Jump to content
  • William Maley
    William Maley

    Closing the Book: GM Shutters Cadillac's Subscription Program

      Could make a return in the future

    Cadillac was one of the first brands to launch a subscription service. Called Book, the service allowed users to access Cadillac's lineup including the Escalade and CTS-V for a monthly fee. But only a year after it launched the program, General Motors is pulling the plug.

    The Wall Street Journal broke the news this afternoon, learning from sources that the company will end operations of Book by the end of the year. Subscribers will have a 30-day window from the time they notified to turn in their vehicles. A GM spokesman confirmed the closure.

    According to sources, certain aspects of Book proved to be quite costly. A key example was some of the back-end technology used to support the service "made some customer-service functions tedious and time-consuming, adding costs for the company." This move comes a few days after GM announced that it would be offering voluntary buyouts to 18,000 salaried workers.

    Analysts say car subscriptions bring a number of headaches with trying to deal with the logistics of keeping vehicles repaired, cleaned, and delivering them within a short time frame.

    “Some of these services will even transfer your stuff from car to car, from your phone charger to your kid’s stroller. The problems posed in offering that level of service at scale are vast,” said Ivan Drury, senior analyst with Edmunds.com.

    The GM spokesman told the Wall Street Journal that the program could restart in the future.

    “We are hitting the pause button for a brief time to make some tweaks to Book [by Cadillac] based on our learnings,” he said.

    Cadillac isn't the only brand that is rethinking the whole subscription model. Hyundai closed down their program which offered Ioniq Electrics only in California, though the brand is planning a revamped version to appear in the future. Lincoln is looking into making changes to their service which offers off-lease vehicles.

    Source: Wall Street Journal (Subscription Required)



    User Feedback

    Recommended Comments

    Not surprised, I wondered about all the back end costs associated with supporting a program like this. I honestly do not see this making a return in the future as I do not think companies will ever make the drastic computerized changes needed to better track this and manage it and due to the over all costs of things in the US, you cannot find cheap enough labor to deal with all the other manual things that go on as has been listed above.

    Concept is great for those that like to change auto's frequently but reality is another thing.

    RIP

    Share this comment


    Link to comment
    Share on other sites

    i could see them continuing it unofficially on a very small scale and not really advertising it.  But you gotta set it up so the monthy is something like 1500-2000 a month in order to make money (on an Escalade).

    Share this comment


    Link to comment
    Share on other sites

    I said when they launched this program that it wouldn't work.  It is too expensive to pay $1800 a month to drive a car that you can lease for $600.  Plus people tend to hate changing cars, they get one and stick with it.  

    A subscription plan only works if you pay a monthly fee to have an autonomous car pick you up and take you were you need to go, sort of like unlimited Uber for a monthly flat rate.  People would pay for that to replace having to own a car.

    Share this comment


    Link to comment
    Share on other sites
    45 minutes ago, smk4565 said:

    I said when they launched this program that it wouldn't work.  It is too expensive to pay $1800 a month to drive a car that you can lease for $600.  Plus people tend to hate changing cars, they get one and stick with it.  

    A subscription plan only works if you pay a monthly fee to have an autonomous car pick you up and take you were you need to go, sort of like unlimited Uber for a monthly flat rate.  People would pay for that to replace having to own a car.

    I expect all the other subscription programs to fail too.

    Share this comment


    Link to comment
    Share on other sites

    The Idea might succeed IF the entire business model was subscription-only.  Usually that means either a new car company OR a new division within an existing one.  Once you have fully automated self-driving cars prove themselves, then this model can work.  Just not right now.

    Share this comment


    Link to comment
    Share on other sites
    16 hours ago, smk4565 said:

    I said when they launched this program that it wouldn't work.  It is too expensive to pay $1800 a month to drive a car that you can lease for $600.  Plus people tend to hate changing cars, they get one and stick with it.  

    A subscription plan only works if you pay a monthly fee to have an autonomous car pick you up and take you were you need to go, sort of like unlimited Uber for a monthly flat rate.  People would pay for that to replace having to own a car.

    Though at that price makes sense to use a limo driver....

    Share this comment


    Link to comment
    Share on other sites


    Join the conversation

    You can post now and register later. If you have an account, sign in now to post with your account.
    Note: Your post will require moderator approval before it will be visible.

    Guest
    Add a comment...

    ×   Pasted as rich text.   Paste as plain text instead

      Only 75 emoji are allowed.

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor

    ×   You cannot paste images directly. Upload or insert images from URL.




