Data to action: fleets must address digital gaps to cut emissions
- 27% of companies can accurately measure their CO2 output.
- Outdated methods for emission tracking remain common.
- Nearly half of fleet managers feel underinformed about electrification and available support.
- CSRD and similar initiatives have had little impact so far.
MUNICH 13/05/2025 – European companies are collecting more emissions data than ever before, but have yet to fully leverage it. According to the latest European Fleet Emission Monitor (EFEM) by Alphabet, only 27% of companies can accurately quantify their fleet’s CO2 output, even though tracking efforts are increasing. The report based on responses from over 740 fleet managers across 12 countries shows a growing gap: digitalisation is moving forward, sustainability is high on the agenda and yet, most fleets remain using outdated systems. In addition, they are overwhelmed by information and unprepared for stricter regulations. In a landscape where stakes are high and continuously increasing, this inaction is no longer a passive choice – it’s a business risk.
The 2025 survey highlights a steady increase in companies tracking fleet emissions, now at 43%. This marks a modest rise of nearly 1% compared to last year. However, only 27% can precisely measure their CO2 output. This highlights a significant gap between data collection and the ability to derive actionable insight. This doesn't indicate a lack of interest in sustainability. Instead, it indicates that many companies are still in the process of building the digital infrastructure and internal capabilities necessary to manage the expanding data effectively.
Many businesses remain overwhelmed by unstructured data and outdated tools. Currently, 42% still rely on fuel-based estimates, while 26% use Excel spreadsheets for tracking emissions. This dependence on manual and fragmented systems makes it difficult for fleet managers to obtain meaningful insights or respond effectively to regulatory and cost pressures. Despite the obvious need, the uptake of advanced digital tools has stalled. The sector remains slow in embracing automation, with only 7% of companies currently integrating AI into their fleet management, with just over 3% using it specifically for emissions reporting.
No plan, no progress: fleets without targets face rising costs and compliance risks
Many companies are still navigating fleet sustainability without a clear direction. A staggering 43% have no CO2 targets, and about a third don't monitor their fleet emissions at all.
The CSRD, anticipated to drive stronger action, has had limited effect so far, with just over 8% of companies reporting an impact on their fleet planning. However, there are signs of structural progress: over one-third of companies now have dedicated sustainability departments, and another 12% plan to establish one. These steps could lead the way to more consistent action in the future. Yet, the gap between awareness and execution remains critical. Without defined targets and reliable monitoring, companies risk higher costs, missed incentives, and diminished competitiveness in an increasingly regulated landscape.
Knowledge gaps undermine electrification incentives
Despite the increased focus on electric vehicle adoption, 43% of fleet managers still feel under-informed about development and opportunities in e-mobility. This is a slight improvement compared to last year. However, this ongoing knowledge gap is not only hindering the pace of electrification and reducing the effectiveness of available incentives. Over a quarter of companies are unaware of financial support schemes, and fewer than one in three fully understands the benefits they could access. The result is a noticeable disconnect between well-intentioned policy and practical implementation, highlighting the need for stronger guidance, better communication, and more integrated support across the industry.
Jesper Lyndberg, CEO of Alphabet International, comments: “This year’s survey uncovers both the progress and the pitfalls of sustainability. While the ambition to drive change across is evident across Europe, the real challenge remains the execution. Companies that invest in electrification, integrated data systems and sustainability now, will be better positioned to avoid rising costs and adapt to tightening regulations in the future. This way they can collect the full benefits of operational savings, incentives and strategic resilience: Those who delay will pay. Those who act will lead.”
Please download the full “European Fleet Emission Monitor” here: LINK
About Alphabet International
Alphabet International is a leading global provider of business mobility solutions. Founded in 1997 in the UK as a division of the BMW Group, Alphabet's expertise in car and commercial vehicle management helps companies to manage their corporate mobility in an effective and sustainable way. Future orientation and responsible action have always been the basis of Alphabet's economic success. Alphabet is driving sustainable change through its portfolio of innovative, digital, and flexible mobility solutions. With offerings like Alphabet Rent, Alphabet Mobility Budget, Alphabet App, and its holistic E-Mobility Consulting approach, Alphabet provides a tailored Electrification Strategy and Emission Consulting (including the Alphabet Carbon Manager). This comprehensive suite of services empowers Alphabet's customers to effectively reduce their carbon footprint and build a better future of mobility.
Today, Alphabet manages a portfolio of more than 760,000 leased cars and light commercial vehicles of all makes in 38 countries and has its headquarters in Munich, Germany. As a company of the BMW Group, Alphabet meets the same high quality and process standards as the parent company. For more information, please visit alphabet.com.