BMW Vehicle Subscription Service Pricing Revised

[Jason]

BIMMERPOST NEWS

BMW Subscription Service Pricing Revised

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Woodcliff Lake, NJ – August 1, 2018… Access by BMW, the vehicle subscription service from BMW Financial Services, now offers customers in its Nashville-area pilot program greater choice with a new membership tier and enhancements to the two tiers that launched previously.

The new Icon tier, priced at $1,099 per month, allows customers to enjoy a diverse array of BMW vehicles, from core models like the BMW 3 Series to exciting new Sports Activity Vehicles like the BMW X2. The Icon tier includes all of the same great benefits as the other tiers, including unlimited swaps, vehicle maintenance, insurance, and BMW Roadside Assistance. Registration is now open with vehicle deliveries to begin in a few weeks.

The BMW M tier and Legend tier, both of which launched the Access by BMW program in April 2018, continue to evolve. BMW M tier members can now also request vehicles from the Legend and Icon tiers, while Legend tier members can now also request vehicles from the Icon tier.

Pricing for both the Legend tier and the BMW M tier has also been revised.

The BMW M tier, which includes the BMW M4 convertible, the all-new BMW M5, the BMW M6 convertible, and the BMW X6 M, is now priced at $2,699 (compared with $3,700 per month previously).

The Legend tier, which includes the BMW 4 Series, BMW 5 series, BMW X5, and BMW M2, is now priced at $1,399 per month (compared with $2,000 per month previously).

The newIcon tier includes the BMW 330i, plug-in hybrid BMW 330e, fully-electric BMW i3, all-new BMW X2, and BMW M240i convertible. It is priced at $1,099 per month.

Access by BMW is powered by Clutch Technologies. For more information, or to sign up, download the official Access by BMW app or visit www.AccessbyBMW.com.

[Thescout13]

This may be a good option for me or the wife in the future. Interested to follow the pilot results.

[wdeerfield]

that didnt take long to realize 3700/month was way too steep

[ASAP]

$2700 a month for the M pack...

lol gtfoh w that...

thats an M5 and M3 lease together effectively...

or 3 M3s

[esquire]

This pricing is a joke.

[Costello1991]

What a bunch of crooks

[mbchris]

Originally Posted by esquire

This pricing is a joke.

No, it's an attempt to see what the market will bare.

[Laki021]

One more ~50% reduction and it might start to make sense...

[f82fanatic]

This will never work unless they get really close to the pricing one could get when walking into a dealership. Not talking about Bimmerpost or Leasehackr pricing, which is obviously much lower.

In Europe, banks/car companies offer a similar system called "renting" (at least they call it like that in Spain) which offers all of these benefits except for the unlimited swaps.

The unlimited swaps is a benefit that feels like a luxury that most people won't be interested in.

[f82fanatic]

Originally Posted by mbchris

No, it's an attempt to see what the market will bare.

It's a terrible way of testing if that is the case. Do some research, analyze some data before coming out with an offensive set of pricing tiers.

[Transfer]

Getting closer with that legend tier. M2, 440i vert, or M550i options in summer and X5 50i in winter sounds like a pretty good set of cars. Unless I'm missing that "series" means 4 bangers only.

[orangeglim]

Maybe I'm missing something, but it doesn't seem all that unreasonable to me. With this I wouldn't have to pay yearly vehicle registration fees, yearly vehicle personal property taxes, insurance, maintenance, etc. For an M2 coupe at $1400 a month the math would probably work out to be not that much more over buying the car yourself, but with the added convenience.

[mkoesel]

I feel as though this model might become attractive to enthusiasts if it allowed you to switch at will between a passenger car and a similarly priced SUV.

It seems to me that most people won't be willing to pay such a premium just to be able to swap between a number of different BMWs of different shapes and sizes. However, if the premium were lowered and the terms included the ability to switch from a single coupe/convertible/sedan model of the customer's choice (2/3/4/5/6/7/8 Series + M equivalents) to a single, similarly-sized SAV of the customer's choice (X1/X2/X3/X4/X5/X6/X7 + M equivalents) that might be an attractive arrangement.

This would allow you to, for example, drive the more dynamic car during the warm months and switch to the SAV for the winter. Or, perhaps you'd use the cargo space of the SAV more when going on a trip or during your child's sports season.

[M3 Adjuster]

Originally Posted by mbchris

No, it's an attempt to see what the market will bare.

I like the way you spelled that. ..

[Ibiza]

Originally Posted by Thescout13

This may be a good option for me or the wife in the future. Interested to follow the pilot results.

How is this a good option? It's only for 1 vehicle at a time. Maybe the states with higher sales tax, such as Texas that wants total sales tax upfront even when leasing.