  • Similar Content

    • By Drew Dowdell
      Cadillac released the pricing for the upcoming CT4 sedan for 2020. Ringing up at $33,990 for the base 2.0T RWD model with an 8-speed automatic, the CT4 undercuts the price of the outgoing ATS by a few grand.  This makes the CT4 roughly $7,000 cheaper than the same size 3-series or C-Class sedan or just $1k more expensive than a smaller A-Class Sedan.  Adding AWD will add about $2,500 to the price.  Buyers who want a bit more can opt for the Premium Luxury package with the 2.7-liter Turbo-4 making 309 horsepower and 348 lb.-ft of torque and a 10-speed automatic, brings the price to $38,490, adding AWD to that costs $3,200. 
      If you're most interested in the V model with more power, 325 horsepower and 380 lb.-ft of torque, that will cost you $45,490. That gets you a RWD model with Brembo front brakes, a rear limited slip differential. Adding AWD to the V-series brings the price to $46,590.
      The CT4 goes on sale early next year. 
       

      View full article
    • By Drew Dowdell
      Cadillac released the pricing for the upcoming CT4 sedan for 2020. Ringing up at $33,990 for the base 2.0T RWD model with an 8-speed automatic, the CT4 undercuts the price of the outgoing ATS by a few grand.  This makes the CT4 roughly $7,000 cheaper than the same size 3-series or C-Class sedan or just $1k more expensive than a smaller A-Class Sedan.  Adding AWD will add about $2,500 to the price.  Buyers who want a bit more can opt for the Premium Luxury package with the 2.7-liter Turbo-4 making 309 horsepower and 348 lb.-ft of torque and a 10-speed automatic, brings the price to $38,490, adding AWD to that costs $3,200. 
      If you're most interested in the V model with more power, 325 horsepower and 380 lb.-ft of torque, that will cost you $45,490. That gets you a RWD model with Brembo front brakes, a rear limited slip differential. Adding AWD to the V-series brings the price to $46,590.
      The CT4 goes on sale early next year. 
       
    • By Drew Dowdell
      QUARTER 3 (CALENDAR YEAR-TO-DATE) JANUARY - SEPTEMBER   2019 2018 %Change Volume   2019 2018 %Change Volume   Cascada 400 1,101 -63.7   2,458 3,393 -27.6   Enclave 13,274 12,807 3.6   41,013 35,227 16.4   Encore 25,008 21,112 18.5   73,905 69,747 6.0   Envision 8,088 5,803 39.4   24,849 22,617 9.9   LaCrosse 1,389 2,290 -39.3   6,778 13,409 -49.5   Regal 2,456 2,793 -12.1   8,849 11,008 -19.6   Buick Total 50,615 45,911 10.2   157,855 155,606 1.4   ATS 158 2,281 -93.1   1,051 10,028 -89.5   CT6 1,625 2,376 -31.6   5,675 7,270 -21.9   CTS 1,128 3,695 -69.5   5,999 8,777 -31.7   Escalade 10,284 9,533 7.9   26,535 27,299 -2.8   XT4 8,986 212 ***.*   23,092 212 ***.*   XT5 12,315 15,093 -18.4   38,711 46,983 -17.6   XT6 4,316 0 ***.*   4,390 0 ***.*   XTS 1,149 4,101 -72.0   10,242 12,664 -19.1   Cadillac Total 39,961 37,291 7.2   115,695 113,240 2.2   Blazer 20,312 0 ***.*   35,107 0 ***.*   Bolt EV 4,830 3,949 22.3   13,111 11,807 11.0   Camaro 12,275 14,448 -15.0   36,791 39,828 -7.6   Colorado 31,657 34,963 -9.5   96,820 104,838 -7.6   Corvette 4,766 4,639 2.7   14,497 14,881 -2.6   Cruze 5,799 31,971 -81.9   45,276 109,662 -58.7   Equinox 79,799 78,014 2.3   253,956 234,379 8.4   Express 22,062 17,509 26.0   60,805 58,696 3.6   Impala 9,638 16,290 -40.8   35,433 43,952 -19.4   LCF 1,358 584 132.5   3,222 1,870 72.3   Malibu 32,432 31,041 4.5   97,603 107,458 -9.2   Silverado HD 34,212 31,939 7.1   95,249 108,410 -12.1   Silverado LD 119,641 101,390 18.0   314,067 315,993 -0.6   Silverado MD 1,629 0 ***.*   2,943 0 ***.*   Sonic 2,148 7,283 -70.5   10,632 17,848 -40.4   Spark 6,616 7,029 -5.9   20,265 18,428 10.0   Suburban 12,391 15,572 -20.4   41,686 45,433 -8.2   Tahoe 26,308 28,951 -9.1   80,103 79,474 0.8   Traverse 41,116 32,908 24.9   113,491 106,998 6.1   Trax 37,407 20,549 82.0   83,777 67,538 24.0   Volt 874 5,429 -83.9   4,540 13,243 -65.7   Chevrolet Total 507,273 485,019 4.6   1,459,521 1,504,038 -3.0   Acadia 20,338 13,485 50.8   79,958 63,493 25.9   Canyon 7,437 8,425 -11.7   26,300 25,273 4.1   Savana 5,021 4,815 4.3   21,090 16,779 25.7   Sierra HD 18,455 16,817 9.7   41,643 43,839 -5.0   Sierra LD 47,743 34,551 38.2   121,958 108,403 12.5   Terrain 23,058 27,428 -15.9   73,410 82,719 -11.3   Yukon 18,737 20,896 -10.3   53,707 55,418 -3.1   GMC Total 140,789 126,417 11.4   418,066 395,924 5.6   GM Vehicle Total* 738,638 694,638 6.3   2,151,137 2,168,808 -0.8                     76 selling days for the third quarter this year and 76 for same quarter last year.    
    • By Drew Dowdell
      When Cadillac introduced the CT4 back on May 30th, they only introduced the V-series version of the car. Today Cadillac unveiled the standard versions of the car in Sport, Luxury, and Premium Luxury trims.  Each one styled slightly differently, the Luxury and Premium Luxury models come with brighter exterior accents and metallic grilles.  The Sport version is has a more aggressive mesh grille, sportier fascias, rear spoiler, darkened accents and model specific 18-inch wheels. 
      CT4 Luxury:
      Leather Steering wheel
      8-inch Touch or Dial operated infotainment system
      Android Auto and Apple CarPlay
      Dual Zone Climate Control
      Active Noise Cancelation
      CT4 Premium Luxury:
      Leather seating
      LED Ambient Lighting
      Alluminum trim
      RainSense
      Forward Collision Alert
      Front Pedestrian Braking
      Automatic Emergency Braking
      Rear Park Assist
      Safety Alert Seat
      CT4 Sport:
      All of Premium Luxury
      Sport Seats
      Unique Trim
      Alloy Pedals
      Brembo front brakes

