Am I overwhelmed or is it going too far? I was flabbergasted last week when I learned that BMW was offering certain functions on its new models by subscription. I read this on the US site Business Insider.
For now, “Innovation” is not offered here, and who knows if it ever will be.
Still, in South Korea, the owner of a BMW of the year must pay more than $20 a month to benefit from the heated seats of his car and $15 more to not freeze his hands on the wheel. (I was also surprised to learn that it was cold in this country.)
Pay to unlock
I point out that the cost of buying a car already includes the components that allow the seats and the steering wheel to produce heat. Access to functions can be modified by software.
The Stuttgart manufacturer has already tried to charge its customers more than $100 a year to use CarPlay, an Apple application that extends the functionality of the iPhone to the car dashboard. He backed off.
In Great Britain, BMW charges the equivalent of almost $55 per month to be able to activate the most advanced driver assistance system in some of its vehicles. The manufacturer pushes to new limits a practice that tends to become widespread in the industry. Subscription represents a new source of recurring revenue for manufacturers.
Tesla, precursor
Those who drive a Tesla will probably find me naive to be moved by it, they know the formula. It was Elon Musk’s company that got the ball rolling.
Okay, you have to subscribe for a long time to enjoy satellite radio in your cabin. GM vehicle owners have had access to OnStar assistance for years for a monthly fee. Even so, subscription fees were still limited to peripheral services that did not affect driving or comfort.
Tesla has shaken up the automotive industry with the autonomy of its electric vehicles, but even more so by integrating an important software component and an internet connection into its vehicles.
Like a smartphone, a Tesla can receive updates. This is how last year, with a single software modification, the company was able to add an autopilot function accessible at a cost of $250 per month (in addition to the cost of the car).
Pay to connect
A growing number of new vehicles are now “connected”. In addition to allowing the manufacturer to modify on-board software, the technology offers the possibility for customers to interact with their car using an application. Thanks to this, the owner can unlock the doors with his phone, start the engine remotely, know the fuel level and locate his vehicle from anywhere, among other things. To boost these new abilities, the ad features increasingly distracted characters saved from embarrassment (or disaster) by technology.
At the risk of sounding backward yet once more, I recently learned that app features were being offered for free for a limited time. After 12 or 24 months, the owner must pay a subscription to continue enjoying it.
Most major brands are going this route. GM’s connected services, for example, are available in several more or less expensive versions, depending on the number of services, which include voice assistant, navigation service and key fob remote controls, among others.
Owners of certain recent Mazda vehicles are offered the “Connected Experience” for free for two years, which boils down to features accessible through the “MyMazda” app. The subsequent rate remains to be determined as it is new.
I haven’t checked out all the manufacturers. Earlier this year, the magazine Consumer Report (the equivalent of Protect yourself in the United States) alerted its readers, saying that at least five other car brands were adopting this strategy.
What will it be like when you have to pay monthly to activate the heating in January?
The subscription is really embedded everywhere…
