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Comment by pdonis

Subscriptions make sense for things that you get a regular recurring supply of, like milk and newspapers. They might make sense for things that you can get regular upgrades for, like software (although often the "upgrades" aren't really worth much). But they make no sense at all for durable goods that can last for years without significant upgrades, like cars. The whole point with such goods is that you pay once and you own them for their entire useful life.

(Actually, there is a subscription-type business model for cars; it's called "leasing". And the only people who do it are people who can afford to be fleeced. It makes no sense at all for an ordinary car owner. I once had a car dealer try to sell me a lease deal when I was there to pick up a new car. His deal had a larger monthly payment than the loan I already had pre-approved from my credit union, and the residual after 3 years--what I would have to pay then to own the car outright--was more than the balance on the loan would be at that point. I asked the dealer how it could possibly make financial sense for me to take such a deal. He had no answer.)

parent pdonis 5 years ago

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