Cox has managed to get feedback from 217 potential car buyers about the subscription model for automotive vehicle features and services. Considering the 16 million or more new cars sold each year in the United States, this is a small sample size; However, responses are not different from what we expect based on the amount of comments on the topic. According to Cox, 75% of respondents abandoned the idea of paying an annual or monthly fee for almost any type of in-car item. Remote start, heated seats, automatic emergency braking and lane-keep assistance? At least 87% of the surveyed car buyers believe that all equipment should be part of the MSRP.
The car has facilities with amenities like Wi-Fi and vehicle tracking. This is probably because almost everyone, regardless of car ownership, is familiar with GPS Tracker or subscribing to a cellphone service provider.
So what happens to one-fourth of respondents who are eligible for ongoing payments for features? Cox says there are three groups of features for which 25% will shell out continuously, this group running in multiple ways as opposed to 75%. Minorities will not object to paying for safety features such as automatic emergency braking and tracking of stolen vehicles, but will object to subscribing to in-car Wi-Fi (although there is currently a monthly fee for the service). The group also said they were willing to fork over power upgrades and some OTA updates, but only a minority (minority) said they were willing to pay for more range for their electric vehicles.
Despite the small sample, carmakers may see this as a victory. We suspect that Cox Automotive achieved somewhere near the 25% approval rating for the subscription services in question ten years ago. Remember, 20 years ago we still did road trips with paper maps and we bought entertainment in our proprietary physical media. Now Audi, for example, wants $ 85 per month or $ 850 per year for navigation plus with full-speed Wi-Fi. Car manufacturers just have to hang on. Eventually, the subscriptions will be the way they are. But the part where automakers remind buyers when buyers don’t pay for or subscribe to a feature, such as a Redditter finding that Audi has an HVAC function on its Q4 E-Tron, pictured above – OK, what do we say, Unnecessary