Picture driving your brand new Chevrolet Corvette Z06 3LZ for as low as $84,340 (the MSRP). But what if you could own one for $12,769? Today, you can.

The dream of the millionaire lifestyle includes owning a Ferrari parked in the garage of your beachfront home. For most consumers, this would be in the unattainable category. The exclusivity of owning a Ferrari or another rare and expensive luxury item is a large part of its appeal. For many consumers a beachfront condo or residence at a ski lodge has been attainable through timeshares. In a similar business model, it is now possible to own a yacht, Ferrari, condo, or even an aircraft through a company called Jointli.

Jointli allows consumers to pool their money to buy an item and share ownership. As of December 6, 2011, there is a posting on the site for a 2012 Chevrolet Corvette Z06 3LZ, to be shared among eight people. A consumer could purchase 45.625 days of ownership per year for $12,769. The owners split the cost and expenses. While timesharing a vehicle will be a bit more difficult, luxury items such as a boat, RV, or vacation home, are rarely used 365 days a year by owners. Using Jointli will allow the consumer to decrease the cost of ownership by as many partners as consumers are willing to include.

For most consumers, owning a Ferrari is a dream that starts early. However, having the $300K to buy one is nearly impossible. Jointli states that most Ferrari owners do not drive their Ferrari every day, but rather as rarely as every other weekend. This is where the Jointli business idea comes in. Splitting the cost of a Ferrari makes it more convenient to own by dividing its time among three, four, or even 150 people.

The Ferrari example may be the best model to observe. A used 2009 Ferrari F430 costs $185,000, with insurance and maintenance clocking in at about $12,000 a year. If this cost is split among four consumers, each would pay only $49,250 a year for a total of 91 days to enjoy the Ferrari. Owning a Ferrari for a quarter of the year would be more than enough for many consumers, and being able to own it for $49,250 seems more reasonable than $185,000.

In addition to Jointli, there are also peer-to-peer and specialty renting services which offer the opportunity to rent a Ferrari. However, most specialty rental agencies will require the consumer to be 25, gainfully employed, with an excellent driving record, and would charge $900 a day or $6,000 a week to rent. That would cost the consumer $81,900 for daily rental for 91 days, or $78,000 for the weekly rental for 13 weeks, both of which cannot compete with $49,250.

Peer-to-peer rentals of luxury vehicles like a Ferrari F430 are possible, but cost roughly $600 a day, and at the end of the rental period, the consumer ends up with nothing. At the cost of $49,250, he or she will get 91 days in the vehicle again the following year.

Jointli allows its members to access its system and choose potential co-owners in their area, write and sign ownership agreements and manage time shares through the Joinli calendar. It is now possible to own a Ferrari without paying the $185K.

Figure: Jointli Timeshare for Today’s EconomyCo-Own a Ferrari

Source: Jointli

Automotive Market

Our international team of automotive market experts tracks the industry day in, day out: the trends, the innovations, changes in consumer preference and spending habits.

Read More
© 2016 Mintel Group Ltd. | Privacy Policy | Legal | Cookie Use