Well, I would say it SHOULD bring overall prices down. If the cost to build the top of the line model comes down to say the same as the mid-range model AND more people are say buying up. It means that competition would push overall prices down.
But of course not, it benefits the companies most, and given the choice of lower prices or more profit, they’ll choose the profit every time.
If they go subscription only (because recurring revenue is the current business buzzword, so of course they will go subscription only) then overall cost for the life of the car will definitely be higher yet “feel” more affordable.
You’re right that the idea has come from the mind boggling number of options in vehicles these days. The company I worked for recently had over a million different combinations, and making more physical parts standard fit saves them money.
However that saving is not passed on to the customer. The company pockets it all, and makes more money on top with the subscriptions.
Well, I would say it SHOULD bring overall prices down. If the cost to build the top of the line model comes down to say the same as the mid-range model AND more people are say buying up. It means that competition would push overall prices down.
But of course not, it benefits the companies most, and given the choice of lower prices or more profit, they’ll choose the profit every time.
If they go subscription only (because recurring revenue is the current business buzzword, so of course they will go subscription only) then overall cost for the life of the car will definitely be higher yet “feel” more affordable.
So long story short… They do it for their own benefit. So why would any self respecting paying customer care about any of these reasons?
Pretty much how it always works with business.
yes so why should end user care about any of it besides price?
You’re right that the idea has come from the mind boggling number of options in vehicles these days. The company I worked for recently had over a million different combinations, and making more physical parts standard fit saves them money.
However that saving is not passed on to the customer. The company pockets it all, and makes more money on top with the subscriptions.