logo
Study Reveals Over Half Of Americans Are Open To A Car Subscription Instead Of Purchasing

Study Reveals Over Half Of Americans Are Open To A Car Subscription Instead Of Purchasing

Auto Blog13-05-2025
It seems the same model used for the iPhone may be attractive to drivers, too.
It seems the same model used for the iPhone may be attractive to drivers, too
A new study suggests drivers are increasingly open to a subscription model for their next vehicle, which would upend car ownership. Rather than purchasing, financing, or leasing a car, drivers have become curious about the scheme many use to get a new phone every 12 to 24 months. Almost half of the respondents say that if tariffs increase car prices dramatically, they would explore the option diligently.
The concept is nothing new; a car subscription model has been floated several times, most often by Silicon Valley startups looking to 'disrupt' car ownership. Other models, like Zipcar, a subsidiary of car rental company Avis, allow drivers to share their vehicles with those who don't own vehicles for a nominal rental fee.
2026 Honda CR-V TrailSport —
Source: Honda
Almost 60 percent of drivers are open to a car subscription service
Extreme Terrain notes that 'nearly one in two Americans' are open to a car subscription model instead of buying or leasing their next vehicle. Another ten percent are interested only if insurance and vehicle maintenance are included. Forty-six percent are 'more likely' to explore a car subscription if tariffs cause vehicle prices to spike.
Automakers may be to blame for this, too. Twenty-two percent of drivers are fatigued by the ever-expanding required subscriptions for things like navigation, in-car WiFi, and remote start, and feel that a subscription that includes the car is a better choice. Twenty percent say they'd be willing to pay 'over $600 per month' for a subscription, too. Almost 75 percent of respondents say the lack of a long-term financial commitment makes a vehicle subscription attractive, with two-thirds saying they'd want the option to cancel at any time. Over half (58 percent) say the ability to swap vehicles based on need interests them.
2026 Subaru Outback —
Source: Subaru
Toyota (57 percent) and Honda (50 percent) are the brands most respondents are interested in, with Subaru a distant third (31 percent). BMW, Lexus, Hyundai, Nissan, Audi, Ford, Jeep, Mercedez-Benz, General Motors, Kia, Mazda, and Volkswagen all rank between 20 and 27 percent. Unsurprisingly, the car company most often associated with disruption and technology-over-tradition, Tesla, ranked dead last – but did rank highest amongst Gen Z and Millennial respondents.
Thirty-six percent of respondents want an ICE vehicle, while 28 percent would prefer a hybrid. Twenty-two percent had no preference, and only 14 percent said they'd want an electric vehicle via subscription. Gen X was most interested in ICE vehicles (47 percent), while baby boomers (41 percent) and Gen Z (33 percent) were most interested in hybrids.
Why a subscription wouldn't work
Succinctly, people are viewing the vehicle subscription as a monthly fee to rent a car with more benefits. Though most say they'd pay $600 per month for an all-in subscription, many (20 percent) also say they'd want to switch vehicles every six months. Respondents also noted they wanted to be able to change vehicles at any time based on need. This sounds like a flat fee for long-term rentals with the ability to swap your vehicle out anytime.
Three percent would want to swap vehicles monthly, and 36 percent would be happy to subscribe to the same vehicle for a full year. Thirty-one percent say they'd be happy keeping the same car indefinitely via a subscription. Only 26 percent of respondents said they would want access to luxury vehicles, suggesting they want a daily driver that costs about the same as a leased or financed vehicle without the responsibility.
BMW M235i xDrive —
Source: BMW
Final thoughts
A car subscription is a novel concept, but it is untenable for whatever company owns the cars. Six hundred dollars per month is $20 per day, and for a 'daily driver' vehicle like a RAV4, which currently rents for double that amount via Avis for a 30-day rental period, that cost doesn't make much sense. A subscription model might work for entry-level vehicles, but it's hard to see how it would actually work for most drivers or the company that owns the vehicles.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

How Honda's New Insurance Service Benefits Car Owners
How Honda's New Insurance Service Benefits Car Owners

