Monthly payments for music and TV have become the norm. The people making cars are paying attention.
Instead of building cars with many different option packages to spec, companies can produce one fully equipped model and charge consumers to turn on the features they want. “You’re going to have increased complexity in the car but less complexity in manufacturing,” says Sam Abuelsamid, principal analyst at Guidehouse Insights says.
Abuelsamid says. “You don’t need heated seats in the summer. So if you can turn those subscriptions on easily, you can pay for them only when you want to use them. Of course, you also have the responsibility to turn off the subscription when you’re not using it. And people in the subscription business count on the idea that if the price is low enough, customers will forget to unsubscribe. Once you’ve got it, you’re getting just enough benefit from it to not unsubscribe. Think about all your streaming services.”
Read the article at Car and Driver.
