2019 Porsche Cayenne SNick Tragianis / Driving Porsche is expanding its app-based subscription service to four new cities in the U.S. and Canada, deepening its experiment in flexible car ownership even as other automakers back away.The luxury sports-car brand of Volkswagen is adding Las Vegas, San Diego, Phoenix and Toronto to the pilot program it started in Atlanta almost two years ago.The price of its two-tiered monthly subscription service, Porsche Passport, will cost US$3,100 a month in the States; and $3,200 a month in Canada.In Canada, the first tier will let users swap between Porsches 718, Macan and Cayenne models and their variants; while the higher $4,200-per-month Accelerate level opens up the chance to drive its 911 and Panamera cars as well.Automakers are dangling subscriptions to try to reach younger consumers accustomed to streaming movies on Netflix or summoning rides from Uber, with mixed results. While Porsche and Mercedes-Benz are expanding their tests, General Motors pulled the plug on its Cadillac BOOK subscription service in December; and Volvo Cars is battling California car dealers over its Care by Volvo program, which combines lease, insurance and maintenance into one monthly payment.Its not fundamentally a cheaper way of consuming your mobility, said Mark Wakefield, head of the automotive practice at consultancy AlixPartners. There has to be enough people that want to pay for the convenience factor.Most subscription services cost more than a comparable three-year lease, which limits their growth potential, according to a study that car-shopping researcher Edmunds released last year.That may not be a problem for a company like Porsche. The US$2,100 tier of Porsche Passport is 20 per cent more expensive than leasing a Porsche for three years, the automaker said. Still, 180 people subscribed over the course of two years, 80 per cent of whom had never owned one before. Typical users were in their mid-40s, eight years younger than the average Porsche owner.The question is not a bookkeeping exercise or accounting; the question is how much are you willing to pay for that much freedom? said Klaus Zellmer, head of Porsche Cars North America.Monthly subscribers can drive as many as 20 different model variants, have vehicles delivered to them, and only pay for gas, after a US$595 one-time activation fee. Insurance and maintenance are included. Porsche chose the four additional cities based on their support of the brand and the companys expectation of
Origin: Porsche’s US$3,100-a-month subscription service is coming to Canada
service
A car’s service history: what is it really worth?
To discover how lightly a full service history is treated, I visited a used car dealer and a franchise dealer in search of a couple of used cars out of warranty. I hoped they’d have poor service histories and wondered how the sales staff would handle the situation. At the used car dealer, I quickly identified my target motor: a 2011- reg Audi A3 Sportback 2.0 TDI S line with 135,000 miles, priced at £4395. The salesman produced its service book, which showed only four services had been carried out: one at 21,000 miles in 2012, another at 44,000 miles at the end of the same year and a third in 2013 at 67,000 miles, all by Audi dealers, and then nothing until early 2019 when, at 130,000 miles, it was serviced by an independent garage. Unfazed by this revelation, the salesman said he had the previous owner’s word that the car had been serviced regularly during the intervening six years and 63,000 miles. So that was all right then… I left, pondering the meaning of service history. The Audi had some but by no means could it be described as full. In any case, I wondered, what is full service history? Is it an unbroken line of services performed every year or 12,000 miles, or at the manufacturer’s recommended intervals? Is it full only when all the minor and major services have been carried out, in addition to other periodic work? If that was the case, you’d have to scrutinise all the workshop invoices to find out exactly what was done. Amazingly, some dealers do, which is why they put a higher value on full invoice history as distinct from full service history. On that point, a friend recently had his 2016-reg Volkswagen Scirocco TDI, which had done 33,000 miles, serviced at a VW dealership. It was due a major service, but because he’s planning to sell it in February 2020, he opted for a minor. In doing so, his vehicle missed, among other things, a change of air, fuel and pollen filters, and a thorough, wheels-off brake check. Not that the car’s next owner will know. They will see from the service book that the Scirocco has a full service history, yet on one occasion, it had a minor service when it should have had a major. Webuyanycar.com is one company that takes service history rather more seriously. It defines a full one as conforming to the manufacturer’s schedule. It also advises that car buyers find out what service the car is due to have next since, if it’s a major, for example, it could be expensive. From the dealer with the Audi A3, I popped into a franchise dealer, a Renault agent. My attention was caught by a Captur Dynamique S Nav TCe, a 2015-reg model that had done 35,000 miles and was priced at £8295. The salesman agreed that service history was important and recounted a story concerning one of his customers who, on the day he was due to collect his new Renault, handed over the service book for his part-exchange, a four-year-old Vauxhall Zafira. “It had no service stamps in it,” said the salesman. “I couldn’t give him what I’d offered for his car, and when I told the trader who had agreed to buy it that it had no service history, he reduced his offer