When VW gets their act together concerning CS and dealerships that conform to some type of standards,then maybe I'll look at a VW again. Been along time and there are too many options available to give VW any serious considerations.
Another month and not much has changed. I just don't get it.
"Of all major automakers, only General Motors and Volkswagen reported sales declines last month. GM was down 1.2 percent, and struggling VW was down nearly 13 percent."
it's the old story---if you don't have the right product mix for the current buying trend, you're going to suffer in sales. I think as younger people with families step into the car market, we'll see this shift continue for quite a while. Planning product 3 to 5 years out is something of a crap shoot, isn't it?
@Mr_Shiftright said:
it's the old story---if you don't have the right product mix for the current buying trend, you're going to suffer in sales.
That is VW to a tee. They are a non luxury brand with low luxury prices. They don't seem to hit the right note. However, they have to be happy with this bit of news.
Audi achieved the best month ever in AoA sales history in August 2014. This month’s record sales increased to 22.1% to 17,101 vehicles, a total that stands as the 44th consecutive month of record monthly U.S. sales for the brand. Audi U.S. sales year-to-date have increased 14.5% to 116,066 vehicles.
The Germans are trashing the Japanese Luxury brands.
@stever said:
Now they are shifting gears to keep their product fresher. I'm sure they've been hearing complaints from their dealers.
Hopefully VW does not go Butt Ugly to please the JaKor car buyers. I think VW has some of the better looking cars on the road. They offer better handling which raises the price a bit. That may not be of importance to most US buyers. I could be wrong, I think they are limiting their diesel engines and holding the buyers back. May be a supply issue as their 4 cylinder engines are some of the highest volume engines sold in the World. The V6 is used in their Audi and Porsche line as well. If you take the Passat as an example there are 16,248 on the lots for sale. Only 3700 are diesel. That is 23% available. They sold 30% TDI last month. Jetta is even more squeezed with only 18% diesel available. I see VW as not all that interested in selling lots of cars like the competition.
Looks like the party may be over (again) with all the news about the stagnating European economy. VW may wind up #1 next year, but with lower sales and lower profits.
I looked through the list. I think Honda got the biggest hit out of the airbag recall. Over 5 million vehicles. Another big Japanese fiasco. They have known about this since 2004. Could push VW over Toyota this year. Though not likely.
"VW ... expects to sell more than 10 million vehicles this year for the first time, four years earlier than initially planned. The German carmaker narrowed Toyota’s global sales lead to 72,000 vehicles in the first nine months of 2014 from 227,000 a year earlier, as General Motors Co. fell further back into third place."
"VW ... expects to sell more than 10 million vehicles this year for the first time, four years earlier than initially planned. The German carmaker narrowed Toyota’s global sales lead to 72,000 vehicles in the first nine months of 2014 from 227,000 a year earlier, as General Motors Co. fell further back into third place."
Here is the paragraph that tells it all. Where are the D3???
Volkswagen will probably spend more than any other public company on research and development for the third consecutive year in 2014, ahead of Samsung Electronics Co. and Intel Corp., according to a study by consultancy Strategy
Good. They can research how to stop their cars from breaking down.
Reliability Ratings for each Automaker
#1 Lexus #17 VW
VW rates low, but Audi, which competes more directly with Lexus, has moved up in the rankings in recent years. Do you have information regarding where Audi currently ranks?
"The other thing is Volkswagen has done a heckuva job. Warranty work has fallen off significantly in our dealer network because we are building a much better car, and that's where service express and trying to go up against Pep Boys and the aftermarket companies is crucial. We don't have the warranty work that we had four, five or six years ago that when we were going through a tough time selling cars, we were able to fall back on that and pick up some profitability."
It could also be that there is a big VW dealership 15 miles away in Danbury CT. Nothing like the 1200 GM dealerships Obama shut down. Auto makers want to put on a good front. A 65 year old run down building is not what sells today.