The revised M tier at $2,700, I'm still below this for my F83 ZCP and F85 lease combined monthly payment exclusive of insurance. Over 12 months the savings offsets the insurance and tax deductible property taxes.

BMW needs to drop the M tier below 2k for market traction.

[mbchris]

Originally Posted by f82fanatic

It's a terrible way of testing if that is the case. Do some research, analyze some data before coming out with an offensive set of pricing tiers.

Well, that is your opinion. I think it's fine. Better than starting at $500 and increase it by $100 a month until people drop out. That would really pee people off.

[Thescout13]

Originally Posted by Ibiza

How is this a good option? It's only for 1 vehicle at a time. Maybe the states with higher sales tax, such as Texas that wants total sales tax upfront even when leasing.

The revised M tier at $2,700, I'm still below this for my F83 ZCP and F85 lease combined monthly payment exclusive of insurance. Over 12 months the savings offsets the insurance and tax deductible property taxes.

BMW needs to drop the M tier below 2k for market traction.

Yeah I didn't mean right now, I meant in the future. If it gets to a point where it's a no brained and you can switch cars every other day/week. May keep one of our cars as the ED every three years lease and the other as the rotator to fit our mood.

[10"]

This is priced for people who are clueless to the market. Rich people are too smart to buy this and not-so-rich people cannot afford it.

[lemetier]

Originally Posted by mkoesel

I feel as though this model might become attractive to enthusiasts if it allowed you to switch at will between a passenger car and a similarly priced SUV.

It seems to me that most people won't be willing to pay such a premium just to be able to swap between a number of different BMWs of different shapes and sizes. However, if the premium were lowered and the terms included the ability to switch from a single coupe/convertible/sedan model of the customer's choice (2/3/4/5/6/7/8 Series + M equivalents) to a single, similarly-sized SAV of the customer's choice (X1/X2/X3/X4/X5/X6/X7 + M equivalents) that might be an attractive arrangement.

This would allow you to, for example, drive the more dynamic car during the warm months and switch to the SAV for the winter. Or, perhaps you'd use the cargo space of the SAV more when going on a trip or during your child's sports season.

That's exactly what it does. The initial pilot pricing was high due to the unknown when it comes to insurance liability. Now that there is a better grasp of what those costs are and the sudden increase in luxury rental choices in Nashville, the price has come down. It's actually much cheaper than Avis, Hertz, Enterprise Exotics, or any of the local private rental companies. I bought (and quickly sold) the only exotic rental company there (at the time) a few years ago for basically nothing, and the model for this is following exactly what I had anticipated for the market.

There's enough cars in the fleet to accommodate a daily swap meaning, one could do an M5/M760i during the week, swap to an X5M if the extra space is needed, then drive an M4 or M6 conv on the weekend.

Just as a comparison, the only Dream Car in Hertz' Nashville fleet is a C63 and with my heavy Corp discount, the lowest I can rent it for is $107.10 per day with full coverage insurance and 75miles/d included.

[mose121]

$1,100/mo for 2 & 3 series cars? The costs just don't seem to make much sense. All you're paying for is access to different models, many of which would be significantly cheaper to just lease and pay for yourself including insurance and maintenance costs. I have a loaded up '16 F80 M3 ZCP with a $100k msrp and all in with insurance, tire replacements, etc, I'm under $1,300/month in total avg costs. No way in hell would I pay $1,100/mo to drive cars with a monthly payment that is half of what I pay now. Icon tier may make sense in the $600-750/month range. Legend tier needs to be under $1,000/month. And the M tier needs to be split into two, one with the M3/M4/X3M/X4M at $1,250/month, and one with the M5/M6/M8/X5M/X6M at $1,500/mo. That is a simple and reasonable pricing structure with incentive for clients to pony up. Also, these cars better be loaded up with every single available option to command those prices.

[gatorfast]

Originally Posted by Ibiza

How is this a good option? It's only for 1 vehicle at a time. Maybe the states with higher sales tax, such as Texas that wants total sales tax upfront even when leasing.

The revised M tier at $2,700, I'm still below this for my F83 ZCP and F85 lease combined monthly payment exclusive of insurance. Over 12 months the savings offsets the insurance and tax deductible property taxes.

BMW needs to drop the M tier below 2k for market traction.

Agreed the pricing is still way too high and simply doesnt make sense when you could lease two vehicles and still come out on top of this program.

[mose121]

Originally Posted by orangeglim

Maybe I'm missing something, but it doesn't seem all that unreasonable to me. With this I wouldn't have to pay yearly vehicle registration fees, yearly vehicle personal property taxes, insurance, maintenance, etc. For an M2 coupe at $1400 a month the math would probably work out to be not that much more over buying the car yourself, but with the added convenience.

I'm under $1,300 per month avg all in on a $100k msrp F80 M3 ZCP. Excluding gas of course.