Volkswagen charts out SUV-led roadmap for India

German auto major Volkswagen on Monday said it is looking to focus on SUV segment in the Indian market with plans to drive in four such models over the next two years.

FILE PHOTO: A Volkswagen I.D. Space Vizzion concept is displayed at the LA Auto Show in Los Angeles, California, U.S., November 20, 2019. REUTERS/Lucy Nicholson/File Photo (REUTERS)
FILE PHOTO: A Volkswagen I.D. Space Vizzion concept is displayed at the LA Auto Show in Los Angeles, California, U.S., November 20, 2019. REUTERS/Lucy Nicholson/File Photo

"There is lot of excitement within our organisation as we are transforming rapidly. We are making market specific strategies and we are on move to move forward here in India," Volkswagen brandboard member Juergen Stackmann told reporters here.

Under its renewed strategy, the Volkswagen Group in India would be focusing on SUVs, he added.

"We will be bringing four new SUVs into the market within the next two years," Stackmann said.

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He further said that the company has learnt lessons from the past and taken corrective measures such as increasing localisation levels, taking appropriate cost structures and innovations to suit the Indian market for the Volkswagen brand to have a strong foothold in India.

The increase in localisation in India will also help the company to export products to markets like ASEAN, where it is currently struggling, at competitive prices and make a mark.

Similarly, Volkswagen Passenger Cars India Director Steffen Knapp said the company is aiming for establishing an economically viable sales network.

The company with its partners has developed low cost sales formats, he noted.

"Our plan is to ramp up sales touchpointsto 150 by the end of this year. By doing this we would have increased our touchpoints by over 30 per cent since 2017," Knapp said.

On cost of ownership front, he said, the last year has been very decisive for the company.

The company has rationalised all cost structures related to sales and aftersales, Knapp said.

Volkswagen currently sells models like premium hatchback Polo, SUV Tiguan, among others, in India.

First Published Date: 04 Feb 2020, 13:29 PM IST
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