Car subscription platform Loopit says MG was the most-subscribed vehicle make in 2020 and the MG3 light hatchback was the most subscribed model for the year.
According to Loopit, subscription-based mobility services will account for 30% of new car sales by 2030, representing an AUD $119 billion opportunity. It also says EVs will make up 90% of all subscribed vehicles by then.
Since the company launched, Loopit says it has achieved 36 consecutive months of net new subscriber growth collectively across its global network.
MG was the most subscribed vehicle make overall between January 1, 2022 and November 30, 2022 according to Loopit, followed by Toyota, Kia, Hyundai, and Mitsubishi.
“These results were largely thanks to uninterrupted supply for MG models across the Loopit network throughout 2022, as well as outstanding value and design which appealed to a wide range of consumers seeking out a vehicle on subscription,” Loopit managing director Michael Higgins says.
The MG3 was the most subscribed vehicle overall between January 1, 2022 and November 30, 2022 followed by the MG ZS, the Toyota Corolla, the Kia Sportage and the MG HS.
There was an upset in the electric vehicle segment with newcomer Polestar finishing ahead of crowd favourite Tesla as the most-subscribed battery electric vehicle.
Supply constraints and high demand continued to delay deliveries of the Tesla Model 3, while the Model Y only made its sales debut toward the end of 2022, quickly climbing the ranks to second place in November, but reducing its impact toward the end of the year.
Therefore the Polestar 2 was the most subscribed pure electric vehicle between January 1, 2022 and November 30, followed by the Audi E-Tron, Mercedes-Benz EQA, Tesla Model Y and the MG ZS EV.
Loopit’s 2023 Global Car Subscription & New Mobility Report says the rising cost of living and a rapidly changing automotive market, means there significant emerging demand for shorter term mobility options, with greater flexibility.
Higgins says the growth is being underpinned by broader transformation in the automotive industry, with a compelling case emerging for subscription as a viable alternative to traditional car ownership.
“Subscriptions play a key role in the automotive market, providing the middle ground between a personal vehicle and a shared vehicle. It is positioned as the ideal solution for those who want to avoid owning a car, while preferring the ease of having access to their ‘own’ vehicle as needed,” he says.
“The proliferation of the sharing economy in recent years has led to consumers becoming accustomed to mobility options such as ridesharing and car sharing, which provide a short-term solution to getting from A to B.
The subscription model combines the flexibility of these temporary solutions with the advantages of owning a personal car – which would otherwise come from buying or leasing – without the added responsibility or commitment of car ownership.”
The results are also available via the company’s annual Vehicle Subscription Utilisation Index, available here: https://www.loopit.co/car-subscription-market-index
The full Global Car Subscription & New Mobility Report 2023 can be read here: https://www.loopit.co/whitepaper
