Hey, automakers: Upselling is enough!
According to a new study, most drivers are tired of being asked to pay subscription fees for features such as heated seats and remote start that are already built into their cars.
While the automaker claims it’s about safety and innovation, locking the horsepower behind the $1,200 Mercedes paywall feels like a shakedown.
This is a big signal for brands like BMW, Ford and GM. Are drivers going through constant upselling, or can subscriptions still find sweet spots? Here’s why consumers aren’t buying it, what automakers lack, and how it shapes the next vehicle:
I missed the connection
Therefore 2025 Connected Car App Status Report, SmartCar (which has no connection to any Smart Branded Vehicles owned by Mercedes-Benz) voted over 1,000 drivers across the US and Europe.
Survey results: 76% do not touch on the automaker’s connection services. Free or paid.
Ford’s BlueCruise hands-free driving, for example $495 in a year of 90-day trials. Or an annual horsepower boost from Mercedes on the EQ Electric model. Even Toyota’s $8/month remote start fee.
After years of free exams and upselling, drivers surveyed in 2025 have reached a turning point. These features are no longer optional and predatory. However, 56% are happy to use third-party apps like Waze. It provides real-time traffic data at no charge.
Of the 24% subscribed, it’s almost even. 49% payment, 51% is available for free by car. Meanwhile, 40% of drivers don’t even know that these services exist in the vehicle.
Hits against a wall
Automakers expect 96% of new cars to be “connected” by 2030. Wi-Fi, Apps, The Works – three-quarters opt out, and strategy hits a wall.
Resistance comes down to several important issues. Subscription fatigue is real. Between streaming services and daily expenses, adding car rates feels like a breakpoint. BMW’s 2022 attempt to claim heating seats has caused rage, and SmartCar data backs it up. 77% consider these to be pure profit plays, while 69% switch brands to avoid paywall features.
Imagine buying a $40,000 car. Just find the full stereo behind the $150 annual fee is locked. For most people, it’s a hard pass.
Value is another sticking point. A 2023 survey from Cox Automotive showed that 53% could accept subscriptions if they reduced their car’s advance costs, but at the time only 21% knew that an idea existed. By 2025, awareness had risen, but appeals had been reduced. Autofacific data reveals that EV buyers are slightly open compared to 16% of gas vehicles.
Still, it’s a small group. Drivers want solutions rather than manufacturer revenue streams.
Privacy adds a darker layer. Mozilla’s 2024 report failed to perform security standards for all 25 major automakers. The car tracks speed, brakes, and, if synced, tracks phone contacts and shares them with manufacturers, insurance companies and third parties.
Data sent to an insurance company can raise premiums based on hard brakes or late-night drives. This is the reality that habits faced in 2024 when habits were shared with LexisNexis without clear consent. In a 2024 survey by Kaspersky, 72% of US drivers refused to track this, while 71% chose to escape the old car.
While the automaker claims it’s about safety and innovation, locking the horsepower behind the $1,200 Mercedes paywall feels like a shakedown. It explains an overwhelming pushback.
Cash Cow
These companies are chasing big numbers. McKinsey’s prediction By 2035, $3,000-400 billion in autonomous driving revenue, with subscriptions being cash cows.
Tesla’s fully autonomous driving costs $12,000 on the front line or $200 a month, while GM’s Super Cruise costs $25 a month in three years. Like the BMW heating sheet, over-the-air updates are unlocking any already installed hardware. Cox Automotive found 65% like a short-term exam, but if the feature stopped working later, 49% will keep the car for a long time.
There is a faint hope for the manufacturer. SmartCar points out that only 11% are completely opposed to subscriptions. Half of them use $5 a month, instead of $50, if the price drops. Volvo cut its care program from $1,800 to $775 for some models after the pushback.
Value Proposal
Brands like Subaru offer Starlink safety alerts (crash detection and SOS calls). Navigation that outperforms Google Maps and collision-preventing alerts can change the tide.
The basics of heated seats and stereo functions are a different story. If they are locked, many will leave. Used cars offer out. 71% of Kaspersky drivers look to older models to avoid this trend.
The SmartCar report highlights cutting. 76% of drivers draw a line. Automakers have the opportunity to pivot, but it’s up to them to prove that subscriptions aren’t just a fee. Do you pay for these features or break the contract? Your take is important.
