HDT Explores Mack's Subscription Plan for the MD Electric
HDT's Jim Park reports on how Mack Trucks said it's making it easier for fleets to add Mack MD medium-duty electric trucks with its new ElectriFi Subscription, which will allow customers to pay as they go based on miles driven.
In an effort to help customers more easily adopt battery-electric vehicle(BEV) technology into their fleets, Mack Trucks now offers ElectriFiSubscription, a Mack Financial Services usage-based leasing option exclusiveto new Mack MD Electric models.
Photo: Jim Park
3 min to read
Mack Trucks will offer its new MD Electric models on usage-based leasing option from Mack Financial Services called ElectriFI Subscription. ElectriFi Subscription allows customers to pay as they go for miles driven with chassis and body, charging, applicable incentives, physical damage insurance, and maintenance costs for the term of the agreement bundled into a single monthly payment for simplification.
Mack says the plan is intended to help fleet customers of all sizes more easily adopt battery-electric vehicle (BEV) technology into their fleets. The ElectriFI Subscription plan is available exclusively for the MD Electric model.
Mack entered the medium-duty BEV market in March 2023 when it launched a battery-electric version of its 3-year-old Mack MD model at the National Truck Equipment Association 2023 Work Truck Show in Indianapolis, Indiana.
New Subscription Plan
Mack, this week, staged a trade-media ride-and-drive event at the Sonoma Raceway in Sonoma, California to coincide with the introduction of the new subscription plan.
ElectriFi Subscription reduces the customer’s upfront investment while lowering their long-term risk with the option to walk away at the end of the term. Terms are flexible starting at three years, with an option to extend up to a total term of six years, Mack says.
“Mack and Mack Financial Services have given customers several optimized financing options that will help support their businesses,” said George Fotopoulos, Mack vice president, e-mobility business unit leader. “ElectriFi Subscription, the other financing options, and the Mack Ultra Service Contract were designed to help remove any hesitancy about financing, service, and support that customers might experience as they electrify their fleets.”
Tier-Based Pricing
“Pick your term pay and save as you go.” This illustrates the relativereduction of the lease rate as customers choose longer terms and highermonthly mileage commitments.
Source: Mack Trucks
The plan is based on a minimum mileage commitment, but the rate per miles drops as the monthly mileage commitment increases. The minimum commitment is 1,700 miles per month, or 20,400 miles per year.
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“It's tier-based pricing, which means the more mileage that you use it in a given month, the rate actually goes down,” says Fotopoulos. “That incentivizes utilization of the vehicle. With a three-year commitment, the cost per mile will be more than with a six-year commitment.”
Infrastructure Assistance
ElectriFi Infrastructure is a turnkey solution that’s available for all purchases or leases. Mack along with third-party partners will assist customers in developing the charging station design, installation, construction, hardware, and software needed for new BEV charging facilities, alleviating customer guesswork about what is required for adequate infrastructure.
Financing
All-inclusive financing is available with this option, provided your vehicles are funded by Mack Financial Services, including up to a 60-month loan.
Lease Options
ElectriFi Lease enables customers to add BEVs into their fleets with reduced upfront investment. Customers have access to Mack telematics through the Mack Ultra Service Contract. Mack’s Route Support Services team will help customers analyze existing routes, infrastructure upgrades, and seamless integration.
This offer has full lifecycle financing options and renewable five-year terms.
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Service Contract
The Mack LR Electric can be covered by the Mack Ultra Service Contract.
Photo: Wayne Parham
The Mack Ultra Service Contract is a standard five-year comprehensive bumper-to-bumper service contract for the Mack MD Electric and the Mack LR Electric refuse model. The contract includes telematics with battery monitoring; a high-voltage battery performance guarantee; all scheduled
maintenance; all preventative maintenance; all repairs excluding accidents, tires and glass; towing for warrantable failure to the nearest Mack Certified Electric Vehicle Dealer; and Mack OneCall.
Key Features
The key features of ElectriFI Subscription, according to Mack, are:
Pay for miles driven only, with a minimum monthly commitment.
Tiered-based pricing. Rate per mile goes down when miles reach a higher tier.
Choose your level of commitment with flexible term options.
Limited upfront investment and an end-of-term option to buy, renew or walk away.
One-Stop-Shop solution simplifies customers’ administration work and operational cost calculations.
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