[Loopit #038] Captive finance and big banks are leading the charge in car subscription services

As car subscription models gain traction, big banks and captive finance providers are emerging as key players driving this shift in the mobility landscape. By leveraging their financial expertise and established customer networks, companies like Commonwealth Bank, Volkswagen Financial Services, Macquarie Group, and Toyota Finance are enabling flexible ownership solutions that align with changing consumer preferences.

• Origin Energy has partnered with Commonwealth Bank to launch a Salary Packaged EV Subscription Program, enabling Australian employees to access electric vehicles through salary sacrifice. Commonwealth Bank will also offer its employees access to EV subscriptions via Origin 360 EV.
• Volkswagen Financial Services (UK) CEO Mike Todd highlights the growing consumer preference for flexible car ownership models, including subscription services, as the automotive industry adapts to changing customer demands for convenience, technology, and experiences over traditional ownership. (AM Online)
• FINN , a German car subscription startup, has ranked fourth among Sifted 's 250 fastest-growing European startups with 697% two-year compound annual growth rate (CAGR). (Sifted)
• Macquarie Group has inked a $300 million debt financing deal with Splend , enabling the ride-share vehicle leasing startup to expand its electric vehicle fleet to 10,000 cars for Uber drivers in Australia and the UK, accelerating the adoption of EVs in the gig economy transportation sector. (AFR)
• Toyota Finance New Zealand Ltd chief executive Brent Knight reveals plans to launch a comprehensive car subscription app in 2025, offering customers flexible access to various vehicle types and potentially disrupting traditional car ownership models while addressing urbanization, environmental concerns, and changing consumer preferences. (Stuff)
• Karmo 's acquisition of Motopool , backed by a $138 million debt facility from Volkswagen and Toyota Motor Corporation , positions it as Australia's largest car subscription provider, signaling growing demand for flexible mobility solutions and challenging traditional vehicle ownership models. (GoAuto)
• Car subscription services like Pivotal - Subscription by JLR are revolutionizing luxury vehicle ownership, offering flexibility and personalization that aligns with changing consumer preferences, as evidenced by a 750% subscriber growth and high customer satisfaction scores, according to Pivotal's Managing Director John Murphy . (Just Auto)
• Car subscription services are gaining traction among younger consumers seeking more affordable, convenient, and digitally-enabled mobility solutions, with nearly half interested in giving up vehicle ownership, according to Deloitte research, signaling a potential shift in the automotive industry's approach to meeting evolving customer needs. (WSJ)
• Simon-Kucher's Global Automotive Study reveals an optimistic future for automotive brands, highlighting the need to adapt to changing consumer preferences like leasing and subscription models, online purchasing journeys, and electric vehicles to remain competitive in a dynamic market. (Consultancy.eu)