Care by Volvo Launches in Canada

Now officially launched in Canada, Care by Volvo is a new service provided by Volvo that allows you to subscribe to a car for a two-year term. With the aim of expanding the brand’s customer base and the hopes of reaching more millennials, Care by Volvo leverages the simplicity of known costs with an app-driven experience to speak to buyers that find the traditional ownership experience of a car to be too complicated.

Starting from $949 a month (along with a $500 deposit), Care by Volvo allows you to spec out either an S60 sedan or a V60 wagon and then order it to a dealership for delivery, all within the app. That price includes the car, maintenance, general wear and tear, and even winter tires. Not unlike a standard lease agreement, insurance is up to the driver and not offered by Volvo.

For someone who needs a car and is willing to pay for a transparent and hassle-free form of ownership, it’s not hard to see the appeal, especially when the service is offered directly by the manufacturer. Many buyers, especially younger buyers, want to avoid some of the stress caused by car ownership and the concept with Care by Volvo is to make the scenario about as straightforward as possible with one monthly price and no surprises. The two-year term works a bit like some cell phone plans, where you can upgrade your Volvo after the first year if you want a different model or even just the latest technology.

By leveraging an entirely online experience, much of the process that might intimidate a customer is removed.

The program has been available in the United States for about a year and has helped introduce Volvo brand to a new generation of drivers—the average clients are some 10 years younger than those common to the brand and a remarkable 90 per cent are entirely new customers to Volvo.

By leveraging an entirely online experience, much of the process that might intimidate a customer is removed. Buying or leasing a new car can be stressful and, specifically if it’s your first time, sometimes hard to predict in terms of actual costs. Deliveries will start in January of 2019, and while the program is currently limited to custom-ordered S60s and V60s, Volvo plans to make more models available and have pre-production options available soon, which would drastically cut down on the delivery schedule.

With many brands struggling to find a lasting connection with younger (and seemingly disengaged) buyers, I would expect this sort of service to become much more prevalent in the coming years. While an enthusiast or more engaged buyer will likely prefer a traditional purchase or lease, there is unquestionably a cohort that just wants a good car without a bunch of hassle or unknowns. As it turns out, there’s an app for that.

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