BMW consumers is not going to be requested to pay $18 a month to make the heated seats of their new automobiles work, in any case. However that doesn’t imply the concept of paying subscription charges for automobile options goes away.

Pieter Nota, BMW board member for gross sales and advertising and marketing, advised the U.Ok.’s Autocar that the corporate continues to be exploring subscription charges for automobile options. “We really are actually focusing with these ‘features on demand’ on software program and service-related merchandise, like driving help and parking help, which you’ll add later after buying the automobile.”

However, “What we don’t do anymore – and that may be a very well-known instance – is supply seat heating by this fashion. It’s both in or out. We provide it by the manufacturing unit and also you both have it otherwise you don’t have it.”

Wait – Month-to-month Charges for Heated Seats?

BMW is considered one of many automakers experimenting with a brand new automobile possession mannequin that might see consumers pay subscription charges to make use of some elements of their automobiles.

Most new automobiles offered right now have fixed connections to the web. That opens the potential for a really completely different possession expertise.

Immediately, automobile consumers configure their automobile after they purchase it – buying some options and declining others. To satisfy the demand for various combos, producers construct many alternative configurations of every mannequin.

However extremely networked automobiles may enable producers to construct each out there possibility into each automobile that leaves the manufacturing unit, then swap them on and off to fulfill shopper demand. As an example, an automaker may construct each automobile with 16 audio audio system however enable consumers to activate eight, 12, or all 16 for various charges.

A Wildly Completely different Future

The transfer would save producers cash by way of economies of scale. And it will enable consumers to reconfigure their automobile on the fly, including and deleting options based mostly on their skill to pay for them and what they wanted.

But it surely may additionally finish the concept of ever paying off your automobile. Even used automobile consumers may spend years sending month-to-month charges to the automaker that constructed their automobile to entry heated steering wheels, leisure options, and even electronically restricted horsepower.

Charges is perhaps month-to-month like BMW’s heated seat plan was. They may very well be annual, like a Mercedes plan that lets electrical automobile house owners hire extra horsepower. They might even be pay-per-use — Volkswagen executives have mused about releasing self-driving software program that prices ticket costs based mostly on vacation spot.

Research Present Some Consumers Will Embrace This

BMW’s heated seat plan was poorly acquired by the market. Research present that automobile consumers are reluctant to pay month-to-month charges for creature comforts.

However that doesn’t imply the subscription mannequin will finish. Research additionally present that consumers are extra keen to pay for automation and security options. When given a free trial, many customers are extra keen to embrace a payment.

BMW has realized that lesson. Nota advised Autocar, “What we discover is software-based companies, like downloading a parking help product, could be very effectively accepted. Folks understand it’s a sure piece of software program they’ll obtain that prices cash. It’s the identical as downloading a movie or an additional characteristic on an app. That’s accepted, and we try this more and more efficiently.”