      CT4-V:
      Limited Slip Rear Differential
      Magnetic Ride Control (RWD Only) or ZF MVS Passive Dampers (AWD)
      Available SuperCruise (later in 2020)
       Power wise, the CT4 has a choice of 3 power configurations.  The 2.0-liter turbo has 237 horsepower and 258 lb-ft of torque and is connected to an 8-speed automatic transmission.  The 2.7-liter turbo in the Premium Luxury produces 309 horsepower and 348 lb.-ft of torque or in the V gets 325 horsepower and 380 lb.-ft of torque.  Both 2.7 liters route power through a 10-speed automatic.  Both the 2.0 and 2.7 have a three-step sliding camshaft design, active fuel management, and automatic start-stop.
      The Cadillac CT4 will be available for ordering later this year with pricing announced closer to production.
       
       

      View full article
    • By Drew Dowdell
      When Cadillac introduced the CT4 back on May 30th, they only introduced the V-series version of the car. Today Cadillac unveiled the standard versions of the car in Sport, Luxury, and Premium Luxury trims.  Each one styled slightly differently, the Luxury and Premium Luxury models come with brighter exterior accents and metallic grilles.  The Sport version is has a more aggressive mesh grille, sportier fascias, rear spoiler, darkened accents and model specific 18-inch wheels. 
      CT4 Luxury:
      Leather Steering wheel
      8-inch Touch or Dial operated infotainment system
      Android Auto and Apple CarPlay
      Dual Zone Climate Control
      Active Noise Cancelation
      CT4 Premium Luxury:
      Leather seating
      LED Ambient Lighting
      Alluminum trim
      RainSense
      Forward Collision Alert
      Front Pedestrian Braking
      Automatic Emergency Braking
      Rear Park Assist
      Safety Alert Seat
      CT4 Sport:
      All of Premium Luxury
      Sport Seats
      Unique Trim
      Alloy Pedals
      Brembo front brakes

      CT4-V:
      Limited Slip Rear Differential
      Magnetic Ride Control (RWD Only) or ZF MVS Passive Dampers (AWD)
      Available SuperCruise (later in 2020)
       Power wise, the CT4 has a choice of 3 power configurations.  The 2.0-liter turbo has 237 horsepower and 258 lb-ft of torque and is connected to an 8-speed automatic transmission.  The 2.7-liter turbo in the Premium Luxury produces 309 horsepower and 348 lb.-ft of torque or in the V gets 325 horsepower and 380 lb.-ft of torque.  Both 2.7 liters route power through a 10-speed automatic.  Both the 2.0 and 2.7 have a three-step sliding camshaft design, active fuel management, and automatic start-stop.
      The Cadillac CT4 will be available for ordering later this year with pricing announced closer to production.
       
       
  • Posts

  • Social Stream

  • Today's Birthdays

    1. Justin
      Justin
      (30 years old)
    2. Pa.Bill
      Pa.Bill
      (73 years old)
  • Who's Online (See full list)

  • My Clubs

About us

CheersandGears.com - Founded 2001

We ♥ Cars

Get in touch

Follow us

Recent tweets

facebook

×
×
  • Create New...