Enter EV subscriptions
Electric vehicle start-up Canoo is looking to offer EVs to customers on subscription only. The US-based company – formerly known as Evelozcity – will kick off operations on its home turf before heading to China with its ‘California EV brand’ play.
Canoo will come to market offering four models that include personal commuter and SUV-type ‘lifestyle vehicles’, as well as ride-sharing and delivery EVs for commercial use. All four vehicles will be based on the company’s ‘skateboard’ electric-car platform, with up to 300 miles of range. Manufacturing will be carried out by third parties in the US and China.
The company’s rationale for deploying the subscription model is based on EVs being maintenance-light compared to regular vehicles. That means Canoo can amortise capex over a longer period, enabling lower monthly subs charges.
Car subscriptions look to be a good idea. Volvo’s car subs-based service ran out of XC40 models just four months out of launch. The monthly fee of around $600 is all-inclusive, except for taxes and fuel.
And there are alternatives to purchase and monthly subs when it comes to EVs. Germany’s Uze Mobility is putting together a fleet of electric StreetScooters and is providing them free of charge to users, supported by advertising and the collection of road data for local authorities.