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by rb666 1490 days ago
It makes perfect sense for BMW, if indeed it's more expensive to make 800 cars with heated seats plus 200 without, over 1000 with heated seats (standardized).
3 comments

The fact that it doesn't make sense to the buyers should factor into whether it makese sense for the manufacturer. I would feel uncomfortable knowing I'm unnecessarily driving around a subsystem that's ultimately going to end up in the landfill unused. Unless I bite the bullet and agree to a recurring fee. Sure, many won't know or care, but then you're actively selecting for a less discerning clientele.
> I would feel uncomfortable knowing I'm unnecessarily driving around a subsystem that's ultimately going to end up in the landfill unused

Person from Minnesota drives their car down to Florida and sells it. Buyer has no need for the car's heated seats & steering wheel, so it goes unused. Are you saying this is a problem?

Thanks to JIT and JIS, just-in-sequence the 200 non-heated once actually are cheaper. They cannot be sold as Seats as a service, nor can they be re-sold with heated seats after their leasing period ended. So all the SaaS model has to do is geberating enough profit to off set the higher cost of heated seats installed but not paid for. After that the re-sale value, for BMW, is higher and this whole stunt is a net positive for BMW.
> make 800 cars with heated seats plus 200 without, over 1000 with heated seats (standardized)

At that point you can spread the cost over 1000 instead of keep selling 800 at a higher price to cover for the 200. I also guess Pareto goes the other way (200 heated + 800 non-heated), which only makes it worse.