Are Car Subscription Services Going to Become the New Normal?

Automakers are throwing everything they currently have at the wall to see what sticks. The concept of “mobility” is now so broad that it encompasses automation, electrification, vehicle connectivity, alternative modes of transportation, driving aids, ride-sharing, ride-hailing, and even subscription services — and plenty of companies are giving them all a shot.

Last week, we talked about Volvo’s new car subscription service. Most of us had difficulties rationalizing the price based on how the product is being offered. A lot of companies are testing those waters right now, especially luxury brands. Lincoln recently launched a subscription initiative that is extremely similar to Cadillac’s, and Porsche has been buzzing about its own “Passport” service. However, mainstream brands like Ford and Hyundai are also trying their hand — albeit very differently.

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GM's Maven Reserve: Book a Tahoe for the Same Price as an Escalade or CTS-V

As urban populations grow and analysts continue to predict dwindling car ownership, alternatives have sprung up and automakers are gradually getting in on that sweet car-sharing action. Currently active in 17 North American cities, General Motors’ hourly ride-sharing unit Maven has been building slowly.

GM is now expanding Maven to include long-term rentals which, come to think of it, sounds identical to what it was doing with its Book by Cadillac premium subscription service. While the Caddy offering is intended to be a monthly subscription serving as an alternative to normal vehicle ownership, nothing is really stopping customers from using “Maven Reserve” in a similar manner.

Also similar is the pricing. While the special Maven Reserve vehicles don’t yet encompass all GM’s fleet, a Chevrolet Tahoe runs $1,500 for 28 days, which is identical to the subscription fee for Cadillac Book, which also includes curbside car delivery and mid-month vehicle swapping.

In essence, GM is allowing you to have simultaneous access to a CTS-V and Escalade or a Tahoe for the same amount of money.

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  • 28-Cars-Later So now H/K motors will last longer in between scheduled replacements. Wow, actual progress.
  • AZFelix I have always wondered if the poor ability of Tesla cars in detecting children was due to their using camera only systems. Optical geometry explains that a child half the height of an adult seems to have the same height as that same adult standing twice as far away from the viewer.
  • 28-Cars-Later Actually pretty appealing (apparently I'm doing this now). On a similar note, a friend of mine had a difficult situation with a tenant which led to eviction and apparently the tenant has abandoned a 2007 Jag S-Type with unknown miles in the garage so he called me for an opinion. Before checking I said $2-3 max, low and behold I'm just that good with the 3.0L clocking in at $2,3 on average (oddly the 4.2 V8 version only pulls $2,9ish) and S-Types after MY05 are supposedly decent.
  • DO I have owned a 2012 LR4 since day one and it has been the best vehicle I have ever had the pleasure of having in the garage. I know how easy it is to hate on Land Rover but this LR4 is comfortable, has a ton of storage room and is so versatile. With 110k miles, mine is now relegated to ‘other’ car use but is still the go to for off road adventures and snow runs. Nice to see one featured here - I think they are so underrated.
  • Tane94 I'd be curious to know whether 87 octane is no longer the most popular grade of gasoline by sales volume. My Costco often runs out of Premium grade and I suspect 93 octane might now be the most popular grade of gas. Paying 40-50 cents more per gallon 87 vs 93 octane because of turbo engines is the real story