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Introduction - Volkswagen (VW) is one of the world’s leading

automobile manufacturers and the largest carmaker in Europe

Volkswagen in German language means people’s car

Founded - 28 May 1937 (75 years)

Founder(s) - Ferdinand Porsche

Headquarters - Wolfsburg, Germany

Slogan - Das Auto ("The Car")

Area served - 153 countries

Subsidiaries - Audi, Bugatti, Bentley, Lamborghini, Porsche, SEAT,


Skoda, Volkswagen and Scania CV
Volkswagen entered the Indian passenger car market in 2001 by
launching its car brand - Skoda. In 2007, two of its other brands Audi
and Volkswagen, were also launched in India.

Volkswagen Group India emphasized on all aspects of marketing mix


including product, price, place and promotion.

The company offered three brands including Audi(10), Skoda(4) and


Volkswagen(7) that together comprised of 21 different models as of
May-2013.

Volkswagen Group India mainly catered to the luxury segment of the


Indian car market.

The company had established presence in India through separate


distribution channels for each of its brands.
70% of passenger cars are small cars in India.
The pricing needs to be within the competition.
Need for changing its market strategy for India.
 Majority of Indians did not know anything about Volkswagen, not
even the pronunciation.
Brand awareness was 4% as compared to 70% which competition
enjoyed.
India is an important market for Automobile manufacturers.
Indian automobile market is growing market.
Easy Financing Options are available.

Challenges for VW in India -


Expertise in Premium cars Priority to performance Skewed
towards compact cars Priority to economy.
Worlds first talking newspaper
Volkswagen took advertising to a new level with an innovative audio
advertisement in newspaper.
On Tuesday September 21, 2010 as readers opened the newspaper a
lightsensitive chip attached to the page announced the arrival of “a
perfectly engineered car” – the Vento.
25 lakh readers of The Times of India and The Hindu were taken by
surprise.
It cost VW 5 crore rupees.

Social media
VW India’s FB fan page has more than 1.5 million likes and Twitter
page has more than 11,000 followers.
Official YouTube channel for VW 57 million subscribers worldwide
Broadcast numerous videos for promotion and brand awareness.
Product
21 different models under 3 brands.
Produced at Chakan Plant, near Pune.
More assembly plans in India – competitive advantage.

Price
Targeted mainly for the luxury segment in the Indian
market.
Plan to capture bigger market by launching many new
cars priced sub-10 lakh rupees .

Place
Significant presence – Currently, the company has
around 200 dealerships and outlets across major cities.
By 2015, it would double the number of dealerships.
Well, increasing the proximity of the dealerships for
the customers will be surely a successful move.
Promotion
Launched Integrated Marketing campaign in November, 2009.
Collaboration with DDB Mudra.
Evoke consumer awareness of VW as a brand.
Innovative promotional campaigns – OOH, print ads, TVCs.
Print media – Communicating benefits.
Television Commercials – Brand building.

Purpose
Building brand image through innovative promotional campaigns.
Earlier example – “think small” for Beetle in 50s.
Core focus on luxury segments.
Low cost VW Polo for targeting masses.
Achieve significant awareness of VW as a brand before launch of Polo.
Showcase German engineering coupled with “Made in India” promise.
Any questions?
THANK YOU!

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