Mercedes halts its car subscription service after lackluster demand

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There were problems, though. Chamberlain noted that the novelty of switching cars became a hassle for some customers as they were tired of constantly switching personal items between cars. The service could easily become too costly to run without frequent swaps. Companies may need to offer cars as short-term rentals and loaners for this to make sense.

This doesn’t mean the trial run was a waste. The company has a “mountain of data” that could help it tailor sales and services to a younger crowd, Chamberlain said. However, it does suggest that car subscriptions aren’t guaranteed to be hits. It may depend on having a brand where car swaps make more sense, like Porsche, or following a Volvo-style single vehicle approach.

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