Carsharing vs Car rental

Imagine being able to drive any car you want for as long as you want, without needing to own any of the cars. And imagine never dealing with maintenance, license renewals, car loans, parking.

  • Moving house? You can get a bakkie or a van for a day or 2.
  • Driving in the city? A compact car would do.
  • Taking a coastal trip? You can get a convertible or a car with a sunroof.
  • Family trip? Rent an SUV, or a 7 seater van.
  • Going camping? Rent a camper van.

Almost like you have a huge garage at your disposal.

Whether you’re a frequent traveler, an urban dweller, or considering buying a car, with carsharing, you can be car-free but still have the freedom and flexibility that comes with owning a car.

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What is carsharing?

Carsharing gives commuters or travellers access to cars for a short period of time. These cars are made available by car owners and small businesses while the carsharing platform handles reservation, payments, delivery and pick-up.

 

Another way to think about carsharing is like Airbnb where, instead of booking a regular hotel room, you’re renting someone’s home or apartment for a short period of time. With carsharing, you’re renting someone’s car.

carsharing vs car rental

How does carsharing work?

Carsharing allows users to rent a vehicle for short periods of time through a mobile app or web app. They simply have to sign up, search for cars nearby and complete their reservation. After reservation, they can pick it up or have it delivered, drive it and return it to the owner when they’re done.

 

Essentially, you’re borrowing a car on demand without needing to deal with car rental counters, queues, credit score and credit card requirements.

Carsharing is perfect for you if;

  • You need a vehicle for only a few days.
  • You don’t have your own car.
  • Your car is being repaired.
  • You want to drive an exact make and model.
  • You have different packages or different stops in your trip that you can’t use Uber for.
  • You want to try different brands and models.
  • You value minimum paperwork and maximum convenience.
  • You’re in an urban area with good carsharing coverage.
  • You want access to cars but don’t care for regular maintenance and license renewal.
  • You have a car but want access to unique cars for weekend adventures and special occasions.

How is carsharing different from ride-sharing?

carsharing vs car rental: ridesharing
Photo by Tima Miroshnichenko from Pexels

💡 People often mistake carsharing for ride-sharing. But they’re very different models that meet different needs.

With ride-sharing, you book a ride from one destination to the next. There’s a driver and there’s a time limit on your trip that could range from a few mins to a few hours. Because you don’t need your driver’s license to book a ride, anyone at any age could use a ride-sharing service.

 

This makes it very different from Carsharing as you need to reserve a car and the duration could range from a few hours to a few days. This flexibility allows you to make multiple trips to different locations for the duration of your booking. Since you’re driving, there’s an age restriction and a driver’s license requirement.

Choose ride-sharing if;

  • You’re not old enough to drive.
  • You don’t have a driver’s license.
  • You have a specific destination.
  • Your destination is less than a few hours away.
  • You need a car but don’t want to drive.
  • You might be drinking and don’t want to drink and drive.
  • There’s no parking at your destination or you’re not sure about this.

How is carsharing different from traditional car rental?

Carsharing has a lot of similarities to traditional car rental. To rent a car from a car rental company, you need to contact the company and make a reservation ahead of time. If you don’t book ahead or your schedule changes, the car may no longer be available.

Traditional car rental companies may charge extra fees that aren’t show on their website;

  1. inter-province travel fees,
  2. border crossing fee,
  3. weekend fees,
  4. additional driver fees,
  5. a large cancellation fee,
  6. one-way rental fee,
  7. airport fee,
  8. location surcharge,
  9. tourism levy,
  10. callout fees for breakdowns.
These charges are avoidable when you rent from a carsharing platform.

What makes car sharing so special?

Booking from a popular car rental company provides familiarity that comes with any big business but this doesn’t guarantee a good customer service experience, flexibility or a better value.

  • The ultimate goal of carsharing (and life!) is providing individuals with flexible access to cars and freedom.
  • You register as a customer once and gain access to reserve and collect cars anytime and any day you like.
  • Flexible pickup time and location.
  • You never have to deal with the rental counter ever again.
  • You can get access to cars without a credit card.
  • You can add additional drivers at no cost.
  • Transparent pricing gives you a full picture of the costs.
  • You can request to have the car delivered to you.
  • You have control of the exact make/model you get.
  • You get to support local entrepreneurs and small businesses.

Unlike traditional car rental companies where:

  • Car pick-up is only available during business hours.
  • Car pick-up stations are outside the city center.
  • You have to sign contracts and submit your paperwork at the counter every time you need to rent a car.
  • A credit card is necessary to book the car.
  • Pricing can be confusing at times.
  • There’s a standard fleet; you don’t have control of the make and model you get.
  • You might find the car you have booked and paid for is not-available due to overbooking.
  • At a large scale, car rental companies sacrifice customer satisfaction for growth.

Conclusion: Finding Your Perfect Ride in the Modern Transportation Landscape

It’s clear that each option serves a distinct purpose in the transportation ecosystem. The days of one-size-fits-all are behind us, and now we have different choices to fit specific needs, budget, and lifestyle.

A great way to look at these models is to see them as complementary options designed for different situations, not competing services.

For those considering going car-free, the combination of ridesharing for daily commute and carsharing for weekend errands, special occasions and trips are a great approach.

This approach provides lots of flexibility while helping you save thousands in ownership cost, insurance, maintenance and depreciation.

What’s your experience with these different transportation options?

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