Volkswagen India's decision to reposition Skoda leaves buyers unhappy

Volkswagen India’s decision to reposition Skoda leaves buyers unhappy

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It was revealed  earlier yesterday, that Volkswagen India is going to reposition their brand Skoda in India. In auto markets around the world, where both Volkswagen and Skoda are present, it is Volkswagen cars that feature above Skoda cars, but in the Indian auto industry, it is vice versa. VW now aims at repositioning Skoda in India in accordance with their global image.

This shuffling will move Skoda third in the order after Audi and Volkswagen in the Indian auto sector. Volkswagen offers seven cars in India which include the Polo, Vento, Jetta, Passat, Phaeton, Touareg and Beetle. While, Skoda has five models present in the country such as the Fabia, Rapid, Laura, Superb and Yeti.

VW’s decision to reshuffle Skoda has come as a surprise to many car buyers in India who are happy with the way Skoda is placed in India currently. According to them, reshuffling will majorly mean decreasing prices of the variants, which will only be possible by either removing features or installing cheaper materials.

Another way is to reposition their brand image in India is to improve the quality of after sales service. Many VW India customers have complained of receiving improper treatment from authorized dealers. There was a case back in September this year, where a customer’s Jetta was thrashed completely while it was at the dealership. Another VW India dealer has been accused of taking 60 days instead of 2 for fixing customer’s Jetta.

Volkswagen has reported a 67.30% year on year increase in Indian sales. Sales stood at 7266 units in October 2012, up 67.30% as compared to the same month a year earlier. Volkswagen Polo hatchback and the Vento sedan formed the main stay for the company with most demand seen where these two models were concerned. The company is now eagerly awaiting the upcoming festive season with anticipation expecting to see increased demand, but at the same time, they also need to keep in mind the rising number of complaints from their existing customers.