Enterprise Becomes First Car Rental Company to Launch a Subscription Program

The vehicle subscription service is already a bit of an unknown landscape. It’s already got a few wreckages – most notably Cadillac and its $1,800 a month subscription service – but it’s also got at least one success with Volvo, whose Care by Volvo program carries a fairly reasonable price tag. Due to the success, the Swedish automaker recently announced it planned to expand the Care program.

While it’s mostly been automakers launching vehicle subscription services as well as a few car dealerships, this is likely to change.  Enterprise Holdings, parent company to the Enterprise Rent-A-Car, National Car Rental and Alamo Rent A Car brands, has announced that it plans to launch the first subscription service offered by a vehicle rental company in the U.S. The company says the way American consumers think about vehicles today is changing – the idea of “mobility as a service” is on the rise — and it wants to be ready.

“The name of the game in ground transportation today is more access, more flexibility and more convenience – whether it’s for an hour, a day, a week or longer,” said Randal Narike, Executive Vice President of Operations for Enterprise Holdings, in a statement.

The subscription program will launch as a pilot project in three states, to allow enough time to study vehicle-subscription services and consumer preferences, according to the company.

“When it launches throughout the U.S., the service will be fully vetted and specifically designed to meet evolving consumer needs,” said Narike.

The company is well position to succeed (if anyone is going to succeed in vehicle subscriptions). There are more than 5,800 Enterprise-branded rental locations throughout the U.S., including local transportation options such as Enterprise CarShare, Enterprise Truck Rental, Commute with Enterprise, Zimride by Enterprise and Enterprise Fleet Management.

With one monthly subscription fee, customers will be able to pick from six different vehicle classes – full-size and premium sedans, small and mid-sized SUVs, and small and medium trucks – representing more than 20 makes and models. Subscribers will be able to swap models up to four times a month, and the subscription fee includes physical damage and liability coverage, maintenance, registration, roadside assistance and Sirius radio.

Enterprise has not yet released information about its subscription plan pricing.