Volkswagen offers electric cars on a subscription basis for €499 per month

Service subscriptions have long been commonplace. But car giant Volkswagen has started offering electric cars on a subscription basis.

What is known?

The offer is valid for ID.3 and ID.4 vehicles with an electric motor. In addition to the vehicle itself, Volkswagen customers get a full service package, including service and insurance.

Company representatives said that the launch of the AutoAbo service is a major step towards the implementation of the new business model (2.0). Volkswagen is planning to move away from the concept of a conventional vehicle manufacturer and become a full-fledged transport service provider. The new business model includes the launch of autonomous public transport, the sale of new features through over-the-air vehicle software updates and carsharing.

Subscription is focused on motorists who do not wish to own a car on a permanent basis. The company believes subscriptions and short-term contracts will account for 20% of total revenue by 2030.

What about pricing?

Subscriptions start at €499, but there are nuances. In particular, only ID.3 and the AutoAbo Plus tariff (six months) are offered for €499. With a subscription of three months (minimum) the price will be €589 per month. For auto ID.4 you have to pay €649 and €739 respectively.

For now, the service is only available in Germany. Volkswagen's first customers will receive the ID.3 and ID.4 electric cars in a complete package that have been "briefly used". The price includes taxes, insurance, maintenance and other services. Charging for 800 km/month is free. The owner pays only for electricity. More details on the price list can be found here (automatic PDF download).

Source: ComputerBase