2. Volkswagen group India, the Indian subsidiary is
a part of Volkswagen AG.
It has its headquarters in Pune, Maharashtra.
The VW group is represented by three brands in
India : Volkswagen, Audi and Skoda.
VW has done a lot to increase its brand name,
which gives it the flexibility to sell higher-priced
cars.
3. Budgeted car segment (1-3 lakh)
Compact car segment(3-5 lakh)
Mid size segment (5-10 lakh)
Premium car segment(10-25 lakh)
Luxury car segment (25+ lakh)
4. • Volkswagen offers car models in Luxury segment, Midsize
segment, compact car segment in India.
• Following are the models which are available
1. Volkswagen Polo- ( compact car segment)
2. Volkswagen Vento,Jetta - ( midsize segment)
3. Other cars such as Beetle, Passat, Touareg,
Phaeton come under luxury and premier segment.
5. • Car users looking for sedan, SUV, hatchback are the
market segments which they are focusing.
• They Present themselves in various segments as the
premier manufacturer of high volume vehicles.
• Launched globally successful Passat in 2007.
• It was Targeted mainly for the luxury segment in
the Indian market.
• They launched their bestseller brand Jetta in India
in July 2008 to expand their portfolio and cater to
the mid segment.
6. New Beetle and high end SUV Touareg were
introduced in December 2009 in the high-end
segment.
December 2009 they started manufacturing the
hatchback version of Polo to target a huge
segment of small car buyers.
Plan to capture bigger market with Polo.
Vento was the next car which was targeting the
mass market.
7. Currently Volkswagen India offers a car in
every segment except budget car’s segment.
Volkswagen also has plans to target the ultra-
low-cost hatchback segment in India.
Volkswagen India has hoped to bring the one
and only low-cost car Volkswagen Up! priced
in the range of Rs 3-4 lakh.
8. Young executives, businessmen and urban
families.
Now have started targeting the mass market.
Some of the cars like Volkswagen Phaeton is
placed in a niche market to target niche audience
in India.
The company had outlets in all the major cities but
is now targeting semi-metro cities like Lucknow,
Bhopal and Vijayawada in order to expand its
market and availability.
9. Volkswagen India wanted to target the working professionals .
They wanted to build loyalty and aspiration and Influence
decision-making.
Volkswagen used LinkedIn’s broad reach (100 million members
worldwide, 9 million in India) and precise targeting capabilities
to connect with professionals who matched the buyer profiles
for their different models.
They launched a series of Recommendation Ads, and invited
the community to recommend their favorite Volkswagen
model. In less than 30 days, over 2,700 Volkswagen fans had
stepped forward to recommend their favorite cars and share
these recommendations with their professional networks.
Thus , Precise targeting by seniority and geography ensured
match with affordability criteria and dealership locations.
10. It is focusing on a large market, but is targeting
the upper-middle class and higher class.
Volkswagen has a 18 plus strategy to make it the
most eco-friendly automaker in the world.
Their focus is to become an economic and
environmental leader in the automotive
industry.
Strive for success in terms of customer
satisfaction and exploring new markets.
11. Audi offers top-quality, technically brilliant cars with
an exclusive flair in the relevant luxury segments
Around the world Audi has always been number 3
when compared to the more well known German
brands of Mercedes and BMW. However, that is
changing in India partly because Audi was able to
capitalize on the new designs featuring the “LED
eyelids” that are now copied by every other car
company.
12. Volkswagen India’s strategy is to present a
region-specific approach focused on vehicle
safety, fuel efficiency, and environmentally
friendly vehicles.
The right adaptations for the Indian market
will enable Volkswagen to differentiate itself
from domestic and international competitors
and generate growth.
Showcase German engineering coupled with
“Made in India” promise.
13. An example of differentiation by Volkswagen India was
introduction of BLUEMOTION Technologies incorporated in
their cars.
ThinkBlue mindset is combining mobility with sustainability
for people who care about the environment but do not want to
ignore the economical aspect and the fun of driving.
BlueMotion Technologies is a range of innovations and
refinements that represent the cleanest, most energy efficient
cars in the Volkswagen range.
It stands for the interaction of a number of technologies, for
example recuperation, the start-stop system, optimized
aerodynamics etc. They all work together to make a
Volkswagen more economical and reduce emissions.
Customers can recognize the most efficient models by the
name BlueMotion Technologies.
14. Volkswagen has positioned itself as the safety
leader that also offers lower operating costs and
eco-friendly driving.
They have also projected themselves as a
“premium, innovative brand”.
Volkswagen positioned itself as a premium brand in
Indian market, but it is now trying to reduce costs
and increase profit by removing many of its
premium traits and also by building local
manufacturing plants and selling smaller cars.
Positioned as the biggest automobile giants.
15. Audi is in the luxury segment. Skoda, however,
has taken a more premium positioning
compared to the Volkswagen brand, contrary
to the group's global practice.
Reposition its brands available in the country
so as to bring in more alignment with its global
image.
Competition for Volkswagen India is tough as
people have the notion that it sells mainly
upper segment cars and think of it as a very
pricey brand. Also, Brand recall is very low.
16. Example of Experiential positioning by Volkswagen : Experiential
positioning is the strategic process of understanding consumer desires,
creating and delivering a particular form of experience, and
communicating the firm’s proposed experience to consumers in a way
that differentiates the brand from competitors in the consumer’s mind.
The world’s first ‘talking newspaper’, which used light-sensitive chips to
speak to readers about Volkswagen as they turned the pages of their
morning newspaper. The talking newspaper ad created a sensation in
India, and garnered worldwide attention for taking print advertising to a
new level. In one year, brand awareness more than quadrupled,
increasing from 8 percent to a high of 37 percent.
