Consumers are familiar with the two traditional options for
vehicle ownership—buy a car, or lease a car. However, a new
option has been emerging in recent years: vehicle subscriptions. A
vehicle subscription includes a set monthly payment for a certain
period of time- as short as a day or two or as long as several
years. The subscription generally includes insurance, vehicle
registration, maintenance, and may include roadside assistance.
Depending on the service, a consumer can subscribe to one car, or
to a fleet of cars to use on an as needed basis.
Companies such as Clutch, Carma Car, and Flexdrive
(tagline-"All the car, none of the commitment") offer
software platforms for companies to provide cars by subscription to
consumers. These platforms often connect subscription services by
car dealers with consumers, and operate in cities around the
country.
