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Dealers mobilize to protect their margins from automaker subscription services

Six individual auto brands — Lincoln, Cadillac, Porsche, Mercedes, BMW and Volvo — have established or are trialing a vehicle subscription service in the U.S. Three third-party companies — Flexdrive, Clutch and Carma — run brand-agnostic subscription services. And three automakers — Mercedes-Benz, BMW, and General Motors — have also launched short-term rental services. Dealers, afraid of how these trends might affect their margins, are building political and lawmaking campaigns to protect their revenue streams. So far, three states are investigating automaker subscriptions, and Indiana has banned any such service until next year. It's certain that those three states are the first fronts in a long political and legal battle. Powerful dealer franchise laws mandate the existence of dealers and restrict how automakers are allowed to interact with customers to sell a vehicle. On top of that, Bob Reisner, CEO of Nassau Business Funding & Services, said, "Dealers and their associations are among the strongest political operators in many states. They as a group are difficult for state politicians to vote against." In California earlier this year, the state Assembly debated a bill with wide-ranging provisions to protect against what the California New Car Dealers Association called "inappropriate treatment of dealers by manufacturers." One of those provisions stipulated that subscription services need to go through dealers, but that item got stripped out when dealers and manufacturers agreed to discuss the matter further. In Indiana, Gov. Eric Holcomb signed a moratorium on all subscription programs by dealers or manufacturers until May 1, 2019, to give legislators more time to investigate. Dealers in New Jersey have taken their campaign to the state capitol, asking that the cars in subscription programs get a different classification for registration purposes. Automakers run the current subscription services and own the vehicles. Sign-ups and financial transactions happen online or through apps, leaving dealers to do little more than act as fulfillment centers to various degrees, with little legal recourse as to compensation amounts when they're called on to deliver or service a car. That's a bad base to build on for business owners who've sunk millions of dollars into their operations.

Mercedes A-Class next up for facelift

This is the coming Mercedes-Benz A-Class, and in case the paucity of camouflage didn't make it clear, it won't look much different the one that's been on sale for all of two years. Caught in Sweden braving the temperatures, its exterior updates aren't expected to go much further than a reworked face that brings it in line with the recently updated B-Class, including a new grille, headlights and taillights, and bumpers. The cabin is where most of the work is being done, to give it a better punch against the BMW 1 Series. A tweaked dash cluster, better fabrics and materials, the eight-inch tablet-style nav/multimedia screen, and ambient lighting should join the party. The updated range of B-Class engines should also make the jump into the A. A photo caught at a dealer meeting in Barcelona last year makes us pretty sure it will be introduced at the Frankfurt Motor Show in September this year. Until then, there are spy shots to peruse.

2020 Aston Martin DB11 tops this month's list of discounts

When we drove the Aston Martin DB11 for the first time, we said that it "stands out" and that "it delivers on the promise of Aston's potential for a successful second century." But we also said, "There must be a reason to buy the Aston beyond the fact that it turns heads at the country club." In case its stunning good looks and 600-horsepower 5.2-liter twin-turbo V8 weren't enough to grab your attention, how about a discount of nearly $20,000? Right now, buyers of the 2020 Aston Martin DB11 are paying, on average, $182,435. According to data provided to Autoblog from Truecar, that's a discount of $19,385 from the British coupe's average suggested retail price of $201,820. That's the largest discount on a new car in America this month, based on the dollar amount off the car's sticker price. The next biggest discount is for the 2019 Mercedes-Benz S-Class. Buyers of the German brand's range-topper are scoring an average discount of $13,816. While that's a much smaller number than the DB11, it represents 13.5% off the S-Class's average retail price of $101,151 versus the 9.6% discount of the Aston Martin. In fact, the Benz's percentage discount means it's the eighth-best deal in America overall. If you favor a different flavor of German luxury, the 2019 Audi A8 isn't far behind with an average discount of $12,701 representing 12.5% of its $101,762 average sticker. For a look at the best new car deals in America based on the percentage discount off their suggested asking prices, check out our monthly recap here. And when you're ready to buy, click here for the Autoblog Smart Buy program, which brings you a hassle-free buying experience with over 9,000 Certified Dealers nationwide. Related Video: 2017 Aston Martin DB11 First Drive