Car By Volvo Subscription Service Is Dead for the "Foreseeable Future"

by Chris Teague

Published: September 13th, 2024

For a short time, it felt like car subscriptions might be the vehicle ownership model of the future, but they never took off. One of the more well-known services, Car by Volvo, debuted in 2017, but the automaker quickly ran into pushback from dealers. Despite some saying the program reeled in new buyers, Volvo is discontinuing the service for the “foreseeable future.”

Automotive News reported on the move, with Volvo spokesperson Russell Datz saying, “This allows for concentrated focus on our core customer offers and the coming introduction of new products, and an increase in operational efficiencies.” Datz did not detail the automaker’s subscriber numbers but said those already enrolled can finish the program under their agreed-to terms.

Despite being profitable, Volvo’s move to nix the program follows similar moves by other automakers. As Automotive News pointed out, Audi, Ford, and Mercedes-Benz canceled comparable services, some still in the pilot stage. Volvo overcame the initial friction to build a somewhat successful subscription service, but it was ultimately viewed as a pet project of former Volvo CEO Haken Samuelsson, who departed the company in 2022.

It's not all that surprising to hear this news, as Volvo has other problems on its hands. The EX30 SUV has been delayed until 2025 at the latest, and the larger EX90 has been pushed back due to software issues. Additionally, Volvo’s Chinese parent company has made it difficult for the company to sell imported EVs because of tightening U.S. tariffs.

[Images: Volvo]

Become a TTAC insider. Get the latest news, features, TTAC takes, and everything else that gets to the truth about cars first by subscribing to our newsletter.

#Volvo #CareByVolvo #CarSubscription

Chris Teague

Chris grew up in, under, and around cars, but took the long way around to becoming an automotive writer. After a career in technology consulting and a trip through business school, Chris began writing about the automotive industry as a way to reconnect with his passion and get behind the wheel of a new car every week. He focuses on taking complex industry stories and making them digestible by any reader. Just don’t expect him to stay away from high-mileage Porsches.

More by Chris Teague

Comments

Join the conversation

2 of 6 comments

FreedMike 5 days ago
I remember checking this out for curiosity's sake, and I can tell you what killed it - it was ridiculously overpriced. And then there's this little blurb: "Additionally, Volvo’s Chinese parent company has made it difficult for the company to sell imported EVs because of tightening U.S. tariffs." What the story doesn't mention is that Polestar now has a plant in the U.S.

Like Reply
Nrd515 4 days ago
As clueless as the car companies seem to be at this point in time, even they know people hate even the idea of subscription service. It's a total, "Nope, not even going to consider this car, you can bite me!" thing with me, and apparently a lot of other people.

Like Reply

Recent Comments

Kevin I traded in my 2022 Civic Si after a year and this is one factor. It is Sep. 24 and still no recall, just a TSB so Honda can sweep it under the rug.This plus a terrible engine/tuning, bad safety tech, missing features, and the most rattling interior I've ever heard ensured I won't be buying another Honda ever again and I've loved Honda since the 2000's. They are not the same brand, or they are the same but cars are more complicated so the cracks really show now. Either way people were also having steering issues with the 10th gen civics also and Honda ignored them. Don't buy a Honda please. Everything about my Si besides the handling felt like a beta car, not a complete product.
1995 SC Blazer
Jalop1991 you know, I can't help but remember the Dilbert cartoon where Dilbert commented to the janitor about how Dilbert has two cans under his desk, one for trash and one for recycling, but he's noticed that the janitor who comes around at night has only one large can. This is all smoke and mirrors. Mark my words, we will see stories down the road about place like this taking the recycling fees and dumping the batteries in a pit in some third world country.
Arthur Dailey Forget the 90`s. The cars and their names were largely forgettable. Bring back real car names. Wildcat. Riviera. Spitfire. Interceptor. Pinto (as someone else noted). Corvair. Speedwagon. Matador. Imperial. de Ville. Or even better Packard, Hudson, Studebaker, De Soto and Dusenberg. If VW can resurrect the Bugatti name, then why not?
Macmcmacmac Aztec.