< Back to blog

    July 26, 2024

    Cost Sharing to Hire a Car: A Smarter Alternative to Taking Separate Ubers


    When planning transportation for group outings, events, or extended stays in Nairobi, many people default to ride-sharing services like Uber for convenience. However, a more economical and flexible option often gets overlooked: cost-sharing a hired car. With premium car rental services like EliteMotion Luxury available, splitting the cost of a hired vehicle can not only save money but also provide superior convenience and flexibility compared to taking separate Ubers. This comprehensive analysis explores why cost sharing a hired car might be the smarter choice for your next trip or event.

    The Economics of Transportation: Uber vs. Hired Cars

    Before making any transportation decision, understanding the full economic picture is essential. Both Uber and car hire services have distinct cost structures that perform differently depending on your specific needs.

    Understanding Uber's Cost Structure

    Uber's pricing model includes several components that can significantly impact the final cost:

    • Base fare plus per-minute and per-mile charges regardless of whether the car is moving or idling1
    • Surge pricing during high-demand periods, which can multiply the standard fare1
    • Separate costs for each individual trip, even when traveling to the same destination
    • No economies of scale – ten separate Uber rides cost exactly ten times one ride

    While Uber offers convenience for single, short-distance trips, costs can quickly escalate for multiple journeys or longer excursions. As one Reddit user noted, "The average cost for Uber is about a dollar per mile (which is conservative, in virtually all cases it will be more than 1 dollar per mile)"2.

    Car Hire Cost Structure

    Rental cars have a different pricing model:

    • Fixed daily rate regardless of distance traveled (with some mileage limitations)
    • One-time payment that can be shared among multiple passengers
    • No surge pricing or time-based charges
    • Additional costs for fuel and potentially parking

    In Nairobi, self-drive rental rates start at around KSh 3,500 per day for compact cars and range up to KSh 20,000 for luxury SUVs like the Toyota Prado3. Chauffeur services typically start at KSh 8,000 per day3.

    Scenarios Where Shared Car Hire Makes Financial Sense

    Group Tourism and Sightseeing

    For tourists exploring Nairobi and its surroundings, a shared rental car provides significant advantages. Consider a group of four visiting Nairobi National Park, shopping in Westlands, and dining in different parts of the city:

    • With separate Ubers, each trip would incur individual charges, potentially including surge pricing during peak hours.
    • With a shared rental car, the daily rate remains constant regardless of how many destinations you visit, with costs divided among all passengers.

    A luxury SUV from EliteMotion, like the Toyota Land Cruiser J150 Prado, can comfortably accommodate seven passengers4, making it perfect for group excursions while significantly reducing per-person costs.

    Multiple-Day Business Trips

    For colleagues attending multi-day conferences or business meetings, the economics heavily favor shared car rentals. As one traveler calculated in Los Angeles, Uber trips for certain multi-day events would cost $187, compared to a rental car cost of $289 – but this calculation only included certain planned trips and didn't account for spontaneous journeys5.

    In Nairobi, with a premium chauffeur service handling navigation and parking while you focus on business, the value proposition becomes even stronger. EliteMotion's Mercedes-Benz E-Class or S-Class options provide the perfect professional image while offering cost efficiency when shared4.

    Special Events and Celebrations

    For weddings, graduation ceremonies, or other special occasions, a shared luxury vehicle offers both prestige and practicality. Rather than coordinating multiple Ubers (with the risk of some participants being delayed by availability issues), a single luxury vehicle keeps everyone together and on schedule.

    The Convenience Factor: Beyond Just Costs

    Freedom and Flexibility

    The most significant advantage of a hired car beyond cost savings is the freedom it provides:

    • No waiting for ride availability or driver arrival
    • The ability to change plans spontaneously
    • Freedom to explore off-the-beaten-path locations not well-served by ride-sharing services
    • No navigation challenges in areas where GPS coverage may be spotty3

    With a self-drive option from EliteMotion, you control your itinerary, travel speed, and stops, making it ideal for spontaneous trips3.

    Privacy and Comfort

    A hired car provides a level of privacy that ride-sharing services cannot match. For business discussions, personal conversations, or simply enjoying your companions' company without a stranger present, a private vehicle is invaluable.

    EliteMotion's luxury fleet provides premium comfort with vehicles like the Range Rover Vogue and Mercedes-Benz V-Class4, offering an experience far superior to standard Uber rides.

    Luggage and Equipment Considerations

    For trips involving significant luggage or special equipment (like photography gear, sports equipment, or shopping purchases), a dedicated vehicle eliminates the hassle of fitting everything into standard ride-share cars. With options like the Toyota Land Cruiser V8 with seven seats4, there's room for both passengers and their belongings.

