Tag Archives: Study

Consumers Willing To Adopt Some In-Car Subscriptions According To Survey

A recent study by S&P Global Mobility reveals that consumers are willing to pay for connected-car services, but only for ones that offer clear value or are available with a free trial. However, they are less interested in features they won’t use or already have on their smartphones.

Automakers like BMW and Mercedes-Benz have faced criticism for introducing subscription-based products and services in their vehicles. However, according to the S&P Global Mobility survey, consumers are generally open to subscriptions when they provide exposure to new features and technologies. When given the option of a free trial or existing subscriptions on newer vehicles, 82 percent of respondents said they would consider purchasing subscription-based services for future new-vehicle purchases.


The survey also emphasized the importance of offering value-added services through subscriptions. Paid functional upgrades, particularly enhanced navigation and advanced driver-assist system (ADA) functionality, are highly desirable. Safety features like high-beam assist and driving video recorder received the highest satisfaction ratings among connected services. However, features like heated seats or remote start garnered less interest because consumers are used to paying for these items as part of an options package.

GM’s decision to eliminate Apple CarPlay and Android Auto in favor of their native infotainment system is aimed at leveraging this trend by increasing subscription retention and providing access to more consumer usage data. The S&P Global Mobility survey highlighted that while consumers have concerns about data privacy, 74 percent of respondents said they are willing to share data for free services and consider automakers more trustworthy than technology companies like Google or Meta.

What was not evident in the survey was whether most consumers were willing to pay a monthly subscription for added performance. Mercedes-Benz is offering Acceleration Increase, a performance subscription that increases a car’s output by 20 to 24 percent on its electric vehicles. However, BMW has no plans to offer over-the-air performance upgrades for its future electric vehicles. This decision is not due to any technical issues, but rather because BMW believes the income generated by the subscription fees would not be profitable enough to cover the necessary technical requirements and regulations.

Three quarters of UK motorists think Government could do more to help drivers make switch to electric cars

  • Only 15 per cent likely to make switch to electric in next 12 months, FIAT study finds
  • 60 per cent would consider making the switch if the vehicles were cheaper
  • Over 80 per cent of EV drivers say it’s one of the best decisions they’ve made
  • FIAT recently introduced £3,000 FIAT E-Grant for FIAT 500e and 500e Convertible buyers
  • First car manufacturer to launch its own electric car grant in the UK since the Government’s Plug-in Car Grant came to an end 12 months ago

Three quarters of Brits think the Government should be doing more to encourage the switch to electric vehicles (EV) – by offering consumer grants.

A poll of 2,000 adults found 63 per cent consider the retail price to be the biggest downside of EVs.
Just 15 per cent of those who don’t own an EV are ‘likely’ to make the switch within the next 12 months – but 60 per cent would be more inclined to go electric if the vehicles were cheaper.

The study revealed a groundswell of support for the Government’s pledge that all new cars and vans will be required to be ‘fully zero emission at the tailpipe’ by 2035 – with 45 per cent backing the plan.

But just 21 per cent of all adults think the strategy will be successful – 55 per cent don’t think the promise will be fulfilled and 25 per cent are on the fence.

This comes after FIAT launched its own electric car grant, FIAT E-Grant, offering £3,000 towards the all-electric 500e and 500e convertible.

Damien Dally, FIAT UK managing director, said: “EV ownership has increased significantly over the last decade, however, demand is starting to plateau and there is still apprehension among those who’ve yet to go electric.

“As our study shows cost is the biggest stumbling block for consumers, which won’t have been helped by the Government Plug-in Car Grant ending 12 months ago. We are committed to helping people make the switch, that’s why we launched our own grant.’’

The study by FIAT also identified other areas consumers feel require investment from the Government in relation to EVs.

These include charging infrastructure (59 per cent), battery plants in the UK (45 per cent), and tax subsidies (38 per cent).

While 22 per cent believe there should be more money spent on educating as many people as possible on EVs.

Further to this, the research highlighted aspects of electric car ownership which consumers still seem to require further education on.

Such questions include ‘how long does it take to charge an EV?’ (40 per cent), ‘do EV batteries last long?’ (40 per cent), and ‘how much range would an EV really need?’ (30 per cent).

‘Will charging an EV at home raise my electricity bill?’ (27 per cent), ‘does insurance cost more for EVs?’ (26 per cent), and ‘do all EVs use the same charger?’ (23 per cent) are also common queries.

And while 85 per cent of car owners polled are yet to make the switch – possibly with questions like these in the back of their minds – those who’ve gone electric appear to have no regrets.

The study found 81 per cent of those who’ve made the switch consider their decision to be ‘one of the best’ they’ve made.

Dally added: “The research suggests petrol and diesel vehicle users are keen to make the switch to EVs but there is still plenty of uncertainty.

“This underlines why it’s important to incentivise people to make the switch while educating them on the benefits of going electric.”

ENDS

For more information about the FIAT E-Grant visit: here and here.

For more information about driving electric visit: https://www.fiat.co.uk/driving-electric.

Jeep Wrangler Owner Discovers Reliability is Better than Expected After Four Years

In the recent Initial Quality Study conducted by J.D. Power, Jeep has been ranked in the middle regarding reliability of brand-new cars. However, there is a popular belief that the company’s latest models are not as reliable as one would hope for.

Due to this perception, the person featured in the video was hesitant to purchase a Jeep, fearing that it would frequently require repairs. However, their spouse had a different opinion, resulting in the acquisition of a vibrant orange 2018 Jeep Wrangler JL Unlimited.

This American off-roader, produced in October 2018, remained unsold at the dealership until September 2019. Humorously, it was believed that no one desired a Jeep that could be spotted from space by satellites. Ultimately, the vehicle ended up in the possession of the video presenter’s wife, who has not experienced any significant issues while driving it for over 40,000 miles. On average, she adds approximately 10,000 miles to the odometer every year.