BMW's heated seat subscription

In July 2022 BMW started charging a subscription for their heated seats as part of their Functions on Demand system. BMW's Functions on Demand system operates on a user opt-in/out subscription to enable various functions inside their vehicles. In September 2023 BMW stated they are no longer charging a subscription for heated seats.

Background

Heated seats first appeared in cars in 1966. However, it wouldn't be until 1972 that some cars would come with heated seats as standard, with others charging for optional packages to include them.

Heated seat subscription

South Korean heated seat subscription pricing. Photo by motor1.com taken from BMW South Korea.

BMW stated that around 90% of customers would order the optional heated seat package. In order to streamline their factories, they started installing heated seats in all vehicles. Ordinarily the costs saved by streamlining factories would be passed on to customers with lower vehicle pricing, or by offering advanced features at a more competitive price. However, BMW's approach is to continuing charging for such features, using recurring fees rather than a one-time purchase.

BMW started testing the waters with their heated seat subscription in South Korea. South Korean's monthly pricing is ₩24,000, using the 2022 currency conversion to USD this works out to approximately:

• $18/mo
• $176/yr
• $283/3yr
• $406 for unlimited use

A similar subscription is offered for heated steering wheels, with costs at:

• $10/mo
• $92/yr
• $161/3yr
• $222 for unlimited use

Legal impact

Introduced September 2022 New Jersey's Assembly proposed a bill to make it illegal for automobile manufacturers to offer subscription services for any motor vehicle feature that:

1. utilizes components and hardware already installed on the motor vehicle at the time of purchase or lease by the consumer; and
2. would function after activation without ongoing expense to the dealer, manufacturer, or any third-party service provider.

The bill later died in committee.

Consumer response

Many BMW owners found it unacceptable to pay a subscription for a feature that was physically present in their vehicles. A common feeling between consumers was that they were being "charged twice for something they already owned". There were also concerns over privacy and security, as the vehicles are connected to the internet and can be controlled by the manufacturer. This lead to questions about data privacy and potential intrusions.

BMW's response

In September 2023, following severe consumer backlash, BMW suspended their heated seat subscription model. However, they still plan to look to explore other options regarding their Functions on Demand system. Some of these other options include dashcams and remote start functions, according to a BMW statement.