    Case Study: Cost Comparison for a Day Trip in Nairobi

    Let's analyze a practical scenario for a group of four exploring Nairobi for a day:

    Itinerary:

    • Morning visit to Nairobi National Park
    • Lunch in Westlands
    • Afternoon shopping at a mall
    • Dinner in a different part of the city
    • Return to hotel

    Uber Costs (estimated):

    • Hotel to National Park: KSh 1,200 per ride
    • National Park to Westlands: KSh 1,500 per ride
    • Westlands to Mall: KSh 800 per ride
    • Mall to Restaurant: KSh 1,000 per ride
    • Restaurant to Hotel: KSh 1,200 per ride
    • Total: KSh 5,700 per person or KSh 22,800 for the group

    Self-Drive Rental Costs:

    • Mid-range SUV daily rental: KSh 12,0003
    • Fuel for the day: KSh 3,000
    • Parking fees: KSh 1,000
    • Total: KSh 16,000 ÷ 4 = KSh 4,000 per person

    The shared rental car represents a 30% savings per person while providing continuous availability and no waiting times.

    EliteMotion Luxury: Premium Options for Nairobi Car Hire

    EliteMotion Luxury offers two distinct service models to meet different needs and preferences:

    Self-Drive Options

    Self-drive rentals provide maximum freedom and typically cost less than chauffeur services. EliteMotion's self-drive fleet includes:

    • Range Rover Vogue (luxury SUV, 5 seats)
    • Mercedes-Benz E-Class (luxury sedan, 5 seats)
    • Toyota Land Cruiser V8 (luxury SUV, 7 seats)
    • Toyota Land Cruiser Prado (luxury SUV, 7 seats)4

    All vehicles come with unlimited kilometers, allowing unrestricted exploration of Nairobi and beyond.

    Chauffeur Services

    For those preferring to leave the driving to professionals, EliteMotion's chauffeur services offer several advantages:

    • Local expertise from drivers familiar with Nairobi's routes and attractions
    • No navigation stress in unfamiliar areas
    • The ability to work or relax during transit
    • No liability concerns for accidents or traffic violations3

    Popular chauffeur-driven options include the Mercedes-Benz S-Class and V-Class, offering premium comfort for business or leisure travel4.

    Maximizing Value with Car Hire Cost Sharing

    Organized Cost Sharing

    To effectively share costs when renting a vehicle, consider these approaches:

    1. Designate a coordinator who handles the booking and collects contributions from group members
    2. Track mileage and usage if some members will use the vehicle more than others
    3. Pre-arrange payment terms before the trip to avoid confusion

    Several apps can facilitate fair cost sharing, such as WeeShare, which helps "coordinate reservation requests and keep track of expenses and costs"6.

    Insurance Considerations

    When sharing a rental car, insurance becomes an important consideration:

    • Ensure all drivers are listed on the rental agreement
    • Consider purchasing comprehensive coverage to protect against damages
    • Check if your personal auto insurance or credit card offers rental car protection

    EliteMotion provides insurance options with their rentals, but additional coverage may be worth considering for complete peace of mind.

    Corporate Benefits of Car Sharing

    For businesses, car sharing among employees offers significant advantages:

    • Reduced fleet size and associated expenses
    • Elimination of parking and individual insurance costs
    • Lower fuel and maintenance expenses7
    • Increased efficiency and employee productivity

    According to one source, "corporate car sharing allows companies to provide employees with on-demand access to shared vehicles" while "reducing expenses, boosting productivity, and promoting sustainability"7.

    Conclusion: The Smart Choice for Group Transportation

    While Uber and other ride-sharing services have revolutionized urban transportation for individuals, cost-sharing a hired car often represents both the economical and convenient choice for groups. The fixed costs of rental cars, when divided among multiple passengers, frequently result in per-person savings compared to separate Ubers, especially for multi-destination or multi-day itineraries.

    Beyond the financial advantages, the freedom, flexibility, privacy, and comfort of a dedicated vehicle—particularly a luxury option from EliteMotion—provide an experience that ride-sharing simply cannot match. For your next group outing, special event, or extended stay in Nairobi, consider the substantial benefits of pooling resources to hire a premium vehicle.

    With EliteMotion's diverse fleet of luxury vehicles available for both self-drive and chauffeur services, you can select the perfect option to meet your specific needs while enjoying significant cost savings through shared expenses. In the transportation equation, shared car hire proves that sometimes the premium option is actually the more economical choice.

    Footnotes

    1. https://www.investopedia.com/articles/investing/110614/taxi-industry-pros-cons-uber-and-other-ehail-apps.asp 2

    2. https://www.reddit.com/r/Frugal/comments/sb770c/costs_of_ridesharing_vs_owning_a_car_us/

    3. https://elitemotionluxury.com/blog/self-drive-vs-chauffeur-services-which-car-hire-option-in-nairobi-is-best 2 3 4 5 6

    4. https://elitemotionluxury.com 2 3 4 5 6

    5. https://www.forbes.com/sites/laurashin/2015/04/30/planning-a-trip-when-its-cheaper-to-take-uber-and-lyft-than-rent-a-car/

    6. https://www.weeshare.com/en/about

    7. https://drivemate.au/blog/corporate-car-sharing-6-key-benefits-that-will-boost-your-business-efficiency-cm0uty65800qfsyrxiyxyep4c/ 2


    Tags:

    Experience Unparalleled Car Rental Services

    Discover why discerning clients choose EliteMotion Luxury Nairobi Car Hire for their premium transportation needs. Contact us for a bespoke quotation tailored to your requirements.