Volvo rules out monthly subscriptions for heated seats, cruise control and more

Volvo isn't expecting a big future for monthly subscriptions for car features, despite some brands moving into that arena as technology develops, according to the firm’s chief executive Hakan Samuelsson.

Speaking to the FT Future of the Car summit in London, Samuelsson downplayed the revenue potential of hiding features behind monthly paywalls. “I think you need to be a bit careful and not believe that this is where you get extra revenues,” he said, instead prioritising customers getting access to the best possible tech at purchase. 

“I think our main philosophy is to develop a car with very good software and a lot of good features that will impress customers – that will make them really love your brand and buy your car,” Samuelsson continued. “If customers have to pay extra for a lot of features, I think you will just have fewer customers trying them and you will not build your brand as strongly as you should.”

But Volvo’s chief did point to opportunities for subscription offerings around elements such as the driver-safety Pilot Assist function, as well as adding and activating newer features to older cars where the tech wasn’t available at launch. That will be easier going forward into the era of software-developed cars, where systems across the vehicle are better interconnected to allow more over-the-air updates, for example. 

Brands such as BMW and Volkswagen have previously dabbled with offering features such as heated seats, adaptive cruise control and even power upgrades, but it’s yet to become more widespread. 

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