this post was submitted on 07 Sep 2023
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HA, I read the title and thought "what is going on? I love my seat warmers" - I completely overlooked the word subscription because it is absolutely absurd that there would be an ongoing cost to the consumer for a feature that provides no ongoing cost to the manufacturer.
The cost of things has detached from what it costs to put the thing in the hand of the consumer, to instead a model of "what is this worth to you".
Under capitalism it's always been the case of"what is this worth to you". The difference is in the past if a company overcharges then a competitor could come along and undercut them (so long as the gap was big enough that it made financial sense).
Unfortunately, monopolies, regulatory/government capture, vertical integration, marketing and cartels have gotten so far out of control that consumers are left with little choice but to suck it up. And most governments in the Anglosphere don't really care.
Are you suggesting the automobile market is a monopoly?
No, we are suggesting that the automobile market is one of the few industries that isn't a monopoly yet, which is why BMW couldn't get away with it.
But also, the automobile market is getting more concentrated so it won't be long until the 4 companies left legally collude to force this stuff on us. Just like every other industry.
Gotcha. Misread.
No, not everything in that list applies to every industry. The car market isn't a monopoly, but it definitely has issues with government and regulatory capture (and perhaps others, I'm not expert in auto manufacturing). But even without those issues the nature of car making today gives it a high barrier of entry for new comers.
And as others pointed out, the fact it's not a monopoly leads to more unpopular ideas being scrapped.
Yeah we’re reaching the point where it becomes clear that the market can’t bear everyone charging the most the market can bear.
People will pay extra for a luxury. People won’t pay the most they’re willing to pay on a luxury on every luxury they’ve gotten accustomed to at a reasonable price.
I hope you're right, but I've seen a concerning amount of people say "It's only $X, so why not?" so many times that it's eating up a huge percentage of their monthly earnings.
It occurs to me that all of these feature subscription models never seem to mention maintenance. Is that correct? Like, Ford wants to make a car that will deactivate the radio and blare annoying noises at you like you're a fucking cat if you miss a payment, BMW and Lexus are gating performance and heated seats behind subscriptions and paywalls... But all you get is access. They arent going to fix the heated seats if a coil burns out. They aren't going to fix a spun bearing you incur while using the extra performance you paid for. They aren't going to repair a blown transformer in the radio. So you are literally paying for nothing. I am so glad I have an '07 Mustang Convertible. If I keep it maintained and looking good, the value will skyrocket when they actually standardize all of this abusive shit.
Of course, then somehow "Cash for Clunkers" will come back and be even less "voluntary" and suddenly most cars made before ~2018 will be removed from the road and bricked.
Your 07 mustang is ICE so in the next 3 decades will lose all value.
No, it'll become a hot enthusiast pick when everything is electric, especially if it's a manual. There are a lot of car enthusiasts who swear by the "feel" of an ICE sports car.
How would you get fuel for it?
This is what a warranty is for.
Not all warranty is lifetime.
True, but not the point
It is the point when the subscription is paid for lifetime, but the warranty is not.
A subscription fee might make sense if it came with warranty coverage. If the fee is for using some heating elements you already have, but no promises they will actually keep working, then you are paying for something that doesn't track any associated expense incurred on the supplier.
Is your point that warranty is part of the cost of the car and so they've already paid a substantial portion (for the lifetime of the car) of "the subscription"?
So you get free access to the features after the warranty runs out?
I suppose not, but you are mixing two things: a subscription fee and a warranty. They are differnt things.
I obviously agree that a subscrition model for a car hardware features, even if backed by software, is stupid but you are not paying to have it repaired if broken, you are paying for another thing: the use of it no matter how stupid the thing may be.
OP knows they aren’t the same thing. Their point was that if the subscription model came with promise of repair, maybe there’s a purpose/value in it for the consumer. But without that, it’s pure greed.
Close to my original point. It's more like "I'm paying you every month and I am going to have to pay exorbitant repair fees so I can keep paying for the privilege of using it."
The "ongoing cost" is manufacturing diversity. It costs more money to put heated seats in one car and not in another than it does to put them in all of them and allow the people who want them to simply pay to activate them.
That being said, it is a fixed cost, and should be a one-time purchase. Or at least offered as an option. At least Tesla does this correcrly.