automotive

Nissan Tests Vehicle Subscription Service

Drivers can switch their vehicles every day if they sign on to a vehicle subscription service Nissan North America is testing in the Houston area. 

Called Nissan Switch, the program offers a variety of vehicles, including the all-electric Nissan Leaf Plus, Titan pickup and GT-R. There is no long-term contractual commitment. Customers can enroll at www.nissanswitch.com through August 2020,

The program is a way for automaker to test alternatives to the notion of traditional mobility, without long-term financial commitments for customers, says Andrew Tavi, vice president, legal, external affairs and business development, Nissan North America.

”This program provides more choice, convenience, and flexibility,” Tavi says in a release. “For those who want a sedan during the week and an SUV or sports car, like the GTR, on the weekends, Nissan Switch provides the solution.”

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Nissan is working with Central Houston Nissan to administer the program. A dealership concierge member will deliver the vehicle anywhere within the service area and will help transfer items from car to car. The concierge also offers to walk around the vehicle at the time of delivery and answer any questions about key features.

As for marketing, a Nissan spokesperson says the automaker is managing in-market support, focusing on targeted social media ads.

The program offers vehicles that represent the latest model year featuring well-equipped trim levels. Some include driver-assist technology, allowing shoppers to try features like Nissan ProPilot Assist.

The program is powered by Clutch, which is Cox Automotive's subscription technology platform.

There are several tiers to Nissan's subscription services, with the ability to switch tiers each month.

For a $495 membership activation fee, the monthly subscription includes the vehicle (unlimited switches, as often as a new vehicle each day), delivery, cleaning, insurance, roadside assistance, and regular maintenance. 

For $699 per month, customers can opt into the Select program which includes Altima, Rogue, Pathfinder and Frontier.

For $899 per month, the Premium program includes all of the Select vehicles plus Leaf Plus, Maxima, Murano, Armada, Titan and 370Z. To add the GT-R to the mix, customers pay $899 per month with an additional $100 per day with 7-day consecutive maximum use.

Cars.com previously priced 10 car subscription plans from five programs — Access by BMW, the now-defunct Book by Cadillac, Care by Volvo, Mercedes-Benz Collection and Porsche Passport — against the cost to lease, insure, maintain and pay associated taxes and fees on typical cars in those respective plans.

Cars.com found that besides Care by Volvo, which starts at $650 a month, subscription programs run anywhere from 28% to 102% more per month than the equivalent cost to lease, insure and maintain a typical car — and that doesn't account for the onetime fees to join such subscription plans, which range from $495 to $575.

Cadillac executives said last year the company was considering bringing back its subscription program. 

"The perk of ordering a different car that shows up squeaky-clean to replace your current ride should appeal to brand enthusiasts, and one-size-fits-all insurance means you don’t have to shop around," Cars.com noted.

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