Vehicle and rider unit economics

We build the unit-economics model for your fleet: revenue and cost per vehicle-day, per rider-shift and per drop, split by vehicle type, zone and contract. Fixed costs, variable costs and idle time are separated, so the break-even number of drops per day is visible for each unit.

The model is the basis for sizing, pricing and every capital request that follows.

• A unit-economics model by vehicle type, rider type and zone, tied to your ledger.
• A contribution waterfall from delivery revenue to contribution per vehicle-day.
• A break-even table of drops per day for each unit and a sensitivity to fuel, wages and drop value.
• A ranking of the fleet by contribution, with the bottom tier identified and explained.
• A board paper that links the model to capital allocation, replacement and growth.

• Contribution margin per vehicle-day is stated by vehicle type.
• Break-even drops per day sit beside actual drops per day, for every unit.
• Your board sees the share of the fleet below break-even.
• The model reconciles to the ledger, and the difference between them is reported each month.
• Return on capital is stated by vehicle class, so capital requests are compared on one basis.

Fleet results are usually reported as a total, which hides that some vehicles earn a good return and others subsidise them. Without per-unit figures, growth capital is spread evenly and the weaker units grow with the stronger ones.

• The fleet P&L is positive in total and no one can say which vehicle types carry it.
• Break-even drops per day is unknown for bikes, cars and vans.
• Price changes to customers are decided without cost per delivery by segment.
• Investors ask for unit economics and receive an average.
• Maintenance and idle cost sit in a general overhead line.

Chief financial officers, chief executives and investors of delivery operators, 3PL and courier companies, q-commerce businesses and retail groups with an owned or blended fleet, and anyone asked to fund its growth.

Qasim Abbas set the capital logic behind a blended last-mile fleet of about 1,000 vehicles at BaladiMart, so he knows what a vehicle or a rider must earn to justify its place. The model you receive is built to that standard.

We run the model on exports from your ledger and your dispatch platform, reconciled first to your reported fleet cost. The fleet economics tool compares owning, leasing and outsourcing on monthly cost and cost per delivery. See how fees work.

Should overhead be allocated to each vehicle?

We show contribution before and after a defined share of overhead, so the board can see both the cash a unit generates and the full cost it should carry.

Can this work for a fleet that is mostly contracted?

Yes. Contracted capacity is modelled at its invoice rate, which allows a direct comparison with owned vehicles on the same basis.

How often do the figures change?

Cost inputs move slowly and drop value moves fast. We refresh the model monthly and rebuild its structure only when the fleet mix changes.

Last quarter's fleet cost and delivery revenue are enough to start. At a private briefing we show you in one sitting how the unit view differs from the total.