icon of white x
Back to insights

Car Sharing vs. Ownership: Uncovering the True Costs for a Sustainable Future

The world of transportation is in motion, urging us to reconsider the age-old tradition of owning a car. For generations, owning a vehicle has symbolised freedom and convenience. But with soaring costs of ownership, new ways of living and mounting environmental concerns, it’s time to explore new alternatives.

According to the 2022 RACV Annual Running Cost Survey, even Australia's cheapest car, the MG3 Core, costs a staggering $734.84 per month to operate, totalling over $8,818 annually! These expenses cover registration, insurance, maintenance, and fuel-burdens that are becoming increasingly difficult to justify. 

Enter car-sharing services like Outbound, heralding a new era in transportation. 

With a fleet of modern vehicles at competitive rates and an array of convenient services, these innovative platforms are rewriting the rules of mobility. More and more people are discovering that car sharing is not just a practical choice - but a smart and sustainable one that’s gaining traction among forward-thinkers everywhere.

The Traditional Approach: Costly Car Ownership

Owning a car isn’t just about the initial purchase. While that first expense is hefty, the costs don’t stop there. According to RACV expenses continue to climb and include: 

Registration and Insurance: Annual fees are required to keep your vehicle registered, as well as the costs to insure your vehicle against accidents and damage. 

Regular Maintenance Expenses: Regular servicing and repairs are necessary to keep your vehicle operational.

Fuel Costs: Rising prices for petrol or diesel are adding to your ongoing expenses. 

Here’s what the RACV estimates for annual costs when driving 15,000km per year:

  • Light vehicle: $8,818 per year
    • Registration and Insurance: $1980 
    • Maintenance and Tyres: $544
    • Fuel: $2,070
  • Small vehicle: $9,816 per year
    • Registration and Insurance: $2128
    • Maintenance and Tyres: $561
    • Fuel: $2,128
  • Medium vehicle: $8,356 per year
    • Registration and Insurance: $2426
    • Maintenance and Tyres: $449
    • Fuel: $1,869
  • Large vehicle: $11,655 per year
    • Registration and Insurance: $‭2769 per year
    • Maintenance and Tyres: $858
    • Fuel: $2,769

Collectively, these expenses make car ownership a significant financial commitment that only grows over time. For Australia’s most popular cars, costs are even higher with the Ford Ranger costing approximately  $1361.68 per month and the Toyota Hilux at $1452.89 per month.

The Innovative Solution: Car Sharing Services

In response to these challenges, car-sharing services offer a transformative solution. Providers like Outbound offer vehicles on demand at competitive hourly and daily rates, that includes of insurance, maintenance, and charging expenses. This transparent pricing model ensures clear and predictable transportation expenses, eliminating the uncertainties of ownership.

Advantages of Car Sharing

Cost Efficiency: Car sharing eliminates the need for a hefty upfront investment. Instead, users pay as they go, with expenses directly tied to how much they use the vehicle. Plus, they completely sidestep fuel costs. Maintenance services like cleaning are often part of the package, and the operator covers registration and insurance.

Flexibility and Convenience: Car sharing services offer immediate access to vehicles without the responsibilities of ownership. There’s no need to worry about parking availability, scheduling maintenance, or worrying about depreciation. This convenience is especially valuable in busy urban areas where parking is scarce and expensive.

Environmental Sustainability: Many car-sharing services prioritize electric vehicles with lower carbon footprints than traditional cars. By reducing the reliance on private car ownership, they also decrease the number of vehicles on the road, significantly lowering greenhouse gas emissions. It’s a conscientious choice for the environmentally aware. 

The Verdict: Making a Sustainable Choice

Why stick with the status quo when there's a better alternative? 

If you only require a car for a few trips a week, why not take advantage of the shared vehicle? 

While owning a car has been seen as the epitome of freedom, embracing car sharing could be the smarter, more convenient choice for the future. It's a proactive choice that integrates financial savvy, enhanced convenience, and environmental awareness into a compelling package.

But it's not just about personal convenience; this shift aligns our transportation choices with broader environmental and economic objectives. It’s a practical step forward and, ultimately, a clear statement about the future we want to create.