Home » VW Locks 27hp Behind Paywall Would You Subscribe?

VW Locks 27hp Behind Paywall Would You Subscribe?

VW I.D3
Image credit: volkswagen-newsroom.com

Most of us are used to paying for subscriptions to streaming movies, music, or even newspapers. But would you pay a monthly fee to unlock more power from your car? That’s the question Volkswagen is testing in the UK, where it has launched a subscription service for extra horsepower in its ID.3 electric hatchback.

The ID.3 Pro and Pro S models come standard with 201 horsepower. However, the cars are built with the ability to deliver more, and for a monthly fee of £16.50 (about $22), you can get access to another 27 horsepower, raising the total to 228 hp.

VW I.D3 interior.
Image credit: volkswagen-newsroom.com

There is an option for an annual payment of £165 (about $223), or a one-time lifetime charge of £649 (about $879), to unlock the extra power. The upgrade is activated through software and does not require a trip to the dealer.

Volkswagen says the option gives drivers flexibility. Customers can choose the lower price at the time of purchase and decide later if they want more power. For lease customers, it may also make sense to subscribe for the period they drive the car rather than paying for a permanent upgrade. If the lifetime option is chosen, the upgrade stays with the car even if it changes owners.

This is not the first time carmakers have experimented with subscription features. BMW tested charging for heated seats, and Mercedes-Benz has offered a paid boost to acceleration in EQ models but got little interest from customers.

VW I.D3 GTX Performance
Image credit: volkswagen-newsroom.com

I think Volkswagen is just testing the water in the UK, and if the idea and the business model work, it will extend the service to other models and countries. They believe this new model could give buyers more choice and spread costs out over time. However, Critics argue that if the technology is already in the car, it should be included in the purchase price.

The move reflects a larger shift in the auto industry. As more vehicles rely on software, manufacturers have the opportunity to sell features and updates after the car has been purchased. With subscriptions, they could generate monthly recurring payments for services and generate a steady income without selling a car.

The big question is whether drivers will view extra horsepower as a service worth paying for or a fundamental part of owning the car.

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