For Immediate Release:

Thursday, February 20, 2020

Ranging between $699 and $899 per month

Nissan is the latest automaker to take the subscription model for a test drive. Yesterday, Nissan announced it is launching, Nissan Switch, a new car subscription service in the greater Houston area. After paying a $495 activation fee, drivers can subscribe to Nissan Switch for $699 to $899 a month, plus $100 per day for up to seven days if driving the Nissan GT-R. As an added bonus, drivers can change vehicles in their tier as often as daily! Similar to other auto subscriptions, Nissan Switch’s monthly subscription fee includes insurance, maintenance, roadside assistance, cleaning, taxes and more. Subscribers can sign up to drive a variety of models of Nissans without a long-term commitment. There is, however, a $200 pause fee for subscribers to put their subscriptions on hold.

Powered by Clutch Technologies and administered by Central Houston Nissan, the new vehicle subscription service allows drivers to try out the latest technologies, sample new features and drive the newest Nissan models. This includes driver-assist technology and electric models such as the Nissan LEAF PLUS, TITAN pickup, and GT-R. Cars are delivered within a select service area by a concierge from Central Houston Nissan. They’ll even help subscribers transfer their personal belongings between vehicles. Similar to the “walk around” car rental agencies do, the concierge will do a walk around with subscribers and help educate them on any features or technologies they don’t fully understand.

"Nissan Switch is another way that Nissan is testing alternatives to the notion of traditional mobility, without long-term financial commitments for our customers," said Andrew Tavi, vice president, Legal, External Affairs and Business Development, for Nissan North America in yesterday’s announcement. "This program provides more choice, convenience and flexibility. For those who want a sedan during the week and an SUV or sports car, like the GTR, on the weekends, Nissan Switch provides the solution."

The subscription program has two tiers:

Tier	Eligible Vehicles	Cost
Select	Altima Rogue Pathfinder Frontier	$699 a month
Premium	Select vehicles plus: LEAF PLUS Maxima Murano Armada TITAN 370Z	$899 a month
	Select and Premium vehicles plus: GT-R	$899 a month with an additional $100 per day charge with a cap of 7 consecutive days

"We are eager to explore subscription services to understand how we can best serve customers' evolving wants and needs," said Chad Milow, general manager of Central Houston Nissan. "This is a great opportunity for people to drive what they want when they need it for one, predictable payment."

Like other subscriptions, Nissan Switch is easy to use. Subscribers can download the subscription service’s app or text the concierge to let them know they want to switch out vehicles. As with every subscription program, there are limitations, however. Subscribers can keep any given vehicle up to 2,000 miles, or 180 days, whichever comes first. This is not true of the GR-R though; it has a seven-day maximum. Also, drivers must be 25 or older, and while pets are allowed, they must be kept in a crate while in the vehicle. Prospective subscribers can check out and/or enroll Nissan Switch at NissanSwitch.com through August 2020.

Insider Take:

Each year for the last several years, automakers have been trying to make a go of the subscription market, because they know that younger generations don’t feel the need to own things as much as older generations. Automakers have struggled to find the right business and operational model to make any of the vehicle subscriptions a clear success over the others.

However, Nissan seems to be mirroring some of the best practices of other auto subscriptions: 1) involving the dealer in the process to achieve support and buy-in; 2) testing the vehicle subscription concept in a limited market; 3) offering all-inclusive pricing, concierge service and flexibility. Will Nissan be the automaker who gets it right?

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