by £1750. My customer ended up selling his Zafira to a car buying company for £1000 less than I’d originally offered him.” He now entered the Captur’s details on Renault’s ICM online workshop database, intending to show me its service history. It recorded the car as having its PDI (pre-delivery inspection) in August 2015 – and then nothing. He hurried off in search of the car’s service book. When he eventually returned, it showed the car had been serviced just twice, at 22,000 and 26,000 miles, both services carried out by an independent garage in 2018. There were no invoices to show what work had been done. “They’ll probably have been oil changes,” said the salesman. “In any case, the Captur can go for 40,000 miles without one.” In fact, the model’s oil change interval is 18,000 miles or two years. I asked the National Franchised Dealers Association (NFDA) what it thinks about dealers glossing over the fine detail of service histories in this way. Sue Robinson, its director, said: “It is essential that franchised retailers provide their customers with clear and accurate information about the service history of a vehicle. Transparency and integrity are vital to our sector.” Was the motor trader that the Renault salesman mentioned right to penalise the four-year-old Zafira without service history to the tune of £1750? Derren Martin, head of valuations at Cap HPI, says the cost of having no service history depends on factors including current vehicle supply and demand, the make of the car and whether it’s still in warranty. “It’s a complex picture,” he said. “At the moment, the supply of used cars is high but demand is low, so anything less than perfect – for example, a car with little or no service history – has to be priced to sell. “In a normal period, the cost of no service history is about £500 on a
Origin: A car’s service history: what is it really worth?
Aston Martin launches bespoke garage design service
Aston Martin’s bespoke personalisation outfit, Q by Aston Martin, has launched a new service to help owners create their ideal car storage facility. Automotive Galleries and Lairs, revealed today at Pebble Beach, will assist owners in designing bespoke garages or display units to house their Aston Martins. The new sub-division can also design and build entire homes, in partnership with high-profile architectural firms, wherein the client’s car collection acts as an integral design feature. Architects are assigned to individual projects based on their awareness of the local area and appreciation of the requirements of the brief. A design concept from architectural firm Obermoser shows an extravagant underground gallery, with Aston’s new Valhalla supercar housed in the middle of a circular fish tank. Another rendering shows the upcoming Valkyrie hypercar positioned prominently in front of an expansive window. Aston Martin chief creative officer Marek Reichman said: “Imagine a home or luxury retreat built around your car. Picture creating the ultimate space to showcase your own automotive works of art. “This is now achievable with this new offering. For the car enthusiast, the garage is as important as the rest of the house and a bespoke auto gallery designed by Aston Martin that either focuses on showing off the car or is part of a larger, integrated entertainment space with simulators and such like takes Aston Martin ownership to the next level.” The launch of Galleries and Lairs coincides with the beginning of construction at Aston Martin’s new luxury apartment block in Miami. Aston Martin Residences, a 66-storey tower building in Miami comprising 391 apartments, is scheduled for completion in the next two
Origin: Aston Martin launches bespoke garage design service
Hertz launching car subscription service for US$1,000 per month
Hertz is joining a host of other companies, including several automakers, in offering a vehicle subscription service, which lets customers take home and used a borrowed car for an indefinite period of time, for a monthly fee. Labelled Hertz My Car (your author would have gone with Hertz My Ride, but whatever) the program will offer two different tiers of cars. Tier One is priced at US$999 per month and includes full-size sedans, small SUVs and trucks. Tier Two offers snazzy luxury sedans, regular SUVs and large trucks for US$1,399. Customers can exchange their vehicle twice a month for another make or model within the tier but, if they want to switch it up more frequently, they can do so for a US$75 surcharge. There’s also a one-time enrolment fee of US$250. The all-inclusive monthly subscription covers vehicle maintenance, roadside assistance, vehicle damage and limited liability protection. There’s a US$1,000 deductible if you beat stuff up, by the way. Hopefully Hertz has cleaned up its computer records, as a “glitch in the system” recently led to several people being summarily hauled away by the cops after Hertz reported the vehicles they were renting as stolen. One person apparently spent over a week behind bars while others tell tales of ending up on the business end of handcuffs before getting the whole mess sorted out. One thing that’s certain is that consumer preferences toward vehicle ownership and leasing are shifting. Hertz cites a survey by Cox Automotive that claims nearly 40 per cent of respondents said while access to transportation is necessary, owning a vehicle is not. For urban respondents, 57 per cent said private vehicle ownership is not necessary to get from point A to point B. Hertz My Ride kicks off in the cities of Austin and Atlanta, but sadly does not include any scheduled appearances by Xzibit or Chamillionaire at those launch
Origin: Hertz launching car subscription service for US$1,000 per month