A critical look at Carvolution's car subscription service

Those who depend on having their own car can buy it, lease it or subscribe to the Bern-based startup, Carvolution. The latter, a car subscription, is becoming more and more popular due to the transparent total costs. Nevertheless, the subscription costs seem high at first glance, however, anyone who does the math quickly wonders how a car subscription with Carvolution can be at such an attractive price.

At Carvolution, customers can choose their own car subscription from over 35 models of various brands. In the monthly car subscription fixed price of Carvolution everything around the car is included: insurance, cantonal redemption, taxes, service and tires. All you have to do is fill up the tank or charge the car.

The customer can choose between small cars, SUVs, station wagons, sedans or electric cars. It all depends on your own needs. The selection is large and the prices start from 387 CHF / month.

The new car can be selected online in a few clicks on Carvolution.ch and the subscription can be configured as well. The minimum duration is selected by the customer. Short durations subscriptions could be, for example, for a SUV over the winter months or for trying out an electric car and they are just as popular as those of longer durations of 3 to 4 years. Customers also decide for themselves the mileage package and how high the deductible is. It's that simple. Is it expensive? Quite the contrary. The Carvolution car subscription is of good value when it comes to money. To demonstrate this, a critical look at the costs is taken below.

Why do the costs seem high at first glance?

According to a study by the RWI Leibniz Institute, the University of Mannheim and the US University of Yale, car owners underestimate the total cost of their car by up to 50%. Because the costs of a car are spread over the entire year or over several years, the overview of the total costs is quickly lost. For example, the insurance is paid in January and the new winter tires in October. The depreciation of the car is completely lost sight of, the total costs are therefore in many cases much higher than expected.

With a car subscription from Carvolution everything that concerns the car is included in the monthly fixed price . Therefore, it may well be that the costs appear high at first glance, but if you add it all up, the Carvolution car subscription is an inexpensive alternative to buying and leasing. In addition, there is no financial uncertainty with Carvolution. The subscription price is always the same and the residual value risk is also eliminated. For example, an electric car can be driven for a few months and then returned without complications.

How do the car costs compare?

Whether you decide to buy, lease or subscribe depends on your own needs. According to Prof. Ferdinand Dudenhöffer of the CAR Center in Duisburg, however, there are good reasons why more and more people are opting for their own car on a subscription basis. "The car subscription is simple, transparent and cost-effective for the customer," Prof. Dudenhöffer recently told Handelsblatt.

Therefore, some have already examined the prices a little more closely and put them in a comparison. For example, the consumer magazine Saldo in its article "Abo schlägt Kauf" (Subscription beats purchase) in the November 2020 issue. It was found that over the useful life of three years, purchase and leasing are significantly more expensive than a car on subscription from Carvolution. For example, the Audi Q3 saves up to 22,300 francs, this model is currently sold out at Carvolution, but the Audi Q2, which is in the similar price segment, is available.

The comparison portal Comparis is also of this opinion. It confirms in January 2020 that the Carvolution car subscription is often cheaper than leasing and also that a car subscription is worthwhile for many Swiss.

Autoscout24.ch is also convinced of the subscription. The subscription is a good solution for all those who want to keep track of their car costs.

Attractive prices with the Carvolution car subscription

Customers drive their Carvolution car with insurance, service, redemption and tires. Carvolution buys these cars, insurance and tires in large quantities and can thus achieve attractive volume discounts, that are passed on directly to the customers. In addition, there are no middlemen to drive up the price. Customers also benefit from the framework and digital organization of the young startup. As a result, the total cost of owning a car with a Carvolution subscription is significantly lower than with a purchase or lease, for example.

For whom is Carvolution worthwhile?

At Carvolution, customers can find a new car among 35 perfectly equipped models of various brands,. They can decide for themselves how long they want to drive it, be it 3 months or 3 years. This way they are flexible and can adapt the car to their needs. A small car for the city in summer, a SUV for the mountains in winter or a family van for the next year or two. Many also appreciate the cost transparency and the knowledge that they pay the same amount for their car every month thanks to the all-inclusive bundle. Basically, everyone has to decide for themselves what suits them best.