How Droom’s TCO is enabling buyers make a smarter decision?

Buying an automobile, be it a four wheeler or a two wheeler, be it a luxury vehicle or a standard make, it does comes with considerable financial obligations. Now when someone is investing such an amount, it is important for him/her to make a more informed and smarter decision. Another problem that automobile buyers face is to choose from the lot! Today, India’s automobile market has a lot of the major players on board. With so many options, it becomes a bit tough to zero in on an option as another competitor may be providing a much better deal or features at that price tag.

At Droom, it is our aim to provide the buyer a hassle free and an informed buying experience. To make it a bit easier for our buyers to choose their right vehicle, we have come up with a cost anticipating engine called TCO or Total Cost of Ownership.

What is Total Cost of Ownership?

Total cost of ownership is a data science based tool which calculates the total money that anyone will have to spend owning a car for a period of five years. This tool also gives a user the ability to compare up to three cars based on total cost of ownership and make an informed buying decision. This tool gives the total cost of ownership for each car in comparison as a whole number and also the split up for the accumulating cost.

TCO Methodology:

Total cost of ownership tool takes the input from a user like the three cars to compare (Make, Model and Trim) and Monthly Running in Kilometers. This tool then calculates the following and displays the result.

Steps in Calculation:

1. Initial price of the car (Ex-Showroom)
2. Insurance Cost for a period of 5 years
3. Fuel Expense for a period of 5 years depending upon the monthly running and mileage of the car
4. Tire change expense of the car depending upon the tire size and monthly running
5. Regular maintenance/ Service Cost
6. Lost opportunity in the investment to be made for the car
7. Depreciation of the car over a period of 5 years

The tool makes the calculations and gives the result in two forms.

1. Total cost of ownership of three cars as a whole number
2. Individual cost split up for a period of five years in a graphical comparison form

So without wasting any more time trying to figure out which car to buy, log on to droom.in and with TCO enabled experience make a more informed and smarter choice today!

For more information on TCO please visit: http://droom.in/tco