Critical Shifts:
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Shift to Disciplined Optimization: North American fleet leaders have moved away from the reactive crisis management of recent years (2022–2025) and are entering 2026 with a disciplined focus on cost reduction, operational resilience, and data-driven stability.
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Cost Control and Economic Pressures: Element’s 2026 Market Pulse Report reveals that 78% of fleet leaders prioritize cost savings as their top focus, while 54% report being impacted by tariffs and broader economic factors.
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Stability Over Fleet Expansion: Demonstrating a stability-first approach to the current economic environment, 50% of surveyed organizations expect to maintain their existing fleet size rather than expanding.
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Pragmatic, Value-Driven Innovation: Innovation remains on the radar but is strictly pragmatic; 53% of leaders are exploring AI/digital tools to improve safety and cut costs, while EV transitions (19%) and alternative mobility solutions (31%) are being approached through cautious, practical phases.
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Fleet and mobility leaders across North America are entering 2026 with a clear priority: reduce costs, maintain operational stability, and make smarter, data-driven decisions in an increasingly complex environment.
This marks a shift from recent years. Since 2022, when fleets were navigating supply chain disruption and uncertainty, organizations have moved from reactive crisis management to disciplined, cost-focused optimization—where efficiency, resilience, and measurable value now define strategy.
That’s according to Element Fleet Management’s 2026 Market Pulse Report, released in May. Now in its fifth year, the report captures insights from organizations across the U.S., Canada, and Mexico, offering a real-world view into how leaders are optimizing fleet and mobility operations while balancing immediate pressures with long-term transformation.
Element Fleet Management Corp. (TSX: EFN) is a global fleet management and mobility solutions provider that helps organizations reduce total cost of ownership, improve efficiency, and navigate the shift toward more connected and sustainable mobility.
- 78% of leaders prioritize cost savings, making it the top focus for 2026
- 54% report moderate to significant impact from tariffs and economic factors
- 50% expect to maintain fleet size, signaling a stability-first approach
Together, these trends point to a broader shift across the industry from reactive decision-making to intentional, cost-focused optimization.
“Clients are operating in an environment where every decision must deliver measurable value,” said David Madrigal, EVP and chief commercial officer at Element. “They’re focused on reducing total cost of ownership while maintaining performance — and increasingly turning to data and strategic insights to guide those decisions.”
Even as cost control dominates, leaders are continuing to invest selectively in areas that drive efficiency and long-term value:
- 53% are exploring AI and digital tools, primarily to improve safety and reduce costs
- 19% are in early stages of EV transition, with many taking a phased, practical approach
- 31% are exploring or using alternative mobility solutions, with short-term rentals leading adoption
This reflects a pragmatic approach to innovation, where organizations are prioritizing solutions that deliver immediate impact, while building toward a more connected, flexible mobility future.
“For most organizations, progress isn’t about making bold, immediate shifts; it’s about taking practical steps that align with operational realities,” said Avninder Buttar, SVP and Head of Electrification at Element. “That’s especially true as fleets balance sustainability goals with cost, infrastructure, and performance considerations.”