New Milford is a small town 6500 population with few buyers. Danbury is 80k population. I would imagine many buyers from his town went where the selection was better. He should be able to keep it as a VW indie repair shop.
I don't think US sales are as high on their list of priorities as the rest of the World. Ours is always the lowest profit sales. You pay a lot more for a VW in the EU than here. And prices in China are very high. We are a declining market while other countries like China and India are growing. When we bought in 2013 VW was offering crazy deals and zero financing. I don't think they are doing that anymore. I could be wrong, but profit is more important to the Germans than pure numbers. They are still ahead of GM worldwide and very close to Toyota. 2013 VW had a lot more profit than even Toyota. Not sure about 2014.
The auto industry, like the airlines, have awoken to the fact that profitability trumps sales volume. Expanding production can get expensive with the fixed costs that often come to play. Better #2 or 3 in sales, but #1 in profits.
"As Toyota developed its new manufacturing process, it found itself chasing Volkswagen, the world’s second-largest auto maker by volume, which in 2012 launched vehicles built on its own new global manufacturing platform."
"VW, based in Wolfsburg, Germany, posted sales of 202.5 billion euros, or about $214 billion, and net profit of €10.8 billion in 2014. Its unit sales of 10.14 million vehicles put it second globally, behind Toyota Motors’ 10.23 million and ahead of General Motors’ 9.92 million.
It was possible that Volkswagen would overtake Toyota in global sales this year, but that doing so would mainly be a matter of bragging rights. More important, he said, was the need to improve Volkswagen’s overall profit margin, which at 6 percent compares poorly to Toyota’s 10 percent."
I can see the concern. VW had a net profit of 11.7 billion euros in 2013. Now that the Euro is losing value, only worth about a buck and a nickel, they should be selling a lot more cars in the USA.
First VW leaves Rotterdam, to arrive in the USA in January 1949
I think the door is open on that Bug to let the last of the Cosmoline drip out.
Turns out that the Egyptians used a substance similar to Cosmoline in their mummification process. Which explains why that Bug in the cave cranked right up for Woody Allen in Sleeper.
I've been hanging out less which is kind of just getting life back together, an activity still in progress. You'll find me more often in the Buying and Selling topic but I'm starting to get back into something resemb;ing my normal swing of things.
Maube they need the Ask Sir Fezo back...
2015 Mazda 6 Grand Touring, 2014 Mazda 3 Sport Hatchback, 1999 Mazda Miata 2004 Toyota Camry LE, 1999.
As long as I'm here, where are all the people that own Volkswagens that are as reliable as Toyotas? I need to find them. My experience with Volkswagen goes back 35 years ago - an 80 Rabbit that was a ball to drive when it ran. That just didn't happen often enough.
Back in 99 I tried to pull the trigger on a Passat wagon and just couldn't bring myself to do it though I loved the car.
I seem to hear more about gremlins than about stellar liability which might cost me a GTI in two years.
Of course if the Mazdaspeed 3 that's coming up really lives up to its press clippings the point may be moot.
2015 Mazda 6 Grand Touring, 2014 Mazda 3 Sport Hatchback, 1999 Mazda Miata 2004 Toyota Camry LE, 1999.
I am 24K into my 48k mile 4 year full coverage including all service, even brakes. Only issue is with the same NAV software provider I had in my LAST Toyota. When I say last, I am 99% sure it will be the last Toyota I own. My Sequoia went through the OEM tires in 24k miles. I did not like Toyota service as they were very slow and over priced. Over 6 weeks with the NAV open while Toyota got a replacement from India was an issue. Rear door struts that never worked in the cold. Thankfully I bought the 7 year 70K mile warranty. We sold it very cheap to my wife's grand daughter with 36k miles and almost a year left on the warranty. The driver's side mirror started acting up. They did replace it under warranty. The bill was $1200 for a stinking mirror.