Auto Blog

time4 hours ago

  • Auto Blog

How Honda's New Insurance Service Benefits Car Owners

By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. This special example of the Ruf CTR 'Yellowbird' is a heavily personalized example with a very interesting backstory. It's the only part of the car that isn't specially-developed, and even so, it's been modified for use in the Bug. You can lease a new 2025 CX-70 or CX-70 hybrid for less than $500/month. Car insurance is Honda's latest product offering, but other carmakers offer it as well While you might look to Honda or Acura to supply your next car, you can now also turn to them for auto insurance. Like an increasing number of automakers, Honda is getting into the auto insurance business with the launch of Honda Insurance Solutions in all 50 states. 0:08 / 0:09 GM sued for selling driver data to insurers Watch More 2026 Acura Integra — Source: Acura 'Insurance is a key touchpoint in the vehicle ownership journey,' said Petar Vucurevic, President, American Honda Insurance Solutions, LLC, and Senior Vice President, American Honda Finance Corporation. 'Honda Insurance Solutions offers customers access to coverage through a brand they know and trust.' Honda announced last week that it plans to begin offering coverage for automobiles, motorcycles, RVs, homes, and more. The automaker will be working with insurance company HUB International Limited through its digital brokerage VIU. It's the first step in Honda's broader insurance strategy, with future plans to integrate insurance into digital vehicle sales platforms. The company also plans to offer auto insurance with optional OEM parts coverage that ensures claim repairs are made using Honda and Acura parts. 2026 Honda HR-V EX-L — Source: Honda 'We aim to deliver a superior experience tailored to the unique needs of each customer,' Vucurevic said, adding, 'This is just the beginning of our vision for Honda Insurance Solutions that will see insurance integrated throughout the Acura and Honda digital customer journeys.' Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Honda joins a growing list Honda's foray into insurance is far from an anomaly, as other automakers have offered insurance for some time. Tesla Insurance arrived in 2019 and bases pricing on a safety score derived from driving habits. It provides savings when you cover more than one Tesla and promises to be 20% to 30% less expensive than other insurance. 2025 Ford Escape — Source: Ford By the following year, Ford Motor Company partnered with Nationwide Mutual Insurance to launch Ford Insure for owners of 2020 and newer Ford vehicles, offering car, home, and pet insurance. The company uses its FordPass Connect modem telematics system to monitor driving behavior and award safe driving discounts to its car insurance rates. It also offers bundling discounts. General Motors knew a good idea when it saw one, launching OnStar Insurance in November 2020. It rebranded to General Motors Insurance in 2024 with policies underwritten by American Family Insurance. In addition to providing deductible waivers and accident forgiveness to safe drivers, it also gives GM car owners loyalty discounts. GM Insurance also provides coverage for non-GM vehicles as well as home, renter, and condo insurance. 2026 Cadillac OPTIQ-V — Source: Cadillac Electric automaker Rivian offers Rivian Insurance, underwritten by Nationwide Mutual Insurance, Progressive Casualty Insurance, and Cincinnati Insurance or their affiliated companies. Coverage can also be obtained for your home, boat, camper, and other vehicles in addition to user-based coverage linked to the vehicle's Driver+ driver-assistance technology. Foreign automakers also offer policies It might surprise you to learn that Toyota has been offering insurance to consumers through Toyota Insurance Management Solutions since April 2016. Marketed as Toyota Insurance, the company partners with 27 providers nationwide, giving customers a fair number of options. As with other automakers, you can insure more than just your car. 2025 Mercedes-AMG GLC 63 S Coupe — Source: Mercedes-AMG Mercedes-Benz USA, in collaboration with Liberty Mutual, provides insurance tailored to Mercedes-Benz drivers through Mercedes-Benz Financial Services. It provides discounts based on telematics-based driving behavior monitoring, just like other automakers. Porsche also offers Porsche Auto Insurance, in partnership with Mile Auto Inc. Launched in 2019, pricing is partially determined by the number of miles driven. Policies provide priority status at Porsche-approved collision centers for Porsche vehicles 1981 and newer, using Porsche parts. It's currently available in Arizona, Georgia, Florida, Ohio, Oregon, Tennessee, and Texas. Source: Porsche Final thoughts If you decide to opt for an automaker's insurance policy, make sure the perks are worth the price. Keep in mind that some automakers offer their insurance in just a handful of states, while others are available nationwide since insurance is state-regulated, not federal-regulated. However, before opting for any insurance policy, make sure to compare quotes from multiple insurance providers to ensure you are getting the best coverage and rates for your money. About the Author Larry Printz View Profile

