Owning a car is a huge commitment. Usually, you’ll have to place a downpayment and sign for a long term car loan. What if car ownership can be as easy as subscribing to something like Spotify and Netflix? It appears that Renault distributor, TC Euro Cars, is currently running a subscription service trial and there might be a possibility of it being offered for the general public.
According to Paul Tan, the Renault Subscription Pilot is currently offered exclusively to employees of Tan Chong Motor Holdings, Warison Tan Chong Holdings and APM. There are two models on offer – Captur and Koleos.
The Renault Captur compact SUV which retails for RM107,980 is going for RM999/month which is more affordable than a typical monthly instalment amount on a 9-year loan. If you’re looking for something bigger, they are also offering the Renault Koleos that’s going for RM1,999/month for the 2WD version (RM173,840) and RM2,399 for its Signature 2WD model (RM187,614).
Like a typical subscription service, there is a 30-day free trial which is offered from now until 30th June. TC Euro Cars are said to be offering several tenure options such as 6-months, 1-year and 2-years, and apparently, customers are allowed to terminate at any time.
Although you don’t have to place a downpayment like typical car ownership, the subscription program will require a security deposit of RM2,500 for the Capture and RM3,500 for the Koleos. The monthly subscription will include insurance and road tax as well as scheduled servicing cost for every 10,000KM. For items that are subjected to wear and tear such as tyres, brakes and dampers, they are not included in the subscription fee.
We managed to find a cache copy of what appears to be the subscription pilot program and it appears that the Renault SUVs are offered in collaboration with GoCar, a car-sharing platform under Mayflower Car Rental, which is a subsidiary of Warisan Tan Chong Holdings Berhad. GoCar’s direct rival, SOCAR, has a similar long term leasing program as well that’s called BOSS.
Car subscription has been done in several markets and it is seen as an alternative to leasing. It requires lower upfront payment and offers better flexibility as you can opt out at any time. Volvo had introduced a subscription program for its new XC40 SUV while Geely has something similar with its Lynk & Co brand. Would you consider a subscription service for your next car?
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