Outside of death and taxes, the one thing your dealership can always count on is the fact that people need a place to buy cars, right? As we've seen before with the advent of Uber, Lyft, and the concept of transportation-as-a-service (TaaS) as a whole, this once rock-solid pillar upon which the automotive industry currently stands continues to look shakier and shakier by the day.
The latest proof of this turning tide in consumer predilections and industry movement? How about the fact that Mercedes-Benz is poised and ready to bring a subscription-based vehicle service to market.
As Andrew J. Hawkins of The Verge reports, one of Germany's most iconic automakers is ready to skip all of the fuss that comes with selling or leasing cars to customers and instead allow these individuals to pay a monthly subscription in exchange for access to a veritable fleet of premium luxury Mercedes vehicles. While this itself isn't completely unheard of (BMW, Cadillac, Porsche, and other luxury manufacturers have also toyed with similar programs), offering up this take on TaaS that hand delivers vehicles to the user's front driveway at a far more palatable $1,095 a month shows that Mercedes is ready to upgrade this novelty act into a truly viable and competitive public product.
Hawkins goes on to note that Philadelphia and Nashville are the only two cities currently on the docket for this program, but national expansion isn't out of the question if Mercedes' subscription service is well received.
Even if the announcement of a new subscription transportation service isn't a direct attack on the viability of dealerships in the long term, it does send a clear message that Mercedes, in falling in line with other manufacturers, is more than willing to explore options that take customers off of the showroom floor and places them directly into a pipeline than reroutes these shoppers toward different points of contact and commerce opportunities.
Interested in learning more about the implications of Mercedes' new premium subscription service? Then be sure to dig into all of the details by checking out the full story from Hawkins on the other side of the link below.