Cluno Car subscription – Start-up for mobility

Profile:

• Company name: Cluno GmbH
• Industry: Mobility / FinTech
• Formation: 2017
• Founders: Nico Poletti (CEO), Christina Maria Polleti, Andreas Schuierer
• Location: Munich
• Subscription-based model since: 2017
• Subscription models: Cluno car subscription: monthly flexible car rental, including free kilometres and all costs (except fuel).
• Number of employees: 60
• Turnover: not specified
• Investors: Valar Venures, Atlantic Labs, Acton Capital Partners, among others
• Total funding amount: 38 million euros*

* Source: Crunchbase

Cluno offers drivers a flexible car subscription and rental model. The Cluno car subscription is a flexible alternative to car financing and car leasing. Whereas buying and owning cars used to be compulsory, today attractive subscription offers allow for much more flexible options. The company Cluno GmbH, which was only founded in 2017, is a pioneer in this new mobility market segment in Germany.

Cluno car subscription starting at 259 euros

Those who are interested in a monthly Cluno car subscription simply make the booking via app and conclude the subscription with a minimum contract period of 6 months. Initially, a start-up fee of 299 euros including VAT is due. After six months, the driver can switch to another model or brand, pause the subscription or end it. Prices start at 259 euros a month for an Opel Corsa. For a Porsche 718 Boxster, the subscription fee is 1,299 euros a month including all costs such as insurance, GEZ fees, car tax, registration, repairs, inspection and taxes.

Unlike leasing, there are no hidden costs, such as a final instalment. Only the costs for refueling and self-inflicted damage are not included. 15,000 kilometers per year are free. Additional kilometers are charged monthly at 20 cents per kilometer.

Car subscription: an opportunity for the automotive industry

With its offer, Cluno fulfils a consumer need in line with the spirit of the times and closes the gap between leasing, classic renting and car sharing. With the car subscription, providers like Cluno relieve drivers of the typical duties of a car owner and provide them with more flexibility and liquidity. That the car industry also believes in the model is shown by the diverse car subscription projects and commitments of all carmakers from Audi to Daimler and Porsche to Volvo all over the world.

Cluno: 50% Mobility and 50% Fintech

With Valar Ventures, founded by Facebook investor Peter Thiel, as well as Atlantic Labs and Acton Capital Partners, three renowned venture capital companies belong to the circle of Cluno investors. Only in January 2019, the founders Nico and Christina Polleti and Andreas Schuierer closed another financing round of 28 million US dollars for their expansion in Europe and to extend their technical lead. Cluno sees itself as both a mobility and a fintech company.

While the provider is perceived by the user as a digital car subscription, Cluno buys and refinances cars on the supply side and supplements them with services such as insurance, vehicle taxes and registration. An important component of the business model is the close partnership with car manufacturers.

The automotive industry is discovering a booming market

Subscription models have recorded very high growth of more than 100% in the past five years according to McKinsey. This means that Cluno and other providers are operating in a very high-growth market. The consulting firm Frost & Sullivan even predicts that car subscriptions will account for around 10% of all car sales by 2025. The future viability of this car market ultimately also corresponds to the current spirit of the times.

News about new mobility concepts that take into account new technologies, the environment and climate change is gaining momentum. Research shows that the automobile is still highly valued in Germany as a car country. However, the way the vehicle is used is changing. While at the time of a new registration the value of a vehicle has already dropped considerably, the user of a car app only pays for the use itself. Cluno thus complements the mobility mix and delivers an attractive and future-proof subscription offer for all customers who prefer to drive vehicles rather than own them.