German car maker Volkswagen has been in India for quite some time now. However, the brand has not been able to achieve the projected figure of sales. However, on a more optimistic note, the company plans to target the fast growing compact SUV and compact sedan segment in India to boost its sales growth and take on rivals like Ford, Renault and Honda.
Hinting on the growth strategy, Michael Mayer, Director of Volkswagen Passenger Cars said, “Within next two to three years you can expect Volkswagen brand bringing substantial products like a compact SUV and a sub-four metre compact sedan.”
Mayer also said that the new SUV will be India centric and can be exported to other countries.
Volkswagen had announced Rs 1,500 crore of funds for the Indian market. The company plans to develop new products using these funds.
Expressing his views on the compact sedan, Mayer further added, “I would not call it sub-four metre Vento, but we are certainly looking at a vehicle in this segment. It will not be a Vento but it will be a car of its own.”
Commenting on company’s optimistic strategy, Mayer added, “We have 10% market share in Vento and Polo segment and we hope in the next few years we will achieve the same market share in the all segment we will be present in.”
The compact SUV will be placed against Ford’s EcoSport and Renault’s Duster while the compact sedan will take on competition from the likes of Honda Amaze and Suzuki Swift Dzire. The company will face stiff competition in the compact SUV segment as local manufacturers like Tata and Mahindra are also planning to introduce products in that segment.
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Source: Economic Times