QOTD: Feeling That Freedom of Choice?

Recent subscription-related news arising from the bottom and top ends of the automotive social ladder has this writer thinking about freedom — freedom of choice, of movement, and of personal wealth. Popular topics these days, what with the budding Jacobins burning up Twitter with their guillotine fantasies.

But enough about auto journos.

As automakers dip their toes in the subscription model pool, offering customers not just a vehicle but a whole range of models for a monthly fee, we have to ask: to what OEM would you pay a relatively princely sum in exchange for unlimited vehicle access?

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California Auto Dealers Ask Volvo to End Subscription Service

The California New Car Dealers Association is requesting that Volvo immediately end its Care by Volvo subscription service within the state. According to the group, the automaker is in violation of California’s franchise and consumer protection laws.

It’s been a long time coming, as Care by Volvo is clearly designed to minimize dealer interactions. Anders Gustafsson, CEO of Volvo Cars of North America, even said the program claimed as much as 15 percent of the XC40 crossovers intended for dealerships this year.

“It’s really the same concerns from everybody, and it’s just that they don’t feel secure,” Gustafsson of said dealers last month. “They’re afraid we’re going to take something away from them … I would say the biggest question mark around subscriptions is that consumers need to decide that. Our retailers are asking, ‘Please let us be involved, because we can help.'”

It looks like they’re tired of begging.

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365 Days Later: What Volvo's Subscription Service Means for the Larger Industry

Despite the push from an eager industry, car subscription services haven’t proven an overwhelming success. The general consensus is that premium services, while intriguing concepts, are too expensive and complicated to maintain at scale. Book by Cadillac, which was recently suspended by General Motors, is emblematic of the public’s lackadaisical response to a system mired in logistical issues.

However, the concept itself isn’t dead just because one manufacturer decided it wasn’t worthwhile. Other premium nameplates still have their own services — Toyota plans to launch its own subscription-based pilot program in Japan soon, while Volvo Cars has enjoyed some success with Care by Volvo. Still, framing it as a trouble-free victory for the brand would be a mistake. Volvo’s subscription service has been as much a learning opportunity as it has been an overwhelming triumph.

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  • ToolGuy The only way this makes sense to me (still looking) is if it is tied to the realization that they have a capital issue (cash crunch) which is getting in the way of their plans.
  • Jeff I do think this is a good thing. Teaching salespeople how to interact with the customer and teaching them some of the features and technical stuff of the vehicles is important.
  • MKizzy If Tesla stops maintaining and expanding the Superchargers at current levels, imagine the chaos as more EV owners with high expectations visit crowded and no longer reliable Superchargers.It feels like at this point, Musk is nearly bored enough with Tesla and EVs in general to literally take his ball and going home.
  • Incog99 I bought a brand new 4 on the floor 240SX coupe in 1989 in pearl green. I drove it almost 200k miles, put in a killer sound system and never wish I sold it. I graduated to an Infiniti Q45 next and that tank was amazing.
  • CanadaCraig As an aside... you are so incredibly vulnerable as you're sitting there WAITING for you EV to charge. It freaks me out.