I am one cheering for VW to pass up that arrogant bunch at Toyota. VW has to find the sweet spot for American buyers. Hopefully they don't dumb down all their product to satisfy US. Right today, there is NOTHING sold in the USA I would trade for my VW Touareg TDI.
I would expect to be offered an extended warranty somewhere down the line. The first 24k went so fast, in just a year and 8 months. I can see us owning it for 100k miles. Unless VW offers the improvements I want to trade for. I see nothing on the 2016 to tempt me. The power train is warranted for 10/100k miles. As luxury cars go the service is cheap. My wife's LS400 is never cheap with those Lexus Leeches. I was so thankful to find a great Indie shop as she wants to keep it forever in the garage. Lexus wanted to charge her $1200 for a airbag light. Our Indie said it was just a glitch in the computer. Simple reset, cost $Zero. Lexus wanted $1200 to replace the gas gauge sender. Our shop charged $243. You cannot eat that many donuts to make up the difference. VW has donuts as well.
I know, that is what they will have to do to pass Toyota, build cheaper crap for the clueless Americans. The Passat is a good looking car. Nothing I would want, then I have not wanted a 4 door sedan since High School.
Toyota and GM are smirking right now. Lot to be said for the relative transparency of a "true" publically owned company.
Amazing that Subaru sold more cars in the US last year than ones with a VW logo on them
Does not surprise me in the least. They sell the best AWD wagon for the price on the market. And they are decent looking. They fit between a family sedan and a CUV. With a diesel engine and decent transmission I could like one. Seems Americans kind of like those screaming RPMS you get with a Rubber Band transmission.
Toyota and GM are smirking right now. Lot to be said for the relative transparency of a "true" publically owned company.
Amazing that Subaru sold more cars in the US last year than ones with a VW logo on them
Does not surprise me in the least. They sell the best AWD wagon for the price on the market. And they are decent looking. They fit between a family sedan and a CUV. With a diesel engine and decent transmission I could like one. Seems Americans kind of like those screaming RPMS you get with a Rubber Band transmission.
I just bought a 2015 Outback 3.6 with the CVT - haven't had any experience (in 2300 miles) with either screaming RPMs or any feeling of "rubber bandiness" with the transmission.
Though I, too, would like a diesel and a manual in a low-line Subaru.
"Michaell" I just bought a 2015 Outback 3.6 with the CVT - haven't had any experience (in 2300 miles) with either screaming RPMs or any feeling of "rubber bandiness" with the transmission.
Though I, too, would like a diesel and a manual in a low-line Subaru.
I have not ridden in or test driven the V6. The 4 cylinder I tested and my daughter's Forester both gave me the feeling of driving a snow machine. And the long up hill I took in my test drive had the engine revving over 4500 RPM to make it. Never a positive feel from engine to road speed. My daughter is in a relatively flat part of the USA, with no steep hills. She loved hers so much they bought a second one for her husband and son. I don't like the high engine RPMs it takes to get any 4 cylinder gas engine up our long hills at 75 MPH. Even our gutless V8 Toyota could not make it up Interstate 8 with traffic at 75 MPH without down shifting to fourth.
All bets may be off as Subaru is offering diesel with a new improved CVT. Bring it to the USA and keep the sales records going.
Improvements made to the CVT
Subaru uses the same Lineartronic transmission fitted to the Forester’s 2.0-liter diesel engine as the one used in the performance Forester XT. It has already been engineered to manage the diesel engine’s high 350 Nm torque output. Subaru also improved the NVH (noise) characteristics of the transmission with additional soundproofing, while a manual mode provides drivers with seven pre-set ‘gears’ for greater control of the engine. Subaru also added greater soundproofing material under the hood and around the air intake that should reduce noise from the diesel inside the cabin.
Comments
When VW gets their act together concerning CS and dealerships that conform to some type of standards,then maybe I'll look at a VW again. Been along time and there are too many options available to give VW any serious considerations.
