Vehicle maintenance and repair costs have been steadily increasing, with a notable 28% rise over the past three years, according to the US Bureau of Labor. This surge has significant implications for various groups, including consumers, gig workers, and used car buyers. Gig workers, especially rideshare and delivery drivers who depend on their vehicles for daily work, are particularly affected by these rising costs. Given their heavy reliance on their vehicles, the increase in maintenance expenses can significantly impact their earnings.
To address this challenge, gig workers can explore strategies to reduce their vehicle maintenance costs. Additionally, the companies they work for can play a crucial role by offering support options or programs that help offset these expenses.
One effective solution is the use of an automotive services marketplace. This type of platform is generally available via a subscription service and produces a strong return-on-investment (ROI). Drivers get discounts on all types of repair and maintenance services, from routine maintenance, such as oil changes to complex motor vehicle repairs. Depending on the type of vehicle and total miles logged, savings can be more than $2,100 annually (details below).
Cost of Car Maintenance and Repair Continues to Rise
The cost of car repair and maintenance services has increased by more than 28% over the last 3 years (2021 – 2024). The US Consumer Price Index: Motor Vehicle Maintenance And Repair is at a current level of 411.28, up from 392.22 one year ago. This is a change of 4.86% from one year ago (US. Bureau of Labor Statistic).
Annual Automotive Repair and Maintenance costs for Rideshare and Delivery Drivers for 2024
News of an increase in costs is not welcome for Rideshare and delivery drivers. For this segment of drivers, higher miles traveled translates directly into higher automotive repair and maintenance costs (see chart). Annual vehicle repair and maintenance costs for an independent contract driver can vary from $1,435 for a small sedan driving upwards of 15,000 miles annually to as much as $8,544 for a medium sedan driving 75,000 miles annually.
According to a gig-economy industry representative and expert, a full time gig worker will log a minimum of 60,000 miles annually.
Annual Miles | Small Sedan | Medium Sedan | Subcompact SUV | Compact SUV (FWD) | Medium SUV (4WD) | Hybrid | Electric |
---|---|---|---|---|---|---|---|
15,000 | $ 1,435 | $ 1,709 | $ 1,498 | $ 1,636 | $ 1,665 | $ 1,432 | $ 1,279 |
25,000 | $ 2,391 | $ 2,848 | $ 2,496 | $ 2,727 | $ 2,775 | $ 2,386 | $ 2,132 |
35,000 | $ 3,348 | $ 3,987 | $ 3,495 | $ 3,818 | $ 3,884 | $ 3,341 | $ 2,984 |
45,000 | $ 4,304 | $ 5,127 | $ 4,493 | $ 4,909 | $ 4,994 | $ 4,295 | $ 3,837 |
55,000 | $ 5,261 | $ 6,266 | $ 5,492 | $ 6,000 | $ 6,104 | $ 5,249 | $ 4,689 |
65,000 | $ 6,218 | $ 7,405 | $ 6,491 | $ 7,091 | $ 7,214 | $ 6,204 | $ 5,542 |
75,000 | $ 7,174 | $ 8,544 | $ 7,489 | $ 8,182 | $ 8,324 | $ 7,158 | $ 6,395 |
Available Solutions to Reduce Car Maintenance and Repair Costs
Several companies such as Gopuff are addressing these challenges head on by offering Openbay+ to their delivery partners. Openbay+ is a platform designed to help Rideshare and delivery drivers, like those for Uber, Lyft, DoorDash, Gopuff and others save money on vehicle maintenance and repairs. It offers discounted rates, transparent pricing, convenient scheduling, and assurance to be connected with a professional that delivers quality service, making it a valuable platform for drivers looking to reduce their operating costs.
How Openbay+ Works
Openbay+ is available directly from Openbay and through Openbay partners. Drivers get matched instantly with multiple local automotive service professionals that can service their brand of vehicle and deliver the requested service for that brand. Some of the more popular services requested on Openbay+ include oil changes, fluid replacements, brake services, suspension, diagnostic services (check engine light), and OE recommended maintenance.
Openbay+ provides a variety of automotive service professionals for Rideshare and Delivery drivers on its platform delivered by mobile mechanics (driveway of home), independently owned and operated service centers, national name-brand and franchise businesses, national corporate brands, and franchise dealerships. Every automotive service provider on Openbay+ goes through a vetting process and once approved, are trained on how the Openbay+ platform operates to ensure a great customer experience.
Savings and Convenience
Openbay+ helps independent contract drivers reduce the total cost of owning and operating their motor vehicle. Within a few seconds, a service request can be entered on Openbay+ and upfront pricing is delivered from qualified automotive service professionals nearby. Verified customer ratings and reviews for each service professional are also presented alongside location information, amenities, shop hours, and specialized automotive certifications, so that drivers can choose the professional that best fits their needs and preferences.
Savings for a driver logging 75,000 miles annually can range from $640 to upwards of $2,100 annually depending on the vehicle type. Savings for drivers logging 35,000 miles annually can range from $335 to upwards of $1,000 annually depending on the vehicle in use.
All automotive service providers on Openbay+ are required to offer a discount on parts and labor. Discounts range by each provider and are upwards of 25% for parts and labor.
Here are stories told by gig-drivers on their experience getting their vehicle serviced using Openbay: Rideshare Driver Stories: Experience Getting My Car Serviced
Openbay+ is available now and through several partners of Openbay.
Lyft drivers sign up here
Uber drivers sign up here
Amazon Flex drivers sign up here
Gopuff drivers sign up here
Instacart drivers sign up here
Previous coverage on this topic. Independent contract drivers are used by rideshare platforms (Lyft, Uber), food-delivery services (DoorDash, Grubhub, UberEats, Postmates, Favor Delivery, Instacart), everyday needs delivery (Gopuff), and package delivery (Amazon Flex, Shipt ).