The future of car ownership, monthly subscriptions for basic features?

[Music Lover]

BMW has rolled out subscriptions for their heated seats in some countries. If you want the software activated expect to pay about $18 a month. Is this the future of car ownership? I suppose of this works you can expect to pay a monthly fee to use the air conditioning or heated steering wheel as well.

At the end of the article it mentions that to get Apple CarPlay activated it costs $265:

"A new plan by BMW to charge for monthly access to vehicle features like heated seats is giving customers road rage.

Under subscription plans recently rolled out in the United Kingdom, Germany, South Korea and several other markets, BMW owners will have to pay the equivalent of $18 per month to turn on the heated front seats that are already installed in their vehicles.

Motorists can also pony up roughly $180 for a one-year heated seats subscription, $300 for a three-year subscription or $415 for “unlimited access.”

https://nypost.com/2022/07/12/bmw-owners-outraged-over-18-a-month-charge-to-use-heated-seats/

 

[athena53]

Wow. I've been fighting "subscription models" for a long time. I pay for a permanent download of MS Office, I will not buy any health/fitness items that require a subscription (Ouro ring, Peleton equipment) and I'm perfectly happy with podcasts and music from my iPod in the car.

I hope they get enough consumer backlash that they get rid of this- otherwise, the other manufacturers will follow suit.

 

[captain3d]

It sounds like a joke from the Onion

 

[REWahoo]

GM just announced a slightly different twist on the subscription model:

Buick And GMC Models Get Mandatory 3-Year OnStar And Connected Services Plan

The available OnStar Connected Services plans allow GM owners to get the most out of their vehicle by providing a constant high-speed internet connection for navigation, music streaming and more. While these plans are currently optional on GM vehicles, a three-year OnStar & Connected Services Plan will be mandatory with the purchase of a new Buick or GMC vehicle going forward.

... the automaker will equip all new 2022 model-year and 2023 model-year Buick and GMC vehicles with a three-year OnStar and Connected Services Plan (RPO code R9M). The plans will cost between $905 and $1,675, depending on the chosen trim level. GM said the cost of the three-year plan will be integrated into the vehicle’s MSRP...

Instead of 3 months free trial, it is now 3 years built into the base price.

Hopefully this is a test that will meet stiff customer resistance.

 

[ShokWaveRider]

We are totally against subs too. We have none!! Not One, Nada, Zip, Zilch, Zero. Very easy to live without.

 

[aja8888]

You can thank all the code writers for giving us this subscription baloney!

 

[W2R]

GM just announced a slightly different twist on the subscription model:
[...]
Instead of 3 months free trial, it is now 3 years built into the base price.

Hopefully this is a test that will meet stiff customer resistance.

It will, from me! I have had $50K in my checking account for the past three years or so, waiting to buy a car that I like. Not only have I not found any, I'd say this "twist" by GM ensures that I will never buy a Buick or GMC vehicle again unless they change their minds.

 

[JoeWras]

Shareholders love the monthly subscription model.

 

[braumeister]

Volvo introduced a subscription model for a couple of their cars a couple of years ago, but only as an alternative to buying them the traditional way. From what I've heard, it hasn't been nearly as popular as they hoped it would be.

 

[Music Lover]

Once proven successful the next step will be implemented:

"Your vehicle requires a 24k checkup and maintenance package. If this is not acted upon within 30 days of your vehicle reaching 24,000 miles the vehicle's software will be disabled and you will be unable to operate it. To regain operation it will have to be towed to the dealer at your expense where the required maintenance and updates will be performed."

 

[Chuckanut]

BMW has rolled out subscriptions for their heated seats in some countries. If you want the software activated expect to pay about $18 a month. Is this the future of car ownership? I suppose of this works you can expect to pay a monthly fee to use the air conditioning or heated steering wheel as well.

At the end of the article it mentions that to get Apple CarPlay activated it costs $265:

"A new plan by BMW to charge for monthly access to vehicle features like heated seats is giving customers road rage.

Under subscription plans recently rolled out in the United Kingdom, Germany, South Korea and several other markets, BMW owners will have to pay the equivalent of $18 per month to turn on the heated front seats that are already installed in their vehicles.

Motorists can also pony up roughly $180 for a one-year heated seats subscription, $300 for a three-year subscription or $415 for “unlimited access.”

https://nypost.com/2022/07/12/bmw-owners-outraged-over-18-a-month-charge-to-use-heated-seats/

BMW's scheme is right up there with Sonos' speaker upgrade plan as a contender in the Best ways to outrage and alienate your customers contest.

FWIW, in order to get the upgrade price for the new line of Sonos speakers, the speaker owner had to load certain software that would brick his perfectly good speakers.

 

[aja8888]

Once proven successful the next step will be implemented:

"Your vehicle requires a 24k checkup and maintenance package. If this is not acted upon within 30 days of your vehicle reaching 24,000 miles the vehicle's software will be disabled and you will be unable to operate it. To regain operation it will have to be towed to the dealer at your expense where the required maintenance and updates will be performed."

When that day comes, there will be a lot of very bright people that will be able to uncode that code.

