Auto Spectator recently reported that the Volkswagen Group has awarded 20 young people from ten countries and three continents the “Best Apprentice Award 2007” in Mlada Boleslav (Czech Republic). During the previous year, it trained over 9,000 men and women worldwide.

It was Prof. Dr. Martin Winterkorn, Chairman of the Board of Management of Volkswagen Aktiengesellschaft, Board Member for Human Resources Dr. Horst Neumann, and Bernd Osterloh, President of the Volkswagen Group Global Works Council, who presented the award certificates at the Skoda headquarters. The ceremony was also held along with a joint meeting of the Group Global Works Council and the Group Board of Management.

Winterkorn was pleased with the apprentices’ achievement saying, “The Volkswagen Group is committed to encouraging talent. That is why we train young people at all sites worldwide, thus giving them a perspective.” Neumann also said, “Volkswagen needs first-class employees. Professional development is also important once training has been completed. For this reason we have introduced programs such as the ‘Journeyman’s travels’ scheme to give apprentices the opportunity to gain experience at Volkswagen sites in other countries such as only a global company can offer.”

Osterloh also addressed the apprentices and said, “It is both an honor and a duty for you to continue to progress in your careers with the Volkswagen Group.” He added that, at the same time, the entire Group had a responsibility “not to lose touch with these talented and committed colleagues in order to harness the great potential they represent.”

The apprentices excelled in different fields, namely, fitter from Györ (Hungary), industrial mechanic from Hanover (Germany) and the electronics technician from Uitenhage (South Africa). Each apprentice will undergo a special program developed by the relevant Group companies.

In their four-day stay in Mlada Boleslav, the apprentices toured the Skoda plant and were able to meet various instructors. They also got a chance to do test drives, visit the Skoda Museum and tour Prague.

A recent article from the Automotive Business Review revealed that Volkswagen Group China is now aiming for higher sales this year of 900,000 vehicles.

The company declares that it reached a new sales record for the first nine months as it works together with Shanghai Volkswagen and FAW-Volkswagen.

According to the report, Volkswagen vehicles delivered in China mainland and Hong Kong increased by 30.2% to 684,786 units. Sales include the Volkswagen brand which amounted to 594,270. Meanwhile, Audi was able to deliver 76,168 vehicles. Skoda, on the other hand, sold 14,094 vehicles.

With the recent satisfactory sales, Shanghai Volkswagen and FAW Volkswagen decided to increase vehicle production by optimizing organization and logistics. Due to the Volkswagen Group China’s (VGC) restructuring strategy “olympic program”, it experienced better productivity. Although the company does not stop there, it is currently looking for other means in preparation for future demands.

Martin Winterkorn, chairman of the board of management of Volkswagen said, “We are now targeting 900,000 vehicles in 2007. Volkswagen in China is ahead of its restructuring plan and in best condition for the challenges in the worldwide most competitive market.”

Focusing on VGC’s restructuring program, Winfried Vahland, president & CEO Volkswagen Group China, said: “Besides the outstanding sales record with a new target of 900,000 vehicles in 2007 we also achieved to increase our profitability in the third quarter faster than in the already promising first half year.”

Quotes are all from Automotive Business Review.

An official from Volkswagen Imports and Sales Company has promptly declared that by the first quarter of 2008, the Volkswagen Multivan and the Volkswagen will be touching ground in the Chinese automotive market. The Volkswagen Multivan is the crossover vehicle exhibited at the Chengdu Auto Show just last week, while the Volkswagen Eos can be described as sleek convertible vehicle.

In Multivan’s entrance to China, it would be tasked to compete head-on with the Mercedes Benz Viano. To date, the Viano is doing relatively well in the Chinese industry with 600,000 Yuan or equivalent to US$79,945.

In terms of pricing, there is still no confirmation with Volkswagen as the company is said to be determining the best price that it could offer. Still, according to the company, the only guaranteed now is that the final pricings would be very attractive to the Chinese market.

Volkswagen is confident that the Multivan would be a success in China, what with its outstanding attributes such as a 3.2L V6 gasoline engine. In turn, this engine power can offer a maximum output of 173 Kilowatts, as well as a maximum torque 350 of Nm/2950 rpm. Moreover, the vehicle is also cleverly built with a 6-speed auto transmission gearbox.

To provide a more accurate entry date for Volkswagen’s Multivan and Eos is Zhang Ye, the Senior Marketing Manager of Volkswagen Imports and Sales Company. Zhang Ye disclosed that the Multivan and Eos would most likely enter China in March, specifically, of next year.

As a means to reassure and guarantee new and existing VW consumers that the company always offer a competitive and fair price for its every repair and maintenance service, Volkswagen has launched a price match campaign, with a tagline ‘A competitive price. Promise’.

