The development of subscription car service in Brazil

Márcio Henrique Fronteli and Edson Pacheco Paladini

International Journal of Automotive Technology and Management, 2025, vol. 25, issue 1, 38-63

Abstract: Car subscription services in Brazil are offered both by vehicle manufacturers and independent rental companies (IRC). This study aims to structure the car subscription business model provided by vehicle manufacturers in Brazil using an exploratory-qualitative approach. The research involved participation from subscription program managers and car rental industry experts. The obtained results encompass the characterisation of the car subscription service and market in Brazil. Additionally, driving factors and barriers for the development of this business model were identified. Subsequently, the results were analysed and integrated into a new framework for the business model. These findings contribute to expanding the understanding of business models based on digital servitisation and provide insights for further research. The conclusions emphasise that the car subscription service in Brazil is on an upward trajectory; however, it still requires updates and adaptations to fully meet the demands of the consumer market.

Keywords: business model; digital servitisation; automotive sector; car subscription; Brazil. (search for similar items in EconPapers)
Date: 2025
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