Fuel efficiency is the backbone of cost-effectiveness and sustainability in modern airline operations. As the aviation industry faces increasing pressure to decarbonize, airlines are adopting advanced fuel efficiency software to meet their goals. While these solutions promise significant savings and emissions reductions, commercial offers focus solely on the upfront costs, overlooking the comprehensive financial implications for airlines.
Indeed, diving into TCO enables airlines to assess total costs, support decisions that meet sustainability and profitability goals, and avoid investment errors. This article looks at TCO, why it's essential to consider, and which key items to evaluate before selecting a fuel-efficiency software provider.
What is the Total Cost of Ownership?
A well-known TCO example:
Think of cheap inkjet printers or Nespresso machines. The printer might cost only €50, or the coffee machine €80, a bargain at first glance, until you need ink or capsules. Suddenly, you're locked into overpriced refills that cost more than the device itself over time. The cheap upfront price is a trap. The real cost shows up later, that’s TCO in action!
It’s the same in the SaaS world. A tool might initially seem affordable, with low license fees and easy setup, but hidden costs can pile up: poor support, lack of scalability, limited features, or internal time wasted compensating for what the software doesn’t do well. The real question isn’t what it costs today, but what it will cost you in the long run.
For airlines investing in fuel efficiency software, TCO encompasses not only the upfront costs but also the ongoing and indirect expenses incurred over time. These costs typically fall into several categories:
- Initial acquisition costs
- Operational costs
- Internal resource costs
💡 Note:
Potential exit costs can also be calculated. In this case, the contractual exit costs if the selected provider leaves the market must be evaluated, and the cost of transitioning to a new solution must be assessed.
You’ll understand that airlines must look beyond the initial purchase price to understand the full TCO when assessing fuel efficiency software. A narrow focus on acquisition costs can lead to underestimated expenses, hidden fees, and missed opportunities for long-term savings, ultimately resulting in poor investment decisions.
By incorporating TCO into their decision-making process, airlines gain a clearer picture of long-term financial commitment and return on investment (ROI). This approach enables airlines to compare software solutions based on both affordability and long-term value. While some solutions may require extensive IT involvement, others, offer a user-friendly interface that requires no technical expertise, reducing internal resource costs significantly. Ultimately, choosing the wrong software could mean a much lower return on investment.
A TCO-based assessment ensures smarter investments that align with the airline's priorities.
![[GUIDE] Total Cost of Ownership Get the essential questions to ask to your fuel efficiency provider about TCO!](https://no-cache.hubspot.com/cta/default/4233951/interactive-188489221702.png)
The seven must-check items before you invest in your fuel efficiency software.
1- Choose a software that keeps evolving
Fuel efficiency is a moving target. Your tools should grow with it and evolve continuously, delivering new features and intelligence that adapt to the ever-changing operational and environmental context.
Be sure your fuel efficiency software provider reinvests heavily in R&D to ensure customers benefit from constant improvement, turning TCO into a growing return on investment.
2. Don’t underestimate the cost of complexity
A user-friendly solution doesn’t just feel good, it saves you money. Simplicity saves time, reduces costs, and accelerates insight. With an intuitive interface and drag-and-drop advanced analytics, there's no need to rely on expensive developers to generate insights. Analysts, dispatchers, and fuel managers can explore data and make decisions in minutes, not weeks. A complex tool might seem "powerful," but it requires considerable internal manpower and training.
You should choose a well-designed and user-friendly solution, which means teams spend less time struggling with complex configurations and more time optimizing fuel efficiency.
3. Go for models that scale, not ones that restrict
The more people using fuel data, the stronger your fuel culture becomes. Some providers charge per user or even per viewer, which can create budget headaches and, worse, discourage the internal sharing of data. That’s the opposite of what you want when building a strong fuel culture.
You must choose a model that encourages open information flow across your airline, from operations to flight crews, without penalizing growth.
