What is a car subscription and why might it be right for you?
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What is a car subscription and why might it be right for you?

While many of us have a monthly subscription to all sorts of products and services, the idea of ​​a car subscription is relatively new. We asked Alex to explain how a car subscription works and why it can be a great option for your next car.

Q: Why did Cazoo launch car subscriptions?

A: Because they are great! So many things are available with no hassle, monthly bills, subscriptions - phones, gyms, music and video streaming, even coffee and cheese - and we think it's fantastic for a new or used car. You don't actually own the car, but the popularity of leasing suggests that this isn't an issue for many people. So it just works for how many people run their lives. It saves you time and hassle - you can do everything online, it's flexible and you know exactly how much it will cost each month.

Q: How would you summarize what a car subscription is?

A: You get the car and everything you need to operate it for a fixed monthly fee. Road tax, insurance, maintenance, maintenance and accident coverage are included in the price. We arrange the service for you and you can easily manage everything through the Cazoo Subscriptions app.

Q: How is a subscription different from a lease?

A: Subscribing to a car is similar to renting a car where you pay a fixed amount each month, but with a subscription we provide all the extras that you don't get with a rental. You also get more flexibility when you subscribe because we offer shorter contracts than usual for rentals. And when the contract ends, you can return your car, exchange it for another or extend the contract from month to month.

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Q: How is Cazoo different from other car subscription services?

A: We bring a few things to the party that make Cazoo stand out. For example, you can add two more drivers to your insurance for free. Our standard package includes 1,000 miles per month, which is more than the national average per year, and you can add more if you need it. We offer short term subscriptions, but we also offer you a car for up to 36 months at a lower price. And we have a wide range of vehicles that we are constantly replenishing.

Q: Can you tell us more about the Cazoo subscription app?

A: The app allows you to manage your entire subscription. You can view and download documents, change your mileage package, make payments, renew your subscription and contact our customer support directly. It is currently only available on Apple devices, but we are working on bringing it to Android. Everything is also available online and you can call our customer service seven days a week.

Q: What are the biggest misconceptions about car subscriptions?

A: There are several. First, I think the biggest one is that some people think they are expensive. True, the monthly payment may be higher than some leasing deals, but this is the full price with insurance, maintenance and so on. And there is no big down payment, just one down payment equal to one monthly payment, which is fully refundable at the end of the contract. 

Second, it's not just for short-term periods. Yes, you can subscribe for six months, but you can also subscribe for up to three years. And thirdly, there is some confusion between car subscription and car sharing. With a subscription, you can use the car whenever you want - you don't share "ownership" with anyone other than additional drivers you've assigned - like your partner or your family members.

Q: How aware are people of car subscription as a concept?

O: Not enough! I think if you were to stop the average person on the street and ask, "Wouldn't it be great to get a car and all the other stuff that you normally have to pay extra for, but for just one monthly payment?" I think most people would say, “Yeah, that's great! Where do I sign?" 

However, the subscription is becoming more popular among Cazoo customers and awareness will grow as more people opt for it and tell their friends and family why it's right for them.

Q: What are the most popular cars available with a Cazoo subscription?

A: We have a wide range of makes and models that reflect what is popular in the UK. So things like Vauxhall Corsa, Ford Focus and Mercedes-Benz A-Class are very popular right now. However, the most interesting thing is that we are seeing an increase in interest in electric vehicles. We already have a good selection in stock and we plan to increase this significantly – in 2022, more than a third of Cazoo subscription vehicles will be electric or plug-in hybrids.

Q: Are electric vehicles particularly suitable for a subscription?

A: Yes, they are. I can understand someone who is a little apprehensive about buying or financing an electric car. A lot of people want to take a dip in the water, and a subscription is a great way to do that. You can own the car for six months to see if it's right for you; if so, you can continue to subscribe. If not, you can return it.

Q: What are the three benefits of car subscriptions?

A: First of all, you don't have to worry about the unexpected costs associated with owning a car. Secondly, we have hundreds of new cars and used cars in stock and you can have one of them delivered to your door within seven days. Third, you can fully manage your subscription from within our app.

Question: So let's talk a little about you. Have you always worked in the automotive industry?

Oh yeah. I had just graduated from university and worked for five years at BMW before moving to Google as an account manager working with automotive companies. I then worked for several online automotive startups, which eventually brought me to Cazoo. I have spent 15 years, more or less, in this industry.

Q: What is the best thing about your job?

A: We have a very dedicated and passionate team. The pace of change, the drive to do great things is a very, very good thing in business. And diversity - no two days are the same. But I'm always focused on the most efficient way to grow our subscription business and keep our customers satisfied.

Question: What is the biggest problem in your work?

A: Cazoo is on an incredible growth path and I am regularly challenged to improve the quality of our customer experience while rapidly expanding the business. That was great.

Q: Last question: are subscriptions the future of car owners?

A: There are a growing number of car subscription companies, including some created by car manufacturers. I think there is an understanding in the industry that owning a car, having your name in the logbook, is less important to a lot of people than it used to be. 

Of course, some people will always want to buy a car to be a designated owner, and a subscription isn't for everyone. But if you look at the growth of the subscription economy and the concept of a predictable monthly payment for a service, yes, I see this becoming an important part of the "owner mix". And Cazoo will be at the forefront of this trend.

Now you can get a new or used car with a Cazoo subscription. Just use the search function to find what you like and then subscribe to it completely online. You can order home delivery or pick up at your nearest Cazoo customer service center.

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