ICE or EV? JLR’s ‘Pivotal’ gives you the choice
Jaguar Land Rover has started a subscription service for its cars in the UK. ‘Pivotal’ is an all-in premium subscription for JLR models with full flexibility. Electric during one period, and ICE in the following months? No problem at all.
The subscription is fully flexible and can be temporarily set on hold and restarted afterward. Pivotal is a further evolution of Carpe, started in 2018, where you had a 12-month subscription on a JLR model, without mileage limitation.
A growing number of people prefer flexible, monthly payments over one, substantial bill. JLR wants to give them what they wish for with a premium subscription service that lets you choose between a lot of models within the Jaguar and Land Rover portfolios.
The new service is an alternative for traditional ownership or more common forms of leasing. With one monthly payment, you pay the rent of the car, the insurance, taxes, maintenance, and possible repairs. You only have to pay for the fuel (be it fossil or electric).
Pivotal foresees several forms of membership, and the members can pause or halt their subscription every month. Surveys show that even today, 18% of all owners already prefer a subscription over real ownership.
Forecasts expect 10% of all new car ‘sales’ in the US and Europe to be subscriptions in 2025. First tests show that this is also an efficient way to attract new customers. 80% of the new members that tried Carpe before or Pivotal now didn’t have a Jaguar or Land Rover before.
With Pivotal, JLR wants to be sure of its place inside MaaS (Mobility as a Service). It is expected that this new approach of mobility will generate more than 52 billion dollars in 2027. The ultimate goal is zero congestion and zero accidents, according to JLR’s Destination Zero long-term vision.
Pivotal is supported by Inmotion, the department of JLR that is responsible for risk capital management and all sorts of mobility services. The ultimate goal is to offer the most comprehensive premium subscription. The first target will be that 20% of young professionals who wouldn’t have a car at all otherwise.