Amazon should sell VWs--then you get good customer service and next day delivery!
Another month and not much has changed. I just don't get it.
"Of all major automakers, only General Motors and Volkswagen reported sales declines last month. GM was down 1.2 percent, and struggling VW was down nearly 13 percent."
Booming crossover SUV sales trigger car discounts (washingtonpost.com)
it's the old story---if you don't have the right product mix for the current buying trend, you're going to suffer in sales. I think as younger people with families step into the car market, we'll see this shift continue for quite a while. Planning product 3 to 5 years out is something of a crap shoot, isn't it?
That is VW to a tee. They are a non luxury brand with low luxury prices. They don't seem to hit the right note. However, they have to be happy with this bit of news.
Audi achieved the best month ever in AoA sales history in August 2014. This month’s record sales increased to 22.1% to 17,101 vehicles, a total that stands as the 44th consecutive month of record monthly U.S. sales for the brand. Audi U.S. sales year-to-date have increased 14.5% to 116,066 vehicles.
The Germans are trashing the Japanese Luxury brands.
Now they are shifting gears to keep their product fresher. I'm sure they've been hearing complaints from their dealers.
Volkswagen Jetta, Passat on Fast Track for Redesigns
Hopefully VW does not go Butt Ugly to please the JaKor car buyers. I think VW has some of the better looking cars on the road. They offer better handling which raises the price a bit. That may not be of importance to most US buyers. I could be wrong, I think they are limiting their diesel engines and holding the buyers back. May be a supply issue as their 4 cylinder engines are some of the highest volume engines sold in the World. The V6 is used in their Audi and Porsche line as well. If you take the Passat as an example there are 16,248 on the lots for sale. Only 3700 are diesel. That is 23% available. They sold 30% TDI last month. Jetta is even more squeezed with only 18% diesel available. I see VW as not all that interested in selling lots of cars like the competition.
http://www.freep.com/story/money/cars/general-motors/2014/10/15/vw-nudges-gm-nd-place/17297889/
https://www.youtube.com/embed/JHixeIr_6BM?rel=0&autoplay=1&iv_load_policy=3
adPSA.The huge airbag recall hasn't affected VW (yet).
I looked through the list. I think Honda got the biggest hit out of the airbag recall. Over 5 million vehicles. Another big Japanese fiasco. They have known about this since 2004. Could push VW over Toyota this year. Though not likely.
Audi recalls 850,000 A4 models globally for airbags that won't deploy (autoblog.com)
Unrelated to the bigger recall, and likely just a software fix. Still a big number.
VW plans to spend $106B chasing Toyota for sales lead
Here is the paragraph that tells it all. Where are the D3???
Volkswagen will probably spend more than any other public company on research and development for the third consecutive year in 2014, ahead of Samsung Electronics Co. and Intel Corp., according to a study by consultancy Strategy
Reliability Ratings for each Automaker
#1 Lexus
#17 VW
I thought Porsche was number ONE?
Less warranty work may be bad for the service department but it bodes well for consumers.
Volkswagen dealer: 'We've got to get in the game' (Automotive News)
http://carbuying.jalopnik.com/slow-sales-shuts-down-one-of-the-oldest-volkswagen-deal-1691877672/+travis
http://www.danburyvolkswagen.com/
New Milford is a small town 6500 population with few buyers. Danbury is 80k population. I would imagine many buyers from his town went where the selection was better. He should be able to keep it as a VW indie repair shop.
http://www.autonews.com/article/20150315/RETAIL07/303169986/early-vw-dealership-prepares-to-close-after-65-years
http://www.forbes.com/pictures/mkk45ieih/worlds-biggest-auto-companies-2/
Toyota Unveils Revamped Manufacturing Process (currently a free WSJ link).
"As Toyota developed its new manufacturing process, it found itself chasing Volkswagen, the world’s second-largest auto maker by volume, which in 2012 launched vehicles built on its own new global manufacturing platform."
