Tag Archives: ondemand

Motorsport

Audi Plans to Expand On-Demand Features to Meet Customer Demand

To increase profitability, automakers are constantly exploring new strategies. On-demand features and subscriptions have emerged as a popular trend in the industry, although the response has been mixed. Audi, a renowned technology-focused manufacturer, has announced its intention to expand the availability of on-demand features in its vehicles starting next year. However, the company emphasizes that this move is not driven by a desire for additional revenue, but rather as a response to existing customer demand.

Currently, Audi’s on-demand features are limited to their E-Tron and E-Tron Sportback models. However, the company plans to extend this offering to a wider range of models in the near future. This expansion will enable vehicle owners to enhance their driving experience by adding new functions and features after the initial purchase on a flexible basis. Some of the current on-demand features offered by Audi include the LED Matrix package, which seamlessly switches between dipped and main beam headlights, a light function package that incorporates animated lighting effects during car locking and unlocking, and a semi-autonomous parking function that can locate and park the vehicle automatically.


News

BMW will not charge extra to activate existing functions in cars

BMW has announced that it will not be charging customers for activating hardware-based functions in their cars. While the company plans to introduce more paid-for on-demand services and functions in future models, it wants to ensure that customers do not feel they are being made to pay for functions that were previously standard.

Like many other car manufacturers, BMW is leveraging the increasing connectivity of cars to offer over-the-air updates, which allow for the addition of new functions. However, the company faced backlash last year when it offered a monthly subscription to activate heated seats in certain models.

When asked about BMW’s approach to avoid charging extra for functions, Pieter Nota, the firm’s board member for sales and marketing, explained, “We have experience with that, and gauging customer response is part of our process.” He further added, “Our focus is now on ‘functions on demand’ that are software and service-related products, such as driving assistance and parking assistance, which customers can add later or for functions that require data transmission that customers are accustomed to paying for in other areas.”

Nota also emphasized that BMW will no longer offer seat heating as an on-demand function, stating, “It’s either in or out. We offer it from the factory, and you either have it or you don’t have it.” He noted that customer acceptance of paying to activate seat heating later was low and mentioned perception as a contributing factor to the decision to discontinue that offering.

Regarding the services that could potentially be charged for, Nota explained, “Software-based services, like downloading a parking assist product, are well-accepted. People understand that it’s a certain piece of software they can download for a cost, much like downloading a film or an extra feature on an app. We are increasingly successful with this approach.”