Long-Term Value of Your Car
WE BELIEVE IN THE LONG-TERM VALUE OF YOUR CAR!
The Auto Station promotes long term value in the cars that we service. To assist with capturing the value from the vehicle you now own, we regularly offer discounts or coupons for some of the automotive service we offer. We believe our loyal customers deserve the difference we strive to offer.
We start by considering the transportation dollars – in total – that is spent on the vehicle that you drive. Our study compares three types of owners, one replaces the vehicle with new every three years, one that replaces the car with new car every 8 years, and one that buys a new car and continues with maintenance for 20 years.
In any of the above three cases, it is assumed that the reliability, dependability, safety, and riding comfort of the vehicle is meant to be un-compromised. Anyone can drive a 15-year-old vehicle that doesn`t start, squeaks and shakes when driving, or leaks when raining – but who would want to. We only consider vehicle cost on cars that are maintained.
Our strategy reflects our core belief that a well-maintained vehicle, drives better, lasts longer, and has higher resale value. In the example that one of our customers is driving a 15 or older vehicle we presume that it behaves and drives as new. To ensure the vehicle does just that – the maintenance cost is approximately $ 2,000 per year on a $30,000 vehicle. Maintenance costs are projected at approximately 8% of the retail value of the vehicle.
In the scenario that one replaces the vehicle with new every three years and the resale value is 50%, the transportation cost of that driver would be $15,000 of capital dollar depreciation plus 3 years of service cost for a total of $6,000 in maintenance. This realizes a total annual transportation cost of $7,000 per year.
In the scenario one replaces the vehicle with new every 8 years and the resale value is 40%, the transportation cost of that driver would be $18,000 of capital dollar depreciation plus 8 years of service costs for a total of $16,000 in maintenance. This realizes a total annual transportation cost of $4,200.
In the scenario one replaces the vehicle with new every 20 years and the resale value is 20%, the transportation cost of that driver would be $22,000 of capital dollar depreciation plus 20 years of service costs for a total of $40,000 in maintenance. This realizes a total annual transportation cost of $3,000.
Over a twenty-year period, driver one spends $180,000, driver two spends $102,000, and driver 3 spends $70,000. Longevity is the clear winner when the focus is total transportation dollar cost control. In addition, check out our regular specials, coupons, and extended warranty plans to help make your transportation dollars go further.
