Jaguar Land Rover doubles down on subscription service
Jaguar Land Rover (JLR) has launched its new Pivotal car subscription service just a day after Mercedes-Benz abandoned a similar scheme in the US.
Created, like others, to challenge traditional car ownership and leasing, Pivotal is claimed to be a no-commitment service that allows members to swap models or pause their membership.
For a monthly fee, JLR says the rental, insurance, maintenance and rego are all included and allow users to swap their car every six months.
This says JLR will help some of its customers change their vehicle to reflect their lifestyle, which could include a new job or growing family.
Later on, Pivotal will introduce the all-new Defender and add plug-in versions of the Disco Sport and Range Rover Evoque.
In the UK there’s three tiers – Blue, Indigo and Violet – that range in price from £750 (A$1350) to £1600 ($A2900) after a one-off £550 ($990) is paid.
Aimed squarely at the 20 per cent of younger customers who don’t own a car, JLR says it believes that come 2025 more than 10 per cent of all cars manufactured will be for subscription services in Europe and the US market.
Like Mercedes, that was forced to cancel its similar service after a trial failed to attract enough users, JLR says subscription services attract younger users who are new to the brand, with the Brit car-maker estimating 80 per cent of its members from its 2018 Carpe scheme had never owned a Jaguar or Land Rover.
JLR UK MD, Rawdon Glover, commenting on the launch of Pivotal said: “The future of mobility has never been more in the spotlight and our customers are increasingly looking for more flexibility in the way they interact with us.
“We are constantly looking at new and innovative ways to deliver the best solutions for our customers and adding the Pivotal subscription service to our portfolio is the latest in a line of new services that put our customers’ needs first.”
There’s no word yet if Pivotal will be expanded to the Australian market.