In North America, Total Cost of Ownership (TCO) represents the full financial impact of owning and operating a vehicle or piece of equipment over its entire service life. Rather than focusing solely on the purchase price, TCO accounts for day-to-day operating expenses, maintenance and repair costs, insurance, and the fuel or electricity required to keep the asset running. It may also include additional fees specific to North American markets, such as financing charges or regulatory compliance costs.
Using TCO provides businesses with a clearer picture of long-term economic performance, helping compare different technologies or vehicle options based on real lifetime expenses. This approach is especially valuable for companies managing commercial fleets or planning investments in EV charging infrastructure, where operational savings can significantly influence the overall return on investment