Tinder users warned over new profile picture changes
Tinder users warned over new profile picture changes

Western Telegraph

time5 hours ago

  • Western Telegraph

Tinder users warned over new profile picture changes

The dating app launched in 2012 and is now the world's most-used app with about 50 million users per month. However, in a new update message sent to users, Tinder has warned those seeking love will be restricted to "limited access" if they do not make sure their profile pictures are clear. The new update was rolled out at the end of July and is coming soon, so users must act fast. Tinder users warned over new profile picture changes A message sent to Tinder to its users reads: "At Tinder, we're always working to create a safer and more fun space for everyone. "That's why, in 30 days, we'll be rolling out a new profile requirement: all profiles will need to have a clear photo where your face is fully visible. "After all, authentic connections start with being able to see who you're connecting with. "If you're profile already has a clear face photo, you're all set. "If not, now's the perfect time to add one so you can keep enjoying all of Tinder's features. "Without a face photo, you'll have limited access to some features until one is added." Users will need to upload at least one clear photo of their face if they don't already have one and using automated technology Tinder will estimate whether a user appears to be 18 or older. In cases where we can't confirm age, Tinder says the account may be "temporarily restricted" while a manual review is completed or further verification is requested, such as an ID check. Tinder says users undergoing this process won't be visible to others and will have limited functionality until the review is complete. New Tinder 'double date' feature The news is not the only change to Tinder in recent weeks, with it launching a new double date feature last month. Users who activate 'double date' can select up to three friends to create a pair with. Pairs can then 'swipe right', or like other pairs on the app, with just one like per pair needed to form a match. If there is a match, then a group chat is launched for pairs to message and organise a date. Recommended reading: Tinder said it was drawing in young people and women looking for a more social and low-pressure way of meeting people. The platform has also been ramping up efforts to retain women and Gen Z users following the Covid pandemic, growing safety concerns and a broader shift in the way younger people approach dating. This has included rolling out additional safety features such as ID verification and 'share my date', which allows users to share details of their date, including the time, place, and a photo of their match, with friends and family.

Two common iPhone mistakes that are killing your battery
Two common iPhone mistakes that are killing your battery

Daily Record

time6 hours ago

  • Daily Record

Two common iPhone mistakes that are killing your battery

Apple's guidance highlights that all iPhones have a set 'battery life' which bad habits can damage iPhone users could be inadvertently damaging their battery by simply doing two things that many may do without giving it a second thought. ‌ While each new iPhone model tends to boast a better battery life than its predecessors, this does not mean you should squander money on a replacement every time your battery starts to deteriorate. Apple's guidance emphasises that all iPhones have a predetermined 'battery life' which determines how much charge they can hold before needing a recharge. ‌ Over time, this battery life begins to decline as the battery itself starts to wear out. While it is inevitable that a battery's life will degrade, you can slow down the process by breaking some bad habits. ‌ iPhone practices ruining your battery life Frequently charging it to 100 per cent It's quite common to charge your phone overnight to ensure that it's fully charged and ready to use as soon as you wake up in the morning. However, it is generally advised to keep the phone's battery between 20% and 80% as a constant input of high power can accelerate the process of your battery degrading. ‌ Fortunately, many iPhones now come with a built-in feature to help ensure that your phone's battery is always optimal. Any iPhone with iOS 13 and later can enable Optimised Battery Charging, which pauses charging at 80% then resumes it to 80% just before the phone thinks you will wake up. You can ensure battery optimisation is turned on your phone with the following steps: Closing apps you are not using Article continues below Closing apps you are not using might seem like a good idea to make your phone run more efficiently, but this is actually a misconception. Apple's own advice states that you "should only close an app if it's unresponsive". This is due to the iPhone's operating system being adept at managing background apps, and constantly closing and reopening apps can put unnecessary strain on the phone's components, including the battery. Further guidance on battery health can be found through Apple here.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store