BMW to expand on-demand services in future models, will not charge extra for existing hardware functions

BMW will expand its range of on-demand services and functions within its future models, however it will not be charging customers for the activation of hardware-based features in the future, Autocar has reported.

“We actually are now focusing on ‘functions on demand’ software and service-related products, like driving assistance and parking assistance, which you can add later after purchasing the car, or for certain functions that require data transmission that customers are used to paying for in other areas,” said BMW head of sales and marketing Pieter Nota.

“What we don’t do any more – and that is a very well-known example – is offer seat heating by this way. It’s either in or out. We offer it by the factory and you either have it or you don’t have it,” Nota continued.

Therefore, software products are more likely to be offered on a cost-option basis as these are better accepted by the buying public, according to the sales and marketing head. “People know it’s a certain piece of software they can download that costs money. It’s the same as downloading a film or an extra feature on an app. That is accepted and we do that increasingly successfully,” Nota said.

In July last year, BMW Malaysia introduced subscription fees for selected vehicle functions, including the aforementioned front seat heating, high beam assistant, steering wheel heating, Adaptive M suspension and more. This arrangement is similar to those introduced by the brand in other markets.

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