Automakers Bet Big on In-Car Subscriptions—Are Drivers Buying In?
In-car subscriptions are quickly becoming a key pillar of automaker strategy, offering a promising stream of recurring revenue beyond the showroom floor. But while manufacturers push forward, drivers seem far less eager to jump on board—especially when faced with growing costs and unclear value.
This disconnect has created friction between automakers’ ambitions and consumers’ willingness to pay, forcing the industry to rethink how it introduces and prices subscription-based features.
Survey Shows a Drop in Willingness to Pay
Not long ago, most drivers welcomed connected services like Wi-Fi, remote access, or navigation. But attitudes are shifting fast. According to an S&P Global Mobility survey, only 68% of drivers now say they’re willing to pay for such features, a steep drop from 86% in 2024.
Consumers are growing wary of the subscription model, especially when it adds to an already expensive vehicle purchase. Many drivers simply don’t use these services often enough to justify another monthly bill.
What’s on Offer—and What’s Holding People Back
From semi-autonomous driving and roadside assistance to digital keys and theft tracking, the list of features available through subscriptions is growing. However, so are the costs.
For example, Ford charges between $650 and $900 per year for its hands-free driving service, after a short free trial. General Motors’ OnStar safety subscription can hit $39.99 per month. Even value brands like Kia are offering tiered subscriptions, following a free trial period, with services like EV charging maps and remote smartphone access.
Despite these offerings, price remains the top barrier. For many buyers, it’s a tough sell on top of a hefty car payment.
Automakers Offer Free Trials to Hook Customers
To ease customers in, automakers are experimenting with complimentary access periods. The hope is that drivers, once exposed to the convenience, will eventually opt in. This approach gives automakers time to refine their pitch—and figure out what drivers are really willing to pay for.
Stephanie Brinley from S&P Global Mobility summed it up well: automakers are still testing the waters. “They’re trying to figure out what consumers want, what they’ll pay, and how to bundle it.”
Innovation Drives a Second Chance at Subscriptions
The key, according to experts, may lie in new technology. Features never seen before—like hands-free navigation for highway driving or app-based personalization—are more likely to excite drivers.
Daniel Ross from Canadian Black Book notes, “It’s more about what’s new, what people haven’t had yet. That’s what gets attention.” This focus on novelty might be the industry’s best chance at winning skeptical drivers over.
Automakers See Long-Term Revenue in Subscriptions
Some brands have started sharing real revenue projections. GM expects over $200 million from its Super Cruise feature in 2025 alone—doubling by 2026. Ford, meanwhile, now has nearly 700,000 vehicles equipped with BlueCruise, its hands-free driving option.
CEO Jim Farley sees this as more than a financial play. “We’re building relationships that go beyond the sale,” he told analysts. Subscriptions, in his view, are key to long-term customer engagement.
Trickle-Down Tech: Luxury Today, Mainstream Tomorrow
Automakers believe the trend will follow a familiar path: features debut in luxury models, then reach mid-range buyers. This helps scale development while easing adoption for budget-conscious shoppers.
Ross agrees. “It’s always a trickle-down. Today’s premium perks are tomorrow’s base features.”
As more cars ship with embedded tech, expectations will change. Brinley adds, “You’ll assume these features just come with the car.” Over time, consumers may grow more comfortable with subscriptions—especially if flexibility improves.
Stay tuned to Maple Wire for more insight into the evolving world of cars, tech, and what drives tomorrow’s roads.
