Contrary to widespread belief, consumers are not only receptive to subscription-based services but are also willing to embrace them with open arms after experiencing their benefits firsthand. The study, encompassing nearly 8,000 respondents, offers valuable insights into the preferences and inclinations of modern car buyers and owners.
Surprisingly, an overwhelming 82% of the surveyed individuals, who had either sampled a free trial or subscribed to services on a 2016 model year or newer vehicle, expressed strong interest in considering subscription-based services for their future vehicle purchases. This revelation underscores the potential for car manufacturers to tap into a new revenue stream while catering to consumer preferences.
S&P Global Mobility's key takeaway for automakers is clear: Exposure is the gateway to subscription success. By providing in-vehicle experiences and allowing consumers to interact with various services, automakers can organically foster demand, satisfaction, and brand loyalty. The survey unveiled that those who had been exposed to a subscription service, be it through a trial or paid subscription, were significantly more inclined to renew their subscriptions. Impressively, 85% of these individuals also revealed their willingness to recommend these services to their friends and peers.
Not all subscription services are created equal, though. The study indicated that certain features hold more appeal for consumers. Enhanced navigation and driver-assist systems emerged as top contenders, with safety features also garnering significant interest. However, traditional features such as heated seats and steering wheels offered via subscription failed to ignite the same enthusiasm, with fewer than 30% of respondents willing to opt for such add-ons.
“Consumers are welcoming to the idea of subscriptions because it gives them exposure to features or technology that they may not have had in the past,” S&P Global Mobility senior technical research analyst Yanina Mills said.
Source: S&P Global Mobility
