How does BMW's subscription model work?

BMW's subscription model allows consumers to acquire a vehicle at a lower initial price point, offering an optional upgrade system for specific features later on. This model benefits both the consumer, who can access a BMW at a reduced cost, and the business, by creating a potential revenue stream from future upgrades. Features like heated seats are pre-installed in the vehicles, but consumers must pay a subscription to activate them. This can offset the initial cost of including these features, essentially lowering the upfront price for those who choose not to use extra features 1.