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Geely considering cross-brand subscription service

The Geely Group – owner or part owner of Lotus, Lynk&Co, Mercedes-Benz, Polestar, Smart and Volvo – is considering launching a subscription service whereby customers pay a monthly fee to access any of their cars.

While stressing that any such a scheme is still at the discussion stage, talking at the Financial Times’ Future of the Car event, Executive Director, Corporate Strategy and Product Management for Lotus, Uday Senapati said: “When you are part of a big group it is natural you will look at what could be done together. It is an obvious thing to look at.”

Reacting to data showing that the average car is parked 96% of the time, Senapati added: “For Lotus that number is probably higher; it’s really a Sunday summer car for a niche of enthusiasts, who adore it for that. We can change that in the future, both by making our cars more useful and moving into different segments, but there are opportunities in sharing too.”

However, Senapati did not agree that car sharing was an inevitability in the future, saying: “Car ownership is here to stay, I believe. Cars aren’t just a commodity for many people, they mean more, and that will always be the case.”

A Global Market Insights report recently projected that 20% of car journeys will be made in vehicles operating with subscription services by 2026.

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