Case Study

Understanding Total Cost of Ownership (TCO) for SMEs in South Africa

This guide explains why TCO is the ultimate metric for profitability and how JAC vehicles can help you balance the books.

Primary Segment: sme

Understanding Total Cost of Ownership (TCO) for SMEs in South Africa

Total cost of ownership (TCO) is why fleet decisions go wrong when you only look at the monthly instalment. Total Cost of Ownership (TCO) gives you the full picture — what a bakkie or truck truly costs your business over time, including fuel or energy, servicing, tyres, insurance, licensing, finance, depreciation, and the big one most people miss: downtime.

This guide is built for South African SMEs that need vehicles to earn their keep every day. It walks you through the main cost drivers, shows you how to compare options on a cost-per-kilometre basis, and helps you make smarter choices — whether you’re buying one workhorse or managing a growing fleet.