Loaner fleets are one of the most important sources of profitability at dealerships today, says the owner of a vehicle telematics firm.

Now, because of a new partnership between that company — Guidepoint Systems — and modern fleet management platform, Dealerware, dealerships will be able to track vehicles with real-time GPS and track and recoup costs such as fuel and tolls, according to the companies.

The companies say the partnership will help North American automotive dealerships increase the profitability and efficiency of their loaner fleet programs.

The new agreement calls for Guidepoint to become the exclusive supplier of GPS-enabled telematics devices for the Dealerware platform. That platform streamlines fleet management for dealership loaner-car operations and vehicle subscription programs and also provides that service for hybrids of each program.

Also under the agreement, Dealerware becomes the exclusive software provider for Guidepoint’s loaner vehicle program and rental management tools.

The two companies have already worked together. On a non-exclusive basis for the past 10 months, Guidepoint and Dealerware have provided hundreds of dealerships with loaner tracking technology and services for tens of thousands of loaner vehicles.

With the new integration of the two companies, dealerships’ customers can track mileage, battery levels, and other important data on driving behavior that affect the vehicle’s value.

Through the new integration, dealership personnel can monitor loaner vehicles from any Internet-connected smartphone, PC or tablet on a customized Dealerware Dashboard.

According to the companies, that provides a detailed view of fleet utilization and other key performance indicators (KPIs).

The companies say an OBD2 plug-in harness means users can easily install the unit or  swap it to new vehicles, and that process makes a wiring connection to vehicles less complex. That allows personnel to install the module in less than 20 minutes, the companies say.

Around-the-clock alert notifications, emergency service dispatch, stolen vehicle recovery and law enforcement assistance support each vehicle.

Because of the importance of loaner fleets to dealerships, those dealers must boost the efficiency of their fleets and deliver strong customer service, said Guidepoint co-founder and chief executive officer Tom Gafford.

“We have teamed up with Dealerware to create a best-in-class solution for dealerships that want to reduce fuel-and-maintenance costs, improve their CSI scores and maximize their fleet vehicle remarketing,” Gafford said.

Dealerware executive vice president and general manager Russell Lemmer said retailers of today need partners allowing them to maintain or boost profits through fixed operations that feature digitalization, automation, and a customer-centric approach.

“Together, Guidepoint and Dealerware provide a best-in-class technology that allows retailers [to] increase profitability and delight customers with high-touch, seamless services,” Lemmer said.