared with whomever you choose, including your customers – all they need is an internet connected device. By providing your customers with tank level data you now have provided them with oversight of an asset that goes largely unmonitored today. Consider the example of an oil change chain with 1,000 stores. At any given time they may have 100 gallons of used oil at each of their stores or 100,000 gallons total. At a rough value of $1 per gallon, that’s a $100,000 asset. On an annual basis, this turns into millions of gallons of used oil and millions of dollars of assets. A business would never allow any other asset of that value to go unchecked and used oil should be no different.
With a remote tank monitoring system, your customers are better informed of their inventory and are more confident that they are being properly compensated and are not experiencing employee shrink. Trusting relationships are formed, resulting in long term business agreements and securing your supply of waste oil well into the future.
Stay tuned for the next blog entry in the Eliminate Guesswork from Oil Collections series– How Can I Reduce Ghost Gallons?
Product Manager - TankScan, ATEK Access Technologies, LLC