The automotive sector in India and worldwide has witnessed a significant change in technology and business models. Over the past few years, auto manufacturers have been focusing on finding an alternative to selling and leasing vehicles to customers by introducing vehicle subscriptions.
The car subscription business model is seen as an excellent means to attract new customers by auto manufacturers. It is a win-win situation for both customers and automakers. For customers, it gives the convenience of owning a vehicle at a much smaller price, they need not be as committed to the car as they would when they purchased it, and it gives them a variety of options; they can afford to buy a high-end car.
Let us look at the benefits of taking the car on subscription from the customer’s POV (point of view) and the impact of this business model on the automotive industry.
Benefits of taking a new car subscription
- The subscription-based business model allows customers to subscribe to a car for a long time as per their choice. For instance, if you are a customer, you can subscribe to a car for one month, one year or a few months and yet not worry about the commitments of owning a car.
- As a subscriber, you need not worry about buying insurance coverage or regular maintenance; the company will take these responsibilities and bear the associated costs which is included in the monthly subscription fee.
- Paying regular car subscription fees is much lower than investing a huge sum in buying a car.
- You can easily drive a different car every season and pay only the adjusted subscription fees.
Benefits of taking a used car subscription
Today, many people take monthly car subscriptions for used cars, and consequently, the number of car subscription services is also on the rise. It is an excellent way to negate rising inflation and drive a car of choice.
Impact of a car subscription model on the automotive industry
It is quite evident that opting for car subscriptions offers many benefits to customers; it makes vehicle ownership affordable for them. Apart from benefiting the customers, experts suggest that the car subscription businesses will significantly impact other businesses offering services to car owners, like insurance and maintenance companies. With the subscription business gaining immense popularity, these companies will sell to establishments that offer subscriptions, which can lead to lower margins for subscription companies.
Many industry experts believe that the car subscription business is here to stay and is already creating a paradigm shift in how end customers think about car ownership.
If you, too, have been thinking of subscribing to a new car, you can opt to subscribe a car from Quiklyz and drive your favourite car with pride. You have plenty of choices, and with affordable subscription fees, you can be one of the first people in your locality to drive a high-end car and enjoy your ride every day!