As it is, Volkswagen has long lived out the system of delivering the fairest prices for its customers. This campaign only aims to further reiterate such a practice, ensuring the Volkswagen clientele that they can obtain the most from their motoring and vehicular budgets. But how does this campaign actually work? Each and every participating Volkswagen dealers and Retailers will do a price matching on any Service, Maintenance, or Repair (SMR) quotation from another independent garage or retailer within the scope of a five-mile radius. To acquire a clear comparison, the price matches would be implemented only on the Volkswagen Original Parts that the independent dealer is offering. As an additional provision for the client, all quotations would be provided in writing to ensure that Volkswagen is offering a legal, official, and accurate comparison.

Paul Lougher-Smith, Volkswagen’s Aftersales Marketing Manager, is the one responsible in the conceptualization of such a campaign. In an interview, Lougher-Smith further explains the benefit and feasibility of said project: “Our customers enjoy the quality, reliability and great value for money that’s synonymous with the Volkswagen brand but when it comes to servicing the general cliché is that all franchised network outlets are more expensive than independent garages. At Volkswagen we are so confident in our prices being competitive that we’re giving Volkswagen owners of any age of vehicle the chance to shop around and then demand the same price from their Volkswagen Retailer. That way, they get the best quality work as well as the knowledge that they’re also paying the best price.”

This campaign was said to have taken root on the research findings that customers have been experiencing doubts on the fairness of the offered prices in the franchised car networks. Thus, these customers would rather have their cars serviced in independent outlets, from which there is a perception that they would save a lot more money. Volkswagen then seeks to eliminate such a myth. Indeed, this campaign aims to remove any price doubts and misconceptions in the consumers’ minds. In this way, all VW customers can have the peace of mind, as well as the assurance of quality workmanship, of having their respective cars taken care of licensed Volkswagen networks.

To explain the timeframe of this campaign, Lougher-Smith further adds: “We’re running this advertising campaign for six weeks – but the offer continues for the rest of the year. Our retailers are looking forward to welcoming customers back into the network and giving them the service and value for money they deserve. The Volkswagen brand has long stood for honesty and value and this latest campaign aims to reinforce this promise.”

To celebrate the Volkswagen Minivan’s 60th anniversary, Volkswagen has organized a three-day affair at the Hanover Trade Fair grounds last October 5 to October 7. This official and very successful event was then aptly titled “International VW Bus Meeting”.

The said minivan festivities were launched on Friday with a “historic automobile convoy” of over 3,500 VW Buses, parading from the Volkswagen factory and down to the event’s hosting grounds. It was said that participating Volkswagen van fans have travelled from all over the world for this event, with people coming in from Russia, Portugal, France, The Ukraine, Denmark, Australia, Poland, the UK, and Holland. It was quite an interesting parade, with VW vans coming in from various decades and models. When all these participating vans gathered for the key events, the total area covered was a staggering 255,000 square meters.

As part of the program, there were competitions highlighting different aspects of the VW Minivans, from the oldest, most original, and most beautiful minivans in every generation.

Saturday marked the special, open-air concert by British rock icons, The Who, which then attracted 44,000 people. The song, ‘Magic Bus’, was a hit to the crowd, especially when played with a backdrop of video footages of the ‘split-screen’ Volkswagen T1 from the 1950’s to the fifth generation models seen today.

A covered stage is also present in the Hanover event as a makeshift exhibit to display 100 historic models from the Volkswagen Museum, including the original diagram or sketch from 1947.

As a backgrounder, the first VW minivan was designed in 1947 by Volkswagen Importer Ben Pon. Launching was made in 1949 at the Geneva Motor Show, and official production began in 1950 at Wolfsburg. IT was called as the VW Type II, as the VW Beetle was already acquired the Type 1 name. After that, the VW Minivan then worked its way into automotive history as an icon in a number of countries’ pop culture.

Indeed, the Hanover event was a very successful commemmoration of the VW Minivan. All in all, Volkswagen estimated that besides the tens of thousands spectators gracing the event, there were 11,500 visitors that camped overnight in their Volkswagen vans.

Gail & Rice, Michigan’s leading brand communications and experiential marketing agency, is proud to announce that it has been chosen by Volkswagen of America to supply the company’s auto show staffing and other event services.

Michael Koehler, Volkswagen of America’s Auto Shows Team Leader, explains how Gail & Rice would be of valuable assistance to the company: “Volkswagen has five new model introductions in 2008 and we have announced plans to dramatically increase sales in the U.S. over the next ten years. One of the important elements of our marketing efforts is auto shows. We found in Gail & Rice a creative energy and true partner that will allow us to reach new heights at these venues.”

This is actually not the first association between Volkswagen and Gail & Rice, as the two companies have previously joined forces in other auto shows, dealer announcements, and media events.

