More people are opting to split the costs of purchases over several months or even pay monthly to rent a product – like using a bike over the course of a year. While this is hardly a new concept, it has become far more common and innovative. There are many services the world over that have e-bike sharing and long-term rentals and we wanted to take a practical approach to the benefits of ownership vs subscription.
Monthly payment options with Ampler
At Ampler we offer a range of leasing and financing options, depending on where you live. We want as many people as possible to have the ability to get their hands on an Ampler and start enjoying the benefits of riding an e-bike. As an example, here is a simple payment plan for our latest Stellar model in Germany through
Whether it’s leasing or renting it’s clear that subscription services are on the rise. We wanted to have a look at why monthly payments are so attractive, the extent of subscription services, and the benefits of committing to purchase.
Reasons for a rise in subscription
Attractive: Many companies offer subscription products as it lowers the so-called ‘entry barrier’. This entices the customer as they are more eager to spend when it means less money up front. Equally, the customer now has a familiarity with the product and brand on a monthly basis. By balancing your budget and committing to the plan you can immediately partake either in the product or service on offer.
Flexible: Nowadays the best subscription services will allow an opt-in and opt-out structure. Whether it’s receiving books, toiletries, films, or even renting bikes and vehicles, you only feel committed on a monthly basis. This attracts people who can’t afford the full asking price for bigger items. If it is something like an e-bike, for example, those that subscribe will receive it quickly and often have the choice of quick replacement in case of accident or maintenance.
Convenient: There is clearly a convenience to many subscription services. The automatic online payments, met with reliability, removes stress and time-wasting. We have become so used to paying for our commodities with online payments that it is becoming second nature to expand the list to more items and services. You also get systematic updates in terms of software or even hardware – removing the anxiety of becoming obsolete.
Do we want to live in a rental world?
Monthly payments, timely delivery, and replaceable products, are all the hallmarks of a rental or subscription-based lifestyle. However, what are you trading for quick convenience and what does it provide?
Clever and niche concepts have taken rental and subscription plans further. This is all aided by the growth of tech in the delivery sector. Grocery, pharmaceuticals and, frankly, weirder products can now be shipped directly to your door weekly or monthly. From the simple days of ‘fruit of the month’ have come more bizarre subscriptions like cat paraphernalia, chicken farming equipment and even monthly murder mystery kits.
However, while consumables and collectables are fun, what was once considered a one time-purchase have now become rentable. An interesting example in both Europe and the US are the companies offering rental furniture. With unsteady housing across many countries a product that was quintessentially a one-time deal now has several successful companies renting or leasing furniture with 0% interest.
This is also true of e-bikes and electric mopeds, wherein you pay a monthly price to use one for as long as you need it. This usually consists of very limited bike models but has the convenience of 24 hour repairs and replacements. There’s also rental e-bike apps where you can find rides on the street for single-use journeys.
However, when it comes to something as personal as your transport or housing does relinquishing ownership have to be the only way? This new age of convenience and price-friendlier options are at their core an instant gratification. Simply clicking and receiving makes it easy for anyone to get carried away.
You could argue we are more comfortable with indefinite purchasing plans and the abandonment of certain milestones like home or vehicle ownership. In fact, for several products or services, you often end up paying a much higher rate depending on how long you are subscribed and how much you use it.
But as popular as subscriptions are, there is a significant downside, and that is simply cost. Subscribing to things can seem inexpensive at first, but if you continue renting the same thing over a long period of time, then you might end up paying more than what it’s worth.
Engadget: Life online: Subscribe to everything, own nothing
This is not to dismiss any business offering a good service for their customers. As stated it can have enormous benefits depending on need. But in an age where we have seemingly outgrown owning – from the media we consume to the way we live and travel – we have to ask ourselves: what becomes more dependable, the subscription or the product?
So why buy?
Choice: When making an important purchase you undoubtedly want the best option within your budget. Committing to buying something like a piece of furniture, a new phone, or even an e-bike, lets you explore the item and be more confident in your decision. Rather than a quick and easy solution make sure what you’re getting is absolutely right for the reasons you’re going to use it.
Quality: It is far more likely that when buying you are getting a top-of-the-line item. When a company is committed to one-time purchases its reputation will depend on its product standard. Flexible subscriptions may be a way to draw customers in but they may also care less about customers opting out. The product is likely mass-produced or second-hand, with its utility more important than its durability. Especially with quick-to-replace options in case of breakage.
Part of the family: We can at least speak for Ampler when saying that buying an e-bike is a commitment by both parties. When designing an item for commuting we understand that tune-ups, assistance, and satisfaction is all part of the process. For merchandise as special as this, we aim for not just a good product, but good service and trust in what we provide. Your e-bike is your own and should always be up to your standard. Therefore warranties, return policies and services are part of the package.
Pride in ownership: If you have taken the time to research, choose and purchase a product a sense of pride comes with it. Moreover you have selected something specifically for you. Likely you chose a preferred model, colour scheme, and have suited it to your day-to-day needs. With subscription-based e-bikes you will receive a used and replaceable product that is likely a one-size-fits-all type deal. You will reasonably get less enjoyment out of something you consider not only disposable but isn’t actually yours.
Reliability: Owning or leasing your own vehicle, whether car or e-bike, means that it’s always in your possession. With sharing options they are often ‘free-floating’ on public streets and you need an app to find and unlock it. Compare this to something that’s always at your side, it becomes invaluable in case of emergency or for daily use. You are also limited with customisations and mileage limits. With your own vehicle you have a dependable product ready for when you need it.
Conclusion
Subscription, leasing and buying are all good options depending on the item or service. We believe it ultimately comes down to how you intend to use it. Ampler bikes are high-quality, aesthetically pleasing, and something you can commute with every day. A purchase is a commitment, and we’re happy that we have more options each day for monthly payments and partnership leasing choices. We also offer 2 year warranties and have showrooms and partner service stations all over Europe.