Car Subscription Trends in 2021 Car ownership remains to be an elusive dream for many people because of the costs that are involved. Luckily, with the best car subscription, there is an affordable way of driving the car you have always wanted. While you will technically not own the car, you can use it as the subscriber. You are not tied to a long-term ownership and you can swap cars depending on the terms and conditions of the subscription. If you are interested in a car subscription, below are some of the most important 2021 trends you need to know.
Subscribers Hitting the Pause Button
This is not good news to start with. The fewer subscribers are present, the lesser your options will be. It also means that companies will not be pressured to lower their prices because the market isn’t that competitive. Unfortunately, as a result of the pandemic, many businesses have suffered. The providers of car subscription services are not spared. Audi and BMW are pulling their car subscription programs. They are two of the biggest names in the industry, so their exit is a huge blow to the market. While the two companies have not further elaborated the reason behind the move, it is safe to say that there is low demand. Obviously, the COVID-19 pandemic is one of the main culprits.
More Aggressive Marketing
In a report published by ABC News, lack of awareness was cited as one of the reasons why car subscriptions are not growing significantly. To address this problem, it is expected that providers will invest more in their marketing initiatives. They need more outreach to send their message to their target audience. More importantly, their marketing campaigns should highlight more the benefits of car subscriptions over leasing and renting, or even buying a brand-new car. Social media is expected to be the preferred marketing channel not only because of its cost-efficiency but also because of its extensive reach. To succeed, companies should make their marketing campaigns more engaging and intriguing.
The Rise of Electric Cars
Over the years, there have been a huge clamor for sustainable modes of transportation. With this, electrical cars have been more popular. We expect this trend to continue to the car subscription market. More and more companies will be adding electric cars to their fleet. This is a response to the demands of subscribers for a green solution to their everyday lives, especially in transportation. The market is currently small, but it is safe to say that it is growing and there’s no other way to go but up. As more electric cars are introduced, it is also expected that there will be more charging stations.
Demand for Bigger Cars
Space is a luxury these days. Because of the pandemic, many people do not like being confined in tight spaces, and hence, we expect to see an increase in the demand for large cars. More people will be willing to pay a premium so that they can get larger cars as they offer better ventilation. It does not force you to be seated in a tight position next to the other passenger.
Introduction of Autonomous Driving Cars
This is one of the automotive technology trends that we will be seeing more of this 2021. Admittedly, it won’t be fully realized yet. While Nissan and other companies have already introduced self-driving cars, its full adoption is not yet seen to be happening this year. Despite such, we will be seeing more of it on the press, enough to excite patrons of vehicle subscriptions who cannot wait for such cars to be offered.
Making Subscriptions More Flexible
In a bid to gain a higher market share, it is also anticipated that vehicle subscription companies will be introducing better flexibility. They will be offering more options when it comes to vehicles for swapping to attract more people. Flexibility can also be in the form of payment methods and terms. Newer plans may be introduced to meet the changing customer demands.
Presence of More Technological Features
Year after year, vehicles are being more advanced. With that, cars offered in subscription services are expected to have more technologically advanced features, especially newer ones. They will improve comfort, convenience, and safety, resulting in a safer overall driving experience. Internet of things will be more rampant as a way of improving connectivity. This will make it easier for the providers to monitor the vehicle during the subscription period. It executes an effective monitoring system for convenient tracking of a vehicle.
In sum, this 2021, the car subscription market is expected to encounter many changes. Some notable companies have already closed as a response to the pandemic. Others may follow suit, but we hope such would not be the case. Aside from the economic impacts of COVID-19, there are other trends expected, such as introduction of more technological features and having more electric cars.