Currently reading: Jaguar Land Rover targets mobility market with car subscription scheme
New Pivotal service allows users to swap between different Jaguar and Land Rover models every six months
Felix Page Autocar writer
News
2 mins read
2 July 2020

Jaguar Land Rover has launched a new ‘Pivotal’ car subscription service aimed at providing an alternative to traditional car ownership and leasing plans.

The new venture is the latest step in JLR’s gradual transition to a provider of mobility services, and follows a similar scheme called Carpe, launched in 2018. 

Users of the new service pay a monthly fee for the vehicle’s rental, which covers the cost of insurance, tax, servicing and any repairs needed. The scheme also allows subscribers to change their car every six months - much more frequently than most car leasing schemes - to “suit their changing lifestyle, whether it’s a new job, growing a family or the need for greater flexibility”. 

Vehicles available on Pivotal from launch include the Land Rover Discovery, Discovery Sport, Jaguar I-Pace, Jaguar F-Pace and all four models in the Range Rover line-up. 

The new Defender will be added at a later date, as will the recently revealed plug-in hybrid versions of the Discovery Sport and Range Rover Evoque

There are different membership tiers to choose from - Blue, Indigo, Violet and Ultraviolet - ranging in price from £750 to £1600 per month. Users are able to switch between the tiers easily as needed, and can also choose to pause their membership on a monthly basis. There is also a one-off joining fee of £550.

According to JLR, some 18% of drivers prefer no-commitment subscriptions’ to owning their own vehicle, and it estimates that subscription models will account for 10% of all new car sales - roughly 16 million vehicles - in the US and Europe by 2025. Pivotal is aimed at the 20% of young professionals who wouldn’t ordinarily own a car. 

The brand adds that, in trials for the new scheme, 80% of members had not previously owned a Jaguar or Land Rover, making it an effective way of attracting new customers to the brands. 

Rawdon Glover, managing director of JLR UK, said: “The future of mobility has never been more in the spotlight and our customers are increasingly looking for more flexibility in the way they interact with us. 

“We are constantly looking at new and innovative ways to deliver the best solutions for our customers and adding the Pivotal subscription service to our portfolio is the latest in a line of new services that put our customers’ needs first.”

The Pivotal scheme is backed by InMotion, JLR’s venture capital and mobility arm, and forms part of the brand’s ‘Destination Zero’ strategy, which aims to eradicate congestion and road accidents.

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Comments
9

2 July 2020

I really have no wish to own my massively depreciating assest sat on my drive!  And by the time you factor in fixed costs, services, deprectation these aren't bad prices!

2 July 2020

I will probably look into this further as the article lacks much detail, but on the face of it you are paying up to £18000 per year to have at best a used Range Rover on your drive, with the ability to swap it for something cheaper (but still paying £18000 per year) every six months, that will also be used and probably come with that horrible little 2 litre Ingenium diesel.

Plus, the vehicles in the scheme will undoubtedly be treated like hire cars, so mostly thrashed and trashed.

I am sure leasing rates on a Rangie would be lower than that, but i haven't checked at this time.

Why they think this will appeal to the "20% of young professioanls that wouldn't normally own a car' I find hard to see.

2 July 2020

Volvo thought this would be the deal to end all deals a couple of years ago, now they hardly promote it. Over 600 a month for XC40 for a minimum 2 years, crazy.

Missing part to this story is is there a minimum period like Volvo's,  18.5k every 2 years for use of 32k Discovery is insane, after 4 years you'd have spent way more than the price of a new car. PCP has never looked so good 

JLR hope for 10 percent by 2025,  hardly a glowing endorsement

2 July 2020
There's surely going to be age and regional differences in how good that deal appears, take the £750pm deal, if you are low 20s living in a city with on street parking I'd imagine £750 for a disco sport (cheapest JLR car?) Including insurance is probably quite good compared to if you are late 20s in a rural location with off road parking. The cheapish £550 deposit is probably also appealing as to get low monthly PCP or lease deals usually requires a deposit in the thousands.

2 July 2020
si73 wrote:

There's surely going to be age and regional differences in how good that deal appears, take the £750pm deal, if you are low 20s living in a city with on street parking I'd imagine £750 for a disco sport (cheapest JLR car?) Including insurance is probably quite good compared to if you are late 20s in a rural location with off road parking. The cheapish £550 deposit is probably also appealing as to get low monthly PCP or lease deals usually requires a deposit in the thousands.

Over 30's only I'm affaid. Still it's a good way for JLR to get rid of unsold stock as you get a new car every 6 months. 

2 July 2020
Didn't see that in the article so didn't know, but either way the principal is still the same surely, even over 30s in a city will be paying a lot for insurance compared to someone living in a rural location, which as I said may make this seem favourable on a monthly basis.

3 July 2020
si73 wrote:

Didn't see that in the article so didn't know, but either way the principal is still the same surely, even over 30s in a city will be paying a lot for insurance compared to someone living in a rural location, which as I said may make this seem favourable on a monthly basis.

They can also refuse anyone that would have a high insurance cost (for whatever reason). Either way the market will be tiny for those type of people with 9k to waste on 33k Discovery every year

2 July 2020

at least under this scheme, you could perpetually own a range rover and avoid the inevitable problems that seem to arrive after about 6.5 months of ownership, if you're prepared to throw a ton of money their way.

2 July 2020

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