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File photo of Range Rover Evoque.
File photo of Range Rover Evoque.

Now driving a Range Rover can be like subscribing to Netflix. Here's how

  • Jaguar Land Rover has said that it expects subscription services to account for almost 10% of all car sales in the US and Europe by 2025.

A startup backed by Jaguar Land Rover is introducing a vehicle-subscription program to attract affluent millennials who don’t want to buy or lease a car.

Pivotal, supported by JLR’s InMotion venture-capital unit, will offer a six-month subscription for drivers in mainland UK starting at 750 pounds ($934) a month for a Land Rover Discovery Sport or Range Rover Evoque, according to the company’s website. The top-of-the-line Range Rover will cost 1,600 pounds a month. The payment will cover tax, maintenance and insurance, and customers can cancel their subscriptions after three months, Pivotal said.

Other companies have announced similar programs: Volvo Car AB is introducing a subscription service, Care by Volvo, in September. London-based startup Drover Ltd. has partnered with BMW AG to offer an alternative to car ownership. And in the US, Volkswagen AG’s Audi unit offers subscriptions for its cars, starting at $1,495 a month.

(Also read: Tesla's self-driving may be like Netflix subscription service. Here's the cost)

Daimler AG’s Mercedes-Benz brand introduced a US subscription service in 2018, but pulled the plug on the two-year-old pilot, Automotive News reported last month.

With new car sales plunging amid the coronavirus pandemic and people reluctant to return to public transportation, carmakers are looking for ways to spur demand. Jaguar Land Rover, owned by Tata Motors Ltd., said in a statement that it expects subscription services to account for almost 10% of all car sales in the US and Europe by 2025.

This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.

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