- 30 models to be launched by group brands by 2022
- SAVWIN aims to achieve five percent market share in India
- VW will develop EVs for the masses
- VW India will launch four new SUVs by 2022
- Eventful pre-expo event sees car launches, unveils and announcements
Volkswagen’s behemoth Indian subsidiary, Skoda Auto Volkswagen India Pvt. Ltd. (SAVWIN), had a show of strength and a grand announcement of future plans at a glitzy event days before the Auto Expo 2020. The group’s first major event after a major merger, reshuffle and redefined identity for India back in October 2019 saw a new car launch, major new unveils and announcement of plans for the near future.
Skoda Auto Volkswagen India consists of five brands - Skoda, Volkswagen, Audi, Porsche and Lamborghini - and their motto for India is ‘Together for Tomorrow’. The group’s development centre in Pune has hired more than 200 engineers and is perfecting the MQB A0 platform which will underpin a slew of products for Skoda and Volkswagen. By mid-2021 the newer products from both the brands will be priced highly competitive in their respective segments, thanks to over 90 percent localisation of parts - this will be raised to 95 percent later. Combined, both the brands should have a market share of five percent in the mass-market automotive segment in the vaguely stated ‘medium term’.
How do they plan to achieve these targets? With an aggressive launch strategy. The group will launch 30 new cars in the Indian market by 2022, of which 10 will be hybrids or EVs. Skoda and Volkswagen will not be the first to introduce EVs in India, a top down approach will be used to help both the brands and customers acclimatize to the technology and challenges associated with it - the first EV to be launched by the group in India will be the Porsche Taycan.
Volkswagen’s ID brand of EVs will eventually make their way to India, but for now the brand will focus almost exclusively on SUVs. By 2022, the brand will launch four new SUVs - under the ‘SUVW’ plan. The onslaught will begin with the made-in-India-and-for-India Taigun. Apart from stylish yet competitively priced products, Volkswagen India is also focusing on improving its dealer network, especially low investment ‘touch points’, with a plan to have 150 of them by end of 2020. Reduced cost of ownership and increasing customer loyalty will also be a priority.
Skoda plans to increase annual sales to one lakh units from the current 15,000. This will be spearheaded by a series of launches beginning with the Superb facelift, all-new Karoq, the Octavia RS245, a SUV based on the Vision IN concept in 2021 and an all-new new notchback six months after that. Skoda is set to expand their dealer network from the current 85 touch points in 70 cities to 200 in 150 cities by 2023. Other customer centric announcements included a 13 percent reduction in parts costs, six-year warranty program and longer service intervals. Skoda also announced the launch of Skoda certified pre-owned cars network, which should boost customer confidence in the brand, brand loyalty and also attract used car buyers.
Apart from launching the all-new Audi A8L, the brand also stated how it planned to increase its presence in the Indian market. Audi India’s ‘Strategy 2025’ envisions improving four key areas - customer centricity, products, network and digitization.
Lamborghini India saw a 15 percent rise in sales in 2019, helped by launching new products within days or months of their global launches and also offering unique experiences to their clients.
Porsche did not reveal how it did in India last year, but the new 911 Carrera S, Macan and Cayenne Coupe seemed to have piqued customer interest. As stated earlier, the highlight for Porsche was the announcement that it would launch the all-electric four-door Taycan by the end of 2020.
