Subscription Commerce

BMW and Lexus Launching Car Subscription Services

Excerpts from the article by Dana E. Neuts on Subscription Insider

More automakers want their share of the subscription economy.

Two more automakers – BMW and Lexus – have announced they want to get in on the subscription economy, each with their own version of a car subscription service. BMW first revealed their plans during the Detroit Auto Show, but details were not disclosed at that time. BMW has now launched its pilot program, called Access by BMW, an exclusive service that gives members unlimited access to their choice of BMWs for one monthly fee which includes insurance, maintenance, taxes, car washes, detailing, personal delivery by a concierge and roadside assistance.

For $2,000 a month, at the Legend tier, subscribers can select a vehicle from BMW’s M2, 4 series, 5 Series or the X5. For $3,700 a month, at the BMW M tier, subscribers can select an M car, including the M4 convertible, M5, M6 convertible, X5M or X6M. There is a $575 joining fee, but it is being waived for the program’s first 50 members. The program is currently being launched in Nashville, Tennessee, but could expand across the U.S. if it is successful.

According to BMW Blog, Access by BMW members will select their vehicle based from an iOS or Android mobile app, facilitated by local BMW dealers. A concierge will personally deliver the vehicle, fueled or charged, detailed and ready to go. The program requires a 32-day commitment. Daily vehicle upgrades are available. Access by BMW offers a few features that other car subscriptions are not yet offering: movement between subscription plans, pausing a subscription for a $200 convenience fee, and corporate memberships.

‘As customers continue to explore the growing mobility market, service-related offerings are becoming more in demand. With Access by BMW, our members will enjoy the freedom of personal mobility with access across a broad range of our highly emotional vehicles’ said Ian Smith, CEO of BMW Group Financial Services USA and Region Americas, in a news release. ‘Subscription-based services are of emerging interest for our customers, and we’re excited to be offering a mobility service to meet their individual and evolving needs.’

Read the full article on Subscription Insider

The Check Box: The Growing Need for Auto-Renewal Second Consent

Excerpts from the article by Lisa B. Dubrow, Esq., Dubrow & Bhonslay on Subscription Insider

Companies that sell products or services through subscription models need to keep in mind that there are numerous federal and state laws could impact how these models are structured and advertised. With recent legal settlements by major subscription brands as a bell weather, it might be time to revisit your auto-renewal policies and advertising to ensure you are not in danger of being held to these new legal standards. Lisa B. Dubrow, Esq. explains.

Read the full article on Subscription Insider