4. Don’t pay extra for the support you should get
If help is limited or costs extra, you’re not getting a true partner; you’re getting nickel-and-dimed. To gain a clearer understanding of how the provider manages support, ask yourself:
- Is support unlimited and included?
- Are there customer success managers who are highly skilled in fuel efficiency, proactively helping you succeed?
- Is there a structured onboarding plan to ensure rapid ROI?
- Is the implementation fast and guided?
If the answer is no, you may be facing an uphill battle. Some vendors may have a hidden incentive: poor usability and frequent bugs can drive up support requests and support revenue.
When choosing the provider, ensure unlimited customer support is included. Each customer should benefit from an implementation manager and a dedicated Customer Success Manager who are fuel experts, know your specific operation and goals, and guide you at every step. This will ensure you get short time-to-value with visible results fast.
Related content >>> Air Caraïbes: driving fuel savings with data and an expert support!
5. Look for flexible licensing adapted to operational fluctuations
Grounded aircraft, seasonal variations, and unexpected events can impact your fleet overnight. Solutions like SkyBreathe® offer flexible licensing. If some of your aircraft are inactive, your license cost adjusts accordingly. It’s a fair and resilient approach that protects you against downturns.
6. Don’t overlook the power of AI to boost ROI fast
The value of your fuel efficiency software isn’t just in the data; it’s in how fast you can act on it.
AI-powered assistants are increasingly transforming how teams identify fuel savings opportunities. A domain-trained AI (like SkyBreathe® Advisor) can surface actionable insights in seconds without building complex dashboards or analyst reports.
7. Beware of bundled deals that box you in
If a solution is advertised as “free” or bundled with hardware, it’s worth asking what the real cost is.
In many cases, “free” means you're not the customer but the product.
Bundles with hardware can be just as deceptive, hiding real costs behind seemingly convenient packages. Vendors may lock you into their ecosystem, retain control of your data, and make it difficult or expensive to retrieve it later.
These offers often come with hidden trade-offs: little to no long-term investment in improving the software, limited or paywalled support, and opaque or unexpected costs down the line.
And the biggest risk? If the solution does not generate real revenue, the vendor has no incentive to maintain it. The “fuel efficiency” part of their portfolio can be quietly dropped, leaving you without a solution overnight.
Beyond TCO: Other key criteria for choosing a fuel-efficiency software
While TCO is a critical factor, it is not the only criteria to consider when selecting the right solution for your airline.
- Another key factor is examining regulatory frameworks such as CORSIA, EU ETS, and UK ETS. The right solution can save a lot of time and simplify reporting, protecting against non-compliance penalties.
- Pilot engagement and operational ease are critical. The software must be intuitive and seamlessly integrated into each user's workflows to ensure it is actively used and effective in driving environmental change. For example, you should be sure the app is designed to coach pilots, and doesn’t just display information.
💡 Coaching tools like SkyBreathe® MyFuelCoach turn every flight into a learning opportunity without adding training overhead to your budget.
- Fuel savings aren’t just the responsibility of pilots or analysts, they’re a collective effort. 65% of airline people are in a position daily to directly contribute to reducing fuel consumption and profit sharing. That’s why you should ensure the fuel efficiency software is designed to engage a wide range of stakeholders and offer unlimited user access to encourage adoption, provide role-specific views and tools to make insights actionable for everyone, and support cross-functional collaboration.
- Finally, collaboration and trust in your provider are crucial. The right partner and user community drive long-term success. Fuel efficiency is more than software — it’s about partnering with a provider with deep expertise, which supports your goal, and a community of airlines you can learn from. A proven vendor helps you:
- Learn faster through shared best practices
- Innovate with features shaped by real-world needs
- Avoid common pitfalls with expert guidance
💡 A strong user community turns a tool into a growth engine, helping you evolve, improve, and stay ahead..
GOING FURTHER
[GUIDE] >>> Essential questions to ask your fuel efficiency software provider to assess TCO.
