Ferrari’s plan to tackle PHEV, EV depreciation

Posted on June 27, 2024Comments Off on Ferrari’s plan to tackle PHEV, EV depreciation

Ferrari is looking for more ways to generate extra revenue, and it’s floated a subscription-style battery warranty as one potential avenue to line its coffers – and protect its cars’ resale value.

Bloomberg reports Ferrari will offer an annual subscription fee for batteries in its plug-in hybrid (PHEV) and electric vehicles (EVs), priced from about £7000 (A$11,250) per year.

The fee, reportedly planned to be billed as an extended warranty, would result in Ferrari’s PHEV and EV owners receiving a new high-voltage battery every eight years – regardless of whether it has faults or not – in a bid to reduce depreciation.

The annual subscription would also cover defects, though it’s not clear whether the vehicle’s standard three-year warranty would provide the same coverage.

At present, Ferrari’s hybrid models such as the 296 and SF90 include a five-year warranty for their high-voltage components. Between July and September 2023, they accounted for 51 per cent of all Ferrari deliveries.

According to Bloomberg’s Ferrari sources, a second battery pack replacement will be “automatically scheduled in a vehicle’s 16th year”, however it’s again not clear as to whether owners would need to keep paying the recurring fee.

While paying €56,000 (A$90,000) for a new battery may seem like a lot, the publication points out there are considerably higher prices being charged for other services from rival premium brands.

A three-year service program for the Aston Martin Valkyrie reportedly costs US$450,000 (A$676,000), while a four-year extended warranty for the Bugatti Chiron sets owners back closer to US$170,000 (A$255,000).

Ferrari’s battery warranty program will, if it comes to fruition, be available through the brand’s dealers from when its first EV goes on sale.

The first Ferrari EV is due to be revealed in 2025, with recent reports suggesting it’ll wear a €500,000 ($804,000) price tag.

Earlier this month, Ferrari told Australian media including CarExpert that its first EV will remain a true Ferrari.

​​“Driving thrills are the most important thing within our portfolio and we measure driving thrills in two ways,” said global marketing director, Emanuele Carando. 

“The easiest way is the smile the clients have whenever they drive our car and get out of the car. [This is] the best indication of how fun it is to drive the car. 

“But there is a more scientific approach which is longitudinal acceleration, lateral acceleration, braking, gear shifting and sound. Those five elements are the most important elements we evaluate and we build together to develop our cars. 

“The new electric vehicle will deliver different emotions versus the SF90, versus the Purosangue, versus the Roma or versus the 12Cilindri.”

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