Subscription Vehicles coming to Amsterdam

[GhostRoadieBL]

Summary

Starting in Amsterdam Lync&Co are rolling out their new fleet of subscription based vehicles. You can't buy them in any showroom but can sign up for the "mobility" subscription providing you an SUV, Crossover or Sedan. 

The company looks to expand their offering with a plug-in Hybrid SUV and a new "sharing" option

 

 

Quotes

Quote

Lynk & Co launched its first vehicle in October 2016, the 01 SUV – which was designed and engineered in Sweden and then described as the world's most connected car. Though drivers were able to buy the vehicle outright, Netflix-like subscription and sharing membership options were also rolled out.

My thoughts

Like most of these proposed "subscription vehicles" it sounds a lot like a lease where you don't actually own the vehicle at the end but pay the same or more than what you would for leasing the same vehicle for 3-4 years. It definitely makes sense for some lifestyles and specifically now with less known about the future of vehicles whether petrol, hybrid or fully electric are going to be the sustained direction of the industry. 

 

Assuming you can change the vehicle at any time like the proposed Nissan vehicle subscription it may be practical if you are needing the most cutting edge tech features or have a changing need for daily and weekend fun cars. Lync&Co don't seem to offer a "fun car" with more practical options which I find unfortunate especially in Europe where some of the best roads are, weekend getaways are a highlight of most "fun car" owner's lives while wanting a practical hybrid during the work week. 

 

Sources

https://newatlas.com/automotive/lynk-co-mobility-service-europe/

 

[Letgomyleghoe.]

Remember Linus called it first

[PlayStation 2]

Let's see, we've had the General Motors EV-1 experience to prove that rentable or leasable-only cars aren't a great idea.

[BlueChinchillaEatingDorito]

3 minutes ago, Gundar said:

Remember Linus called it first

Funny enough such a model was already a thing in Metro Vancouver (where LMG is based) for a few years now. Granted, this service in particular was after the luxury market.

https://www.portfoliobyopenroad.com/?gclid=EAIaIQobChMI5JnD6a-S7AIVGR6tBh131g3tEAAYASAAEgKxl_D_BwE

[badreg]

24 minutes ago, GhostRoadieBL said:

like a lease where you don't actually own the vehicle at the end but pay the same or more than what you would for leasing the same vehicle for 3-4 years.

You don't own the vehicle when you lease it either, nor do you build any equity during the term of the lease. You simply have an option to purchase it at a pre-agreed price at the end of the lease period.

 

With a lease, you are locked in to term of the lease without an easy option to exit it early if your situation changes. You are also completely on the hook for any damages to the vehicle despite having no ownership interest in it.

 

It would make sense for a subscription to cost more than a lease. If it costs the same as a lease would, a subscription model would be a no-brainer for anyone who would have otherwise leased.

[GhostRoadieBL]

1 minute ago, badreg said:

You don't own the vehicle when you lease it either

under the agreement (at least any I have done or heard about) the company cannot take away the vehicle, modify or change the features of the vehicle while you are leasing, any of the vehicles I have leased have been listed as "ownership until the expiration of the lease". This is very different to a subscription where you are using a service which can be changed based on the company's choice, just like ISPs who can throttle your internet when too many users are online or cell companies who restrict where you can and can't use their service without massive fees. A leased vehicle can cross borders without cost and you can drive for as far or as much as you want, subscriptions will definitely have Km limitations or geographic location restrictions. 

There isn't enough information available for things like insurance, liability, minimum subscription term, cancellation fees etc which will likely not be publicized until someone gets screwed by the company. 

[badreg]

2 minutes ago, GhostRoadieBL said:

This is very different to a subscription where you are using a service which can be changed based on the company's choice

This is a fair point. With a lease, you get exclusive rights to use the vehicle for the term of the lease. However, the tradeoff for this right is the fixed term, and being liable for the entire MSRP of the vehicle if it is totalled. Most leases, especially those that are $0 down, are underwater for at least the first half of the term, requiring leasors to carry additional insurance.

4 minutes ago, GhostRoadieBL said:

A leased vehicle can cross borders without cost and you can drive for as far or as much as you want

That is technically true, but there will be a reckoning at the end of the lease if you are over mileage. Either you pay the penalty, or are stuck with buying out the car.

 

Most people who lease do so because they value the flexibility. I suspect that a lot of them would gladly accept the tradeoffs and pay a higher price to be able to jump in and out of a car within a month.

[TempestCatto]

Of course this nonsense would come from the generation who were taught "sharing is caring". No h*cking thank you.

[williamcll]

I might as well take a taxi.

[poochyena]

so are we going to pretend that renting vehicles hasn't been a thing for decades?

[MetEishYa]

I laugh at anyone who thinks this will be cheaper than the total ownership price of buy a car. This is only beneficial to the person that wants to have a car for a short amount of time or one that wants to change cars very often. 

 

Companies that will providing these services have already work out how much the car is to buy, what the maintenance costs will be, what the insurance costs will be and any other costs. Those cost are added, then multiplied by some factor for when the car is not being rented/subscribed and finally multiplied by another factor for the profit mark up. this is then calculated to a monthly rate. Also don't forget that the cost will be increase yearly because to account for inflation. 

 

[Spotty]

Moved to Off-Topic

 

Tech News means news regarding technology or gaming. Please don't post topics in this forum that don't have a strong relation to technology/games.

 

You're welcome to discuss cars on the forum but please do so in the correct forum (Off-Topic).