BMW2go launched the program in response to a survey it conducted which found very high interest in cars-sharing for millennia ... l who have cut-the-cord to car ownership and among a younger generation of cord-never drivers that view maintaining their own vehicle as a hassle. By bringing dealerships into the mix and providing local dealerships with their own branded user interface where subscribers to the Car Share service are dealing with their hometown dealers – BMW2go clearly views the car sharing phenomenon as a pre-sales opportunity for auto dealers and car manufacturers. The arrangement is “designed to more fully explore that opportunity for car executives to reach for another sales channel with the potential of higher margins and increased brand loyalty” says Reynolds as drivers come into the dealer showroom more often to exchange vehicles whenever the wow factor wears off or blocks of miles expire. BMW2go works by allowing customers to obtain cars and service from their local dealers, meaning there’s already a sales conversion opportunity just from getting bodies in the door. BMW2go Vice President of Subscriber Services Regina Kerr explained during a town hall meeting with local auto executives that automakers like car sharing services because they see them sort of as extended test drives, and the BMW2go program is a logical extension of that view. But given the motivation behind the program, it’ll be interesting to see if BMW's own-branded offering can truly compete with other offerings from companies like CAR2GO which are designed much more clearly around serving customers without the secondary sales motivation. Still, startups in this space should watch the effort closely, in case other manufacturers decide to follow suit, which could quickly crowd the space. read more
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