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Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

2015 Mercedes-AMG G65 Review

A German friend who lives in Munich told me she might have to retrieve her car from Innsbruck, Austria while I was in Germany to visit her. I said I'd be happy to chauffeur her to the Tyrol in a Mercedes-AMG G65. She responded to the offer with this question: "You mean – in the G65 Rap Train?" I had no idea what it meant, but the name stuck. Her reasoning was that I would be taken for an American rapper, because what other black American would be cruising south, East, and west Germany for ten days in a 272,000-euro, 5,676-pound chunk of... well, let's just say it: bling. Mercedes created the G65 by installing its 604 horsepower, 6.0-liter, twin-turbo V12 in the G-Class engine bay, and laying oodles of quilted leather inside the cabin. Introduced to markets outside the US in 2012, it sat above the twin-turbo, V8-powered G63 that remained the top-of-the-line here. After years of denial, US buyers will finally get their chance to buy the G65 in November for $217,900. It's a 272,000-euro, 5,676-pound chunk of... well, let's just say it: bling. A grandiose, body-on-frame SUV with a price as momentous as its horsepower might appear silly, but Mercedes can point to plenty of good reasons to bring it here now. In the abstract there's customer demand, AMG boss Tobias Moers having said, "There are AMG fans for whom our V12 biturbo engine is the measure of all things." Concrete justification is in the sales numbers: in May 2010 the G-Class sold 99 units in the US on its way to 919 units for the year. In May 2015 US buyers took home 302 G-Classes, and only five months into this year the brand has sold 1,448 of its ultimate off-roader. The G63 outsold the less expensive G550 in the US in both 2013 and 2014. In 2013 the G63 was the best-selling AMG product in the US, and the G lineup posted its best-ever sales year globally during what was its 35th year on the market. Competitive reasons are likewise substantial. The Bentley Bentayga, Range Rover Sport SVR, Lamborghini Urus, and a Rolls-Royce "that can cross any terrain" will soon join the retail celebration of six-figure SUVs. By getting the G65 here first, Mercedes gets the head start. The burble dripping from the quad pipes is quieter on G65 than the G63. In spite of its price, the Rap Train isn't ostentatious – the sample I was given to drive wearing a beautiful coat of muted satin gray. Because Mercedes is going for a more elegant look for the top of the line G-Wagen, the US-market G65 comes without bull bars.

Nissan Z Proto, next-gen Hyundai Tucson and a hi-po mystery Bronco | Autoblog Podcast #645

In this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Senior Editor, Green, John Beltz Snyder and News Editor Joel Stocksdale. In the news this week, Ford has teased some sort of high-performance Bronco, Nissan unveiled the Z Proto, Hyundai revealed the next-gen Tucson and GMC teased the Hummer EV's "Crab Mode." Our editors break that all down for you, and share some insights and opinions before they turn to the cars in their own driveways. This week, they've been spending time with the 2020 Mercedes-AMG G 63, as well as the 2020 BMW Alpina B7. Autoblog Podcast #645 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown Ford's beefed-up Bronco prototype stars in new teaser photo Nissan Z Proto previews the retro, rear-drive, turbo, manual future of the Z All the Nissan Z cars that got us to the Z Proto 2022 Hyundai Tucson debuts with striking styling inside and out GMC Hummer teases crab mode, reveal set for Oct. 20 Cars we're driving: 2020 Mercedes-AMG G 63 2020 BMW Alpina B7 Feedback Email – Podcast@Autoblog.com Review the show on iTunes Related Video: