Toyota has motioned to join other automakers in capitalizing off of subscription-based vehicle features. Makers such as Mercedes, BMW, and Tesla have locked certain vehicular features behind monetization. Now, as of 2021, Toyota owners who want to remote start their car from the key fob will need to pay a fee of $8 per month or $80 per year, which saves $16 annually over the monthly option. This subscription is only required for newer Toyota models as the maker has stated that it only applies to 2018 models and onwards.
While this feature was technically in effect since 2018, Toyota owners were mostly unaware that the feature would only be free for three years, because this was in fine print and not openly discussed by Toyota. This feature only applies to 2018 and newer models because of their enhanced connectivity over the previous years' models. It is important to note that, while remote start will now be a paid feature, remote locking and unlocking will remain free.
Image Credit: Toyota
Why This Trend Is Growing
- Subscription-based Vehicle Features
- Automakers are increasingly monetizing certain features of their vehicles through subscription-based services.
- Connected Car Services
- The use of advanced connectivity and software features in vehicles is leading to the development of new subscription-based services for car owners.
- Automotive Subscription Economy
- The trend of subscription-based vehicle features is contributing to the growth of a larger automotive subscription economy, which could disrupt traditional ownership models.
Industries Being Reshaped
- Automotive
- Automakers are increasingly experimenting with subscription-based services as a way of generating new revenue streams and building customer loyalty.
- Technology
- The development of advanced software features in vehicles is creating opportunities for tech companies to partner with automakers in offering new subscription-based services.
- Services
- The trend of subscription-based vehicle features is leading to the growth of a new market for connected car services, which could provide disruptive innovation opportunities for service providers.
