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BMW, Mercedes Plan to Test Car Subscription Services in U.S.
BMW AG and rival Daimler AG’s Mercedes-Benz unit tell Automotive News they expect to test car subscriptions in the U.S.
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BMW AG and rival Daimler AG’s Mercedes-Benz unit tell Automotive News they expect to test car subscriptions in the U.S.
Such schemes are a replacement for the conventional practice of selling or leasing a specific vehicle to a customer. Instead, the customer pays a monthly fee for the ability to choose among a variety of vehicle types, depending on the need at the moment. The fee covers use, insurance, maintenance and pickup/delivery service.
Neither company knows whether vehicle subscriptions would be popular. Mercedes already is testing the idea in Europe. But it frets to AN about determining how much inventory is feasible to ensure that all customers can get exactly the sports car, sedan or crossover vehicle they want on short notice.
BMW and Mercedes aren’t alone in wondering. Cadillac, Lincoln, Porsche and Volvo also are testing vehicle subscription services now at monthly fees ranging between $600 and $2,000.
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