 

[Chuckanut]

Wow. I've been fighting "subscription models" for a long time. I pay for a permanent download of MS Office, I will not buy any health/fitness items that require a subscription (Ouro ring, Peleton equipment) and I'm perfectly happy with podcasts and music from my iPod in the car.

I hope they get enough consumer backlash that they get rid of this- otherwise, the other manufacturers will follow suit.

I doubt if I would buy a vehicle that had additional ongoing expenses. On top of maintenance, license fees, and insurance, one must now add fees to make the car work as designed. My Toyota offers a bunch of online stuff to supposedly make using it a more pleasant experience. I let them all expire and refuse to 'renew' my subscription. I would rather use the money and get it detailed or have the oil changed a little more often. That at least might add some long-run value.

IMHO, BMW can keep its cars and I will keep my money.

 

[EastWest Gal]

We are totally against subs too. We have none!! Not One, Nada, Zip, Zilch, Zero. Very easy to live without.

Anyone using the internet to post here has a subscription of some sort.

But a subscription for heated seats? Who needs heated seats year-round? Who would pay an annual fee for a luxury they use 2-3 months out of the year?

 

[Music Lover]

But a subscription for heated seats? Who needs heated seats year-round? Who would pay an annual fee for a luxury they use 2-3 months out of the year?

Sure, some people don't need heated seats or only need them for a few weeks, but they'll make them pay with the AC subscription.

 

[MarieIG]

A subscription to turn on a heated seat would be sufficient for me to cross a car off my list. I would be that annoyed with the nickel and diming.

 

[aja8888]

You can add heated seats with a third party seat covering. And not use them in the summer.
https://www.amazon.com/Sunny-color-...ed+vehicle+seat+cushion&qid=1657727808&sr=8-5

 

[Irishgirlyc58]

A subscription to turn on a heated seat would be sufficient for me to cross a car off my list. I would be that annoyed with the nickel and diming.

My thoughts exactly. They can keep their subscription to heated seats and their vehicle.

ETA: and I’m not subscription adverse. I have plenty and don’t mind them at all. But for things like heated seats? Isn’t that cost built into the price of the vehicle?
Can I subscribe for just December and January?

 

[kgtest]

Sounds silly, and I feel like there would be more competition with this model to appease the actual customers' who buy what they like.

I have a subscription to Netflix, Prime, XM Radio, YT Music, Quickbooks Payroll, a usenet service etc. I've done some trial subscriptions to things before where they give a 3 month lower price and then raise it at the end, where I then just cancel it. I am guessing the heated seats 3 month trial would start in the middle of the summer, but who wants to try out heated seats in the middle of the summer.

I feel like people would try to create a backdoor, hack the code, install a device whatever they need to enable the features for a smaller price than the stealership charges.

 

[PaunchyPirate]

My 2021 Toyota Highlander Hybrid has 5 available subscriptions. All come with free trials of either 90 days, 1 year or 3 years.

Remote Connect - Ability to start the car and view various statuses via a phone app
Destination Assist - Online service to help you find something
Safety Connect - Online help in case of an accident
Dynamic Navigation - The built in navigation links to real-time traffic data
Wi-Fi Connect - The car becomes a wifi hotspot

I won't likely sign up to pay for any of these. The built in navigation will still work, but it won't have the real-time data coming into help plan the route.

Like all companies, they are trying to find new revenue sources.

 

[Pellice]

Wow, this is the planet Ferenginar [sorry, Star Trek reference here!] come to life. Monetize EVERYTHING.

On the other hand, wasn't this the historical model? You paid extra for a seat at an event. You paid extra to cross every bridge, or use a better road. In prisons, you paid extra for a blanket.

How to hold the line? I pay a monthly extra fee now for NYT cooking, on top of my existing NYT online subscription.

 

[Qs Laptop]

Count me in as someone that would oppose monthly subscriptions for optional equipment usage.

However, I might be open to a monthly subscription for personal transportation in a self-driving vehicle. Probably won't see it in my lifetime (or in my lifetime when I would still be leaving the house frequently enough for it to make sense for me), but I would to buy credits which would give me a certain amount of miles I could travel in a self-driving EV.

I figure if vehicles become self-driving, who's going to want to own one?

 

[JoeWras]

The problem is having an actual touchable piece of hardware that is a brick unless "subscribed."

This isn't like a phone, even in the old days when the phone came from the company. We all knew the major payment was for the service. And for cars, leasing the whole thing (a service) makes more sense. Once I turn it off, I can't touch it.

In my mid-career, we were directed at the last minute to change firmware to brick features unless a subscription key was turned on. It was a difficult change because it came so late. But that's what marketing wanted and now the hardware I worked on is basically a big brick with switches. It seems to work in the business world. I'm just not ready for it with automobiles.

 

[JoeWras]

Wow, this is the planet Ferenginar [sorry, Star Trek reference here!] come to life. Monetize EVERYTHING.

On the other hand, wasn't this the historical model? You paid extra for a seat at an event. You paid extra to cross every bridge, or use a better road. In prisons, you paid extra for a blanket.

How to hold the line? I pay a monthly extra fee now for NYT cooking, on top of my existing NYT online subscription.

History doesn't make it right. Let's talk indentured servitude.

 

[Gumby]

That would be a hard pass for me.