Adoption of ‘Pocket Cost’ Standard

*Project now closed.*

Challenge and Background

When looking to buy a new car, most costumers are presented with the ‘sticker price’ of the vehicle, while other factors such as VED (road tax), fuel costs and annual maintenance are often in the small print, if presented at all.

To provide fair comparisons between different vehicle powertrains, Zemo Partnership recognises that the monthly running cost or ‘pocket cost’ needs to be provided in a consistent, transparent manner to allow car buyers to make a more financially accurate purchase decision.

Objectives

  • To establish a standard definition for ‘pocket cost’ metric.
  • For ‘pocket cost’ to be part of the information displayed in the electronic car information tool.

Actions and Outputs

  • Establish an interest group of relevant members, including BVRLA, FLA and GFI.
  • Host a workshop with members in the finance and leasing sector.
  • Agreed standard for calculating ‘pocket cost’ metric.
  • Integrate ‘pocket cost’ into electronic car information tool.

Timeline

May 2021 – March 2022

Jason Doran

Zemo Partnership Lead:
Jason Doran

Head of Marketing

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