Porsche Contemplates Expanding Subscription Service

Industry News

Younger customers love Porsche's subscription model.

In a bid to offer a more flexible ownership experience, Porsche has jumped on the subscription model bandwagon with its Porsche Passport Pilot program. Starting at $2,000 per month, subscribers will have monthly access to eight model variants including the 718 Boxster S and Cayman S as well as the Macan S and Cayenne. For $3,000 per month, subscribers will gain access to more expensive models like the 911 Carrara S, Panamera 4S, Macan GTS, and Cayenne S E-Hybrid. Spending $24,000 to $36,000 just to essentially "rent" cars is out of most people's budgets but Automotive News reports that Porsche has already been so successful with this pilot, it's set to expand.

Porsche Passport is currently only available in Atlanta, Georgia, where Porsche is headquartered in the United States. Despite only being available in one city, the program has attracted 120 people, 80% of whom were new to the Porsche brand according to Porsche Cars North America chief Klaus Zellmer.

"When we started the program, we said, 'Let's find out whether somebody's out there who currently doesn't engage with Porsche because they don't want to commit to a car purchase or a leasing scheme," Zellmer said at the Porsche Rennsport Reunion event. It seems people have bought into the subscription model of committing only for a short period of time. "Have the car for a month, and if you don't like it anymore, we're good," Zellmer said.

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Porsche has already gained valuable insight into what type of customer would choose a subscription service. Passport subscribers are five years younger on average than typical customers and earn $100,000 more each year. Clearly, the subscription service is geared to towards a wealthier client.

Lincoln has been struggling to attract people to its used car subscription service and this may be a good indication of why. Porsche seems to have proved that customers love being able to swap out cars on the fly with no commitment and will even pay large sums for the opportunity.

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