Are Subscriptions Taking Over Your Ride? ??
SmartPurse - Fun, Financial Education for you and your workforce
We make finances fun, and accessible for all! Corporate Workshops ● Employee Perks ●Smartpurse App ● Coaching ● Events
In recent years, subscription services have swept across industries—now even cars are following suit! Automakers like BMW and Mercedes are offering subscriptions for features that used to be standard, from heated seats to advanced driver-assist systems.
So, are we gaining flexibility or losing value in car ownership?
?? A Surge in Car Subscriptions
With nearly 75% of consumers already subscribed to at least one service, this model is spreading fast. BMW grabbed headlines when it started charging for features like adaptive cruise control on a monthly basis. While the flexibility is appealing, it raises questions about transparency and extra costs.
Revenue from connected car services and updates currently totals around $6 billion per year, with projections estimating it could reach $200 billion annually by 2030, driven by software, services, and data.
?? Access vs. Ownership
This shift is significant: rather than "owning" a car feature, you pay to access it. Industry experts predict that by 2030, half of automakers' software profits could come from subscriptions and in-car purchases, with projections estimating it could reach $200 billion, driven by software, services, and data.
For consumers, it means considering extra fees and possibly lower resale value.
What's Next? ??
With more cars shifting to subscriptions, it’s important to factor these costs into your car-buying plans. Be sure to kick the tires on all potential fees before you drive off!
Want to drive smarter financial decisions? ??
Download our free app, SmartPurse , for tips to budget and stay informed on trends like these!
?? Upcoming events: This November
Ready to dive into the world of blockchain and crypto? Join our masterclass with Jasmin Mülhaupt, Senior Associate Financial Product Development at 21Shares.
Discover the real story behind Bitcoin & Co., plus learn how to invest in cryptocurrencies safely and confidently!
??? Monday 25th Nov,
19.30-20.30 BST I 20.30-21.30 CET
*Free for our VIP members
P.S we’ve got something exciting coming on November 27th??
Stay tuned for more updates!