How Total Cost of Ownership works
The TCO from VWE indicates the expected costs of owning and using a specific car. A consumer can enter the current mileage, the expected ownership period, and the number of kilometres per year, and will then immediately see the expected costs. These are shown per month and per kilometre driven. And then insight into various cost items: fuel, depreciation, financing, insurance, road tax, maintenance/repairs, and tyres.
Total Cost of Ownership of certain vehicles!
Fact 1. If you drive 12,000 km per year and are interested in a well-equipped 2017 VW Golf with 50,000 km on the clock, then a petrol version will cost exactly the same as a diesel version. Namely €484 per month.
Fact 2. The highest cost when driving a 2014 Mini Cooper is fuel. If you drive 10,000 km per year, you will spend £113 per month on petrol, with depreciation costing £104 per month.
Fact 3. For 10,000 km per year, a petrol version of a Mitsubishi Outlander 2.0 Business Edition costs a total of €499 per month. A PHEV costs €666. This is therefore a third more. This is mainly due to the higher new price (€41,889 instead of €33,869), resulting in much higher depreciation with slightly more expensive insurance. These costs have a much greater impact than lower fuel costs for the PHEV.
Fact 4. A 2013 Tesla Model S with 100,000 km on the clock still costs €814 per month to run (at 15,000 km per year). Depreciation is particularly high because of the high purchase price.
What can you do with Total Cost of Ownership?
You provide consumers and other users with insight into the expected costs of running a particular car through our TCO. This information can help them decide whether to buy a car or continue driving an existing one.
But also to make cost comparisons; between two different cars, or between different purchasing methods: for example, buying and leasing. Consumers can use the TCO information to check whether an electric car is potentially more advantageous, or if a diesel is more suitable for high mileage.
Via VWE's TCO, this information can be displayed with the car you are offering or, for example, as a calculation tool on your website. VWE supplies Total Cost of Ownership as a web service. Therefore, you can also integrate the TCO data into your own application.
Interested in Total Cost of Ownership?
Contact us on 088 – 893 7001 or info@vwe.nl.