Subscription services are everywhere. Today, consumers can receive monthly supplies of items including shaving gear, food, cooking supplies, diapers, clothing, pet food, and Porsche automobiles. Wait… Porsche has a subscription service for its cars? What’s going on?
Yes, Porsche has entered the sharing economy with its subscription service, called “Porsche Passport,” that allows members to drive up to 22 different models of cars, sedans, and SUVs each month. After all, why have the hassle of ownership if a car can be delivered when you need it via a mobile app?
The service isn’t cheap though. For $2,000/month, the service will allow customers access to eight different models, including the Cayman S and 718 Boxster. Add on another $1,000/month and customers have on-demand access to more models including the 911 Carrera S and the Macan GTS. The plan has a one-time activation fee of $500 and includes vehicle tax, registration, insurance, maintenance, and detailing (members buy their own gas). Members can switch cars as often as they want, enjoy unlimited mileage, delivery, and service. (The program is currently only available in the metro Atlanta area.)
What do you feel like driving today?
Group Activities and Discussion Questions:
- Discuss the importance of clearly defining a target market.
- Show Porsche Passport Web site: http://www.porschepassport.com/
- Show video: https://youtu.be/5pyPAYmpK0U
- Who is the target market for Porsche Passport?
- Divide students into teams and have each team develop a profile of a target market. Include demographics, psychographics, behaviors, values, attitudes, etc.
- Based on the target market profile, what makes this product unique for these customers?
- Debrief the exercise.
Source: Brandchannel.com, Automotive News, other sources