Tim Rice, Gail & Rice Owner, is proud to be chosen by Volkswagen: “We bring a level of knowledge and understanding to the brand perhaps not offered by others. Coupled with our years of experience in auto show marketing and product branding, this will enable us to develop a highly educated staff of product specialists to deliver precise and targeted Volkswagen messages to diverse and discriminating audiences.”

Cited below is a brief company profile from Gail & Rice, as posted in a press release: http://biz.yahoo.com/prnews/071008/clm018.html?.v=101

About Gail & Rice
Now in its 76th year of business, Gail & Rice is a leading brand communications and experiential marketing agency based in Southfield, Mich., with offices throughout the United States. Through a combination of integrated services featuring branded events, environments and experiences, Gail & Rice helps clients across all industry sectors improve performance, increase sales and build brands.

Reports are ripe that Volkswagen, Europe’s biggest carmaker, is close to forging a deal with Proton, Malaysia’s struggling national car brand.

The Edge business weekly newspaper divulged that in terms of management rights, Volkswagen is either planning to claim a stake in the Malaysian automaker or form a new company to handle the assets of Proton.

“Volkswagen is also seeking management control and will require the government to underwrite any losses at Proton for at least three years,” added the newspaper.

As of late, the Malaysian government had already hinted on its approval and optimism regarding the possible partnership venture with Volkswagen.

Such a pact, as previously reported, serve to benefit both parties. Through Proton, Volkswagen would be able to further bolster its presence in Southeast Asia. Through Volkswagen, Proton would be given the boost to reclaim the no.1 spot in Malaysia’s automotive industry, as well as have the chance to penetrate the European market.

For the first quarter to June 2007 period, Proton has already suffered a loss of 46.75 million ringgit, or equivalent to 13.40 million dollars.

To date, sources have indicated that Volkswagen is now merely waiting for the Malaysian Government’s final approval.

Volkswagen of South Africa has announced that the month of September 2007 has produced a total of 36,833 passenger car deliverables.

If this sales report is to be measured up against the company’s previous records, it can be observed that there are noticeable declines in most categories. The said September 2007 sales result actually declined by 12.9 percent as compared to the total revenues in August 2007, and another 12.9 percent decrease from deliverables last September 2006. The Year-to-date computation of new car sales also suffered a decline with 7.9 percent as compared to the result during January to September 2006.

However, Volkswagen is quick to assert that even though the company failed to match up to its existing records, this September 2007 sales report is actually superior compared to other car brands.

Mike Glendinning, Volkswagen of South Africa’s Sales and Marketing Director, disclosed that despite declining sales last September, the company is still outselling other prestigious brands. It has even claimed the label of leader in the passenger market division. He further reveals: “With sales of 8 177 passenger units, Volkswagen of South Africa claimed a 22.2 percent share of the market, fending off strong competition from the likes of Toyota, and our Eastern Cape rivals, General Motors and DaimlerChrysler. With sales of 1,033 luxury passenger units, the Audi Brand once again performed to expectations and further cemented its place in the premium segment.”

“The Commercial Vehicle market has shown a decline on August 2007, but year-to-date growth continues to be positive on 2006,” Mr Glendinning added.

Furthermore, Glendinning explained the possible reasons as to why the September sales of this year resulted to quite a substantial decline from the August 2007 revenue report: “Firstly, the market in August was significantly boosted by new model launches as well as a record volume of non-dealer sales. Secondly, the prolonged component industry strike could well have created shortages of product that constrained the market. Thirdly, September had two less selling days than August. The combination of these factors therefore appears to have caused the large fluctuation in the market between August and September.”

It has also not escaped the attention of Glendinning that another factor of the decline can also be pinpointed in the increasing interest rates, as well as the stricter requirements implemented by the National Credit Act: “Another interest rate increase in October, should this occur, will put significant additional pressure on demand for new cars, particularly with new vehicle pricing now growing at around 4.8 per cent year-on-year.”

“Given current market trends and economic circumstances and with only three months left of 2007, it currently appears likely that the new passenger car market will end the year some eight to 10 per cent below the level achieved during 2006,” Glendinning said in conclusion.

The entire month of October is Tyre Safety Month, and the Volkswagen brand is providing its wholehearted cooperation for such a cause.

Organized by Tyresafe, United Kingdom’s renowned tyre safety organization, the said consumer awareness campaign aims to highlight the value of healthy tires and accurate tire pressure. The specific message is that properly geared tires instinctively result to better road safety, decreased fuel consumption, and reduction of carbon dioxide emissions.

Campaign spokesperson Vicki Butler-Henderson reiterates the value of such a cause: “So many drivers neglect the basics of tire maintenance. But keeping the correct tire pressure means optimum vehicle handling, improved road grip and better braking and cornering. Having the correct pressure also means that motorists will