Doesn't work as well in a car, in my experience (I have a fair bit of experience with being in the desert, cars breaking down or being destroyed, etc.)
Opening and closing the container leads to contamination, and consequently it is generally "emergency only" use, vs. something you use routinely (and thus maintain automatically). If you end up having to walk some distance, you can't really take the container comfortably, vs. throwing some bottles into whatever bag or pockets you have.
I like bottles because they fit in cupholders, and it's easy to give out bottles of water to people (e.g. a broken down other car, or someone injured, or drunk people after a party, or whatever). A case of water is $3-5 from Costco.
Those are good points. Perhaps an alternative is to have many multi-use small containers, like I have for hiking. Something's got to be better than always using one-time usage plastic bottles. Of course recycling them helps, but so few people do that.
I have a stainless water bottle (hydroflask; insulated) that I use myself for water and tea, but reusable = expensive = can't just give to people and not get back.
The energy and environmental cost of ~6-12 cases of water per year isn't really that big a deal. The extra fuel burned by carrying 5kg might be more than the cost of the water bottles.