It was possible that Volkswagen would overtake Toyota in global sales this year, but that doing so would mainly be a matter of bragging rights. More important, he said, was the need to improve Volkswagen’s overall profit margin, which at 6 percent compares poorly to Toyota’s 10 percent."
Murmurs of a Shake-Up at Volkswagen’s Top (NY Times)
Who would ever have imagined in the 1950s that VW would one day overtake the "mighty GM," as some people used to refer to America's leading automaker?
http://www.freep.com/story/money/2015/04/21/general-motors-volkswagen-global-sales/26132355/
http://www.autonews.com/article/20150423/COPY01/304239962/toyota-keeps-global-sales-lead-over-vw-gm-on-u-s-demand
Turns out that the Egyptians used a substance similar to Cosmoline in their mummification process. Which explains why that Bug in the cave cranked right up for Woody Allen in Sleeper.
Volkswagen chairman Piech resigns after dispute over CEO (Yahoo)
Maube they need the Ask Sir Fezo back...
Back in 99 I tried to pull the trigger on a Passat wagon and just couldn't bring myself to do it though I loved the car.
I seem to hear more about gremlins than about stellar liability which might cost me a GTI in two years.
Of course if the Mazdaspeed 3 that's coming up really lives up to its press clippings the point may be moot.
I am one cheering for VW to pass up that arrogant bunch at Toyota. VW has to find the sweet spot for American buyers. Hopefully they don't dumb down all their product to satisfy US. Right today, there is NOTHING sold in the USA I would trade for my VW Touareg TDI.
http://www.nytimes.com/2015/04/27/business/international/as-boardroom-struggle-ends-volkswagen-looks-to-the-future.html?hpw&rref=automobiles&action=click&pgtype=Homepage&module=well-region®ion=bottom-well&WT.nav=bottom-well&_r=0
Maybe VW needs to apply some lessons from the GM experience.
http://www.autonews.com/article/20150426/OEM02/150429852/vw-board-demanded-piech-go-after-learning-of-secret-plot
Plus...
http://www.autonews.com/article/20150425/OEM02/150429856
Amazing that Subaru sold more cars in the US last year than ones with a VW logo on them
Though I, too, would like a diesel and a manual in a low-line Subaru.
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2015 Subaru Outback 3.6R / 2014 MINI Countryman S ALL4
I just bought a 2015 Outback 3.6 with the CVT - haven't had any experience (in 2300 miles) with either screaming RPMs or any feeling of "rubber bandiness" with the transmission.
Though I, too, would like a diesel and a manual in a low-line Subaru.
I have not ridden in or test driven the V6. The 4 cylinder I tested and my daughter's Forester both gave me the feeling of driving a snow machine. And the long up hill I took in my test drive had the engine revving over 4500 RPM to make it. Never a positive feel from engine to road speed. My daughter is in a relatively flat part of the USA, with no steep hills. She loved hers so much they bought a second one for her husband and son. I don't like the high engine RPMs it takes to get any 4 cylinder gas engine up our long hills at 75 MPH. Even our gutless V8 Toyota could not make it up Interstate 8 with traffic at 75 MPH without down shifting to fourth.
All bets may be off as Subaru is offering diesel with a new improved CVT. Bring it to the USA and keep the sales records going.
Improvements made to the CVT
Subaru uses the same Lineartronic transmission fitted to the Forester’s 2.0-liter diesel engine as the one used in the performance Forester XT. It has already been engineered to manage the diesel engine’s high 350 Nm torque output. Subaru also improved the NVH (noise) characteristics of the transmission with additional soundproofing, while a manual mode provides drivers with seven pre-set ‘gears’ for greater control of the engine. Subaru also added greater soundproofing material under the hood and around the air intake that should reduce noise from the diesel inside the cabin.
http://www.torquenews.com/1084/20-liter-turbo-diesel-coupled-cvt-forester-first