Opinion

Volkswagen is Picking up the Pace of its Business Model 2.0 & Offering Car Subscriptions

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The AutoAbo model is available with three-month and six-month minimum subscription periods. Thereafter, customers can terminate their subscription whenever they wish. Zellmer says: “The contract covers everything except electricity.” In concrete terms, this means 800 kilometres per month and a full-service package with registration, roadworthiness tests, maintenance and servicing, insurance and road tax. As a special offer to mark the launch, customers can have a car delivered to and collected from anywhere in Germany with 14 days’ notice. In the future, cars will be delivered via the dealer network. You can find more information at www.volkswagen.de/autoabo.

The dealer network will be incorporated into the subscription model right from the start, for example, when it comes to maintenance and repairs. The network’s integration into the model will be intensified gradually so that dealers remain the Volkswagen brand’s face to its customers. At a later date, the plan is for customers to be able to sign up to a subscription at their dealer. “We will continue to make full use of the advantages of our strong dealer network,” says Zellmer.

Online leasing and sales to start at the end of 2021

At the same time, the company is making rapid progress in digitalising its sales channels as part of the ACCELERATE strategy. Just a few months after launching the AutoAbo subscription model, Volkswagen will be offering online leasing and online sales, initially for models from the ID. family but then also for new and used cars with any drive system. The dealers and their vehicles will be fully integrated into Volkswagen’s central digital marketplace at www.autosuche.de.

In this way, the car maker is seeking to reach a larger customer base and generate additional revenue. “We are responding to changes in customers’ purchasing behaviour and enabling them to conclude contracts at a dealer or online. In both cases, we need a strong online presence coupled with the customer proximity and local presence provided by our dealers. A strong brand is based on a promise and trust,” says Zellmer. The dealers will remain crucial partners in online sales as well. Customers will choose their preferred dealer to advise them, provide service and deliver their vehicles. The dealers will receive the same commission as if the vehicle had been ordered from them directly.

This article was originally published by Evobsession.com. Read the original article here.
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