Reality check for VW: Lowers marketshare target for India

30th June 2014, 10:51

Looks like VW should Lower their market share target in other markets too.

http://247wallst.com/autos/2014/06/2...ge-16-in-june/

They are loosing volumes in US too. Their sales Volumes are decreasing Rapidly. The industry estimate says the auto sales will decline by 3.1% however VW share is declining at 16%. Reason: average problems per 100 cars stands at 128, way above industry average of 116.

arnabchak · 30th June 2014, 11:16

@Gemi

Very relevant stats
Where is this great global brand going wrong? Is it the wrong product mix or the attitude?

US "junta" is not forgiving and the laws are stringent. This is pretty serious stuff as you have 128 problems per 100 cars!!

Mad Max · 30th June 2014, 14:11

I think you guys make an excellent argument but this thread is for VW market share. I'd request you to figure out the right thread to continue this discussion.

As for VW, I wonder how their other sister brands are doing. Especially Audi. I am hearing good things about the A3 and I am sure that price also gets more profits. Maybe, they are thinking "why bother with cheaper brands while we can mint money with Audi and upscale brands that we have?".

They've always known that it's an uphill battle on the volume play. Think about it, they bring in the A3, price it at let's say 22-24L and bam! they are selling a re-badged Jetta at a 20-25% premium. And I am sure the net profit on any of their "premium" sales is higher than what they make on their mid-market offering.

30th June 2014, 10:51	#106
gemi_kk Posts: n/a	Re: Reality check for VW: Lowers marketshare target for India Looks like VW should Lower their market share target in other markets too. http://247wallst.com/autos/2014/06/2...ge-16-in-june/ They are loosing volumes in US too. Their sales Volumes are decreasing Rapidly. The industry estimate says the auto sales will decline by 3.1% however VW share is declining at 16%. Reason: average problems per 100 cars stands at 128, way above industry average of 116.
	() Thanks

30th June 2014, 11:16	#107
arnabchak Senior - BHPian Join Date: Sep 2009 Location: MH-04 Posts: 1,346 Thanked: 1,162 Times	Re: Reality check for VW: Lowers marketshare target for India @Gemi Very relevant stats Where is this great global brand going wrong? Is it the wrong product mix or the attitude? US "junta" is not forgiving and the laws are stringent. This is pretty serious stuff as you have 128 problems per 100 cars!!
	() Thanks

30th June 2014, 14:11	#108
Mad Max BHPian Join Date: Nov 2007 Location: Bangalore Posts: 941 Thanked: 1,448 Times	Re: Reality check for VW: Lowers marketshare target for India I think you guys make an excellent argument but this thread is for VW market share. I'd request you to figure out the right thread to continue this discussion. As for VW, I wonder how their other sister brands are doing. Especially Audi. I am hearing good things about the A3 and I am sure that price also gets more profits. Maybe, they are thinking "why bother with cheaper brands while we can mint money with Audi and upscale brands that we have?". They've always known that it's an uphill battle on the volume play. Think about it, they bring in the A3, price it at let's say 22-24L and bam! they are selling a re-badged Jetta at a 20-25% premium. And I am sure the net profit on any of their "premium" sales is higher than what they make on their mid-market offering.
	(3) Thanks