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Canoo Launches Into Automotive Via Subscription

April 24, 2019 Sarah Cavill

Canoo, formerly known as EVelozcity, announced they will be offering their four new models of electric vehicles only by subscription. Similar to existing car subscription services that bundle insurance, service and roadside assistance, Canoo plans to cover all of it when their innovative vehicles roll off the factory floor in 2021.

Canoo Will Release Their New Vehicles & Subscription Plan Simultaneously And Emphasize Ease & Adventure

Canoo Subscription Plan

Details of the subscription plan are still being finalized, but Canoo explains, “Our revolutionary vehicles and exclusive digital membership were created together to improve every way you move.” The release of Canoo’s inventive vehicles will align with the release of the subscription plan, creating one opportunity for customers by aligning the two offerings.

Canoo’s messaging around the program skews toward ease of use and adventure. Both targeted ideas which could appeal to subscription-adept consumers who appreciate Canoo’s turn-key quality and value the time subscriptions may save. Stefan Krause, Canoo CEO, also touts Canoo’s intention to keep the service very “flexible” and “open-ended.” Customers will be required to pay an annual fee, which would be forfeited for customers who quit the service early. However, Krause explains that customers who choose to opt out are still paying less than if they left a traditional lease after two months.

Canoo’s Service Will Be Mobile Friendly In And Out Of Their Vehicles

Canoo’s Service Mobile Friendly

Your apps, not ours,” boasts Canoo. What this means is Canoo will allow you to choose which apps are shown on the infotainment screens in your vehicle, by seamlessly connecting to your existing digital file. The apps you regularly use on your phone will be available to you in your vehicle. Subscribers can also use their phones to order their vehicles, ride share with friends, adjust seat, heat and sound settings and likely manage service requests, although app details are still incoming.

An Electric Vehicle With A Fresh Design And Innovative Features     

Canoo plans to release their first vehicle in 2021, with three others planned. All four will be built on the same “skateboard” platform, similar to what Tesla uses. Canoo’s first model will be their “lifestyle vehicle,” which Canoo says will be compact on the outside and spacious like an SUV on the inside. (The shape is similar to a VW bus, but presumably it will handle better.) “We can put any cabin – some call it a “pod” – on top. Within the next three years, we will introduce four distinct models optimized for the explorer’s lifestyle, ride sharing, deliveries and commuting,” explains Canoo. The vehicles are also designed to eventually incorporate autonomous driving software.

By merging science, technology, design and the latest subscription trends, Canoo has the opportunity to capture a unique, but growing, market share. Their launch of product and subscription service simultaneously could indicate a pioneering new approach in the subscription industry.

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About the Author

Sarah Cavill

With more than 20 years of writing, editing and reporting experience, Sarah Cavill brings to Digital Media Solutions (DMS) a fine-tuned and diverse set of skills. Her work has been featured in notable publications including The Daily Muse, CBS Local, Techlicious and Glamour magazine. Sarah has a passion for current events and the deep-dive research that goes into the content development and brand identity of DMS Insights. In her role as Senior Marketing Communications Writer, Sarah contributes to the pitching, researching and writing of multiple stories published each week surrounding digital and performance marketing innovations in pop culture, news, social media, branding and advertising.

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