Art inspires life or life inspires art.
The argument goes on and on, but the cause–effect relationship is not clearly known. In my view, the knife cuts both ways — that is, both are true.
Take, for example, movies and advertisements. Many argue that movies inspire people to act in a particular way, and many times movie makers have claimed that it is the incidents that happen in real life that give them inspiration.
But the belief is steadfast — and the Coca-Cola Company does not mind it one bit. Hence, it was not a surprise that Coca-Cola did an advertising campaign where Shah Rukh Khan very proudly says: “Miyaan, biryani ke Baad soft drink Nahi… Toofani (Thumbs Up) Peete hain.” Meaning, after a biryani, one does not drink a soft drink he has a Toofani (Thums Up).
Similarly, I have always wondered about the concept of using one’s own bike or car in a country where ride-hailing apps are a dime a dozen, the rates are competitive, and they arrive in a jiffy. I have been a big fan of public transport and ride-hailing apps, and in fact, I call myself an MMTS (Multi-Modal Transport System) guy.
I find metro train travelling very convenient, and not having a personal vehicle forces me to walk and keeps me healthy. I have been using ride-hailing apps and find that most of them are convenient, reasonably priced, and can be used whenever we want. Unlike owning a car, they are not a dead investment when they are not being used.
Yes, human beings are status conscious. I am not very bothered about what others think of me. In a way, it is: “I live my life as I like it.” That is why the Uber ad featuring Ashwin and Dhoni (or is it a Dhoni look-alike?) resonated with me.
The ad features a suave and obviously a well-educated South Indian Ravichandran Ashwin, who is on an Uber motorcycle, asking a Dhoni look-alike who is admiring his new bike:
“What is the cost of this motorcycle?” A taken-aback Dhoni look-alike answers: ₹25 lakhs. Ashwin, with a smug expression, responds: “These Haya Musa bikes are all a waste. Why don’t you use Uber Bike? It is only ₹25 for 3 kilometres.”
I did some quick math. Should one buy a superbike/car or sue ride hailing apps
Uber
Bike vs Owning a Superbike / Car (Suzuki Hayabusa)
Background: Ramesh, a professional working in an Indian metro city, travels daily 40 kilometres for work and errands. He is considering whether to continue using Uber Bike or fulfil his aspiration of buying a Suzuki Hayabusa on EMI. The decision is analysed purely from a cost perspective.
Option A: Uber Bike Usage
Daily cost : ₹400 (at ₹10/km)
Working days per month :
25
Months per year :
12
Monthly cost : ₹400 × 25 = ₹10,000
Annual cost :
₹10,000 × 12 = ₹1,20,000
Total annual Uber Bike expense : ₹1,20,000
Option B: Owning a Suzuki Hayabusa/car
On-road price : ₹20,00,000
Down payment :
₹2,00,000
Loan amount :
₹18,00,000
Loan tenure :
5 years
Interest rate :
~8.5%
Monthly EMI : approx. ₹39,000
Annual EMI cost :
₹4,68,000
Running Costs
Petrol price : ₹110 per litre
Mileage :
25 km/litre
Annual usage :
5,000 km
Fuel cost per km : ₹4.40
Annual fuel cost :
₹22,000
Maintenance & Ownership Costs
Insurance : ₹25,000
Servicing & maintenance :
₹20,000
Tyres & wear :
₹15,000
Miscellaneous :
₹10,000
Total maintenance cost : ₹70,000
Total Annual Cost – Hayabusa
EMI :
₹4,68,000
Fuel :
₹22,000
Maintenance :
₹70,000
Total annual cost : ₹5,60,000
Comparison Summary
Uber Bike annual cost : ₹1,20,000
Hayabusa / Car annual cost (with driver) :
₹8,60,000
Difference : ₹7,40,000
per year
Mind-boggling, isn’t it? One can save roughly ₹7.5 lakh per year, and this amount can be invested maybe in mutual funds, gold, or even real estate. It can be used as a down payment to buy a flat.
Even from a plain savings point of view, ₹7,50,000 per year would amount to ₹75,00,000 in ten years — an amount with which one can decently purchase a flat in Hyderabad.
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