Bound to Fail

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They tell us vehicle subscription programs are the next wave of the future — that they are going to round up all those millennials and lead them into dealerships. Volvo, Cadillac, Lincoln, and Hyundai think so, and virtually every other manufacturer is getting set to follow their lead.

But lurking in the background are the usual suspects plotting new ways to disrupt the traditional car sales model.

So let me go on record today — while the hysteria is still fresh — and say subscription services will crash and burn within the next couple of years. Things will start out nicely, with manufacturers throwing crazy amounts of money at these programs. But then, just as they start to gain momentum, the entire mess will come crashing down under its own weight.

Read the whole article here on F&I and Showroom.

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