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Car subscription services: A slow, expensive start — but the potential is huge

Americans are used to paying for subscriptions — to magazines and cable television, for instance — but experience shows they'll cancel when the price of admission gets too high, or there are more tempting alternatives. Cord cutters ditched nearly 1.5 million pay-TV subscriptions in 2017, according to a survey by Leichtman Research Group. Cable TV started out cheap with basic offerings, and then got expensive. The auto industry's subscription offerings are new, but they're starting out costly, and not price-competitive with traditional leasing. The upside is that they take the hassle out of car ownership for busy people by letting the service take care of maintenance, insurance, licensing and taxes. And they give consumers choice, often allowing relatively painless switches between different cars in the automakers' lineup. Subscription services also point the way toward an ownership-free auto experience, and offer an easy transition to a potential world where ride- and car-sharing will be dominant. Subscriptions are here to stay, but consumers may take a while to "get" them. Lincoln's subscription service for lightly used 2015 to 2017 models, offered through the Ford-owned Canvas beginning this year, got off to a slow start. Many early subscribers canceled. Last month, Cadillac announced it would " temporarily pause" its $1,800-per-month Book subscription service for "adjustments" as of December 1. According to the Wall Street Journal, "Snags with the back-end technology used to support the service made some customer-service functions tedious and time-consuming, adding costs for the company." The challenge for automakers is to come up with a strategy that offers consumers a compelling, affordable option to regular ownership, and one that can also make a profit. I think they'll find that sweet spot, but they're not there yet. Jack Nerad, former executive editorial director at Kelley Blue Book and author of " The Complete Idiot's Guide to Buying or Leasing a Car," points out that "A lot of people expected that subscriptions would be very valuable for people who wanted inexpensive transportation, but the reality is quite the opposite. Subscriptions are offering more choices for the wealthy.

Dodge Dart falls short of Consumer Reports Recommended, Caddy XTS and Lincoln MKS, too

The Dodge Dart, Cadillac XTS and Lincoln MKS all failed to earn a "Recommended" rating from Consumer Reports. When it came to the compact Dart, the organization's testers thought the vehicle offered a quiet cabin, solid-feeling chassis and nimble suspension, but the new model ultimately fell short of the coveted rating due to powertrain issues. The institute's reviewers found the base 2.0-liter four-cylinder engine to be underpowered and noted "drivability issues" when the available turbocharged 1.4-liter four was paired with the optional dual-clutch transmission (some of our editors disliked it paired with the six-speed manual). CR also dinged the latter powerplant for sounding "raspy." For what it's worth, we think the forced-induction engine offers an excellent and playful exhaust note, but that's just us.
As for the XTS, CR lauded the car for its luxurious cabin, but the vehicle's experience was dulled by its finicky CUE infotainment interface. Overall, the big Cadillac scored much higher than its cross-town rival from Lincoln. While testers found the American luxury sedan to offer a quiet ride and quality fit and finish, they felt the MKS delivered a "cramped driving position, ungainly handling, uncomposed ride, and limited visibility." Ouch. At the end of the day, both cars fell short of rivals from Japan, Germany and Korea. Check out the full press release below with more details, along with CR's musings on the Chevrolet Spark and Lexus ES.

OnStar RemoteLink mobile app coming standard on all new GM vehicles

As an evolution and improvement of its OnStar technology, General Motors has announced that it will be expanding the RemoteLink Mobile App on most 2014 model year Chevrolet, Buick, GMC and Cadillac vehicles. The new, aptly named RemoteLink Key Fob Services will allow users to remotely operate all of the same systems as the car's key fob, including locking and unlocking the doors and remote starting (on vehicles equipped with a factory remote starter) using a smartphone.
These Key Fob Services will be free for five years - starting from the vehicle's delivery date - but the full suite of RemoteLink features will continue to be offered only with a subscription (trial or paid). These premium features include contacting a live adviser, getting turn-by-turn directions and remotely monitoring the vehicle's diagnostic systems.
Scroll down below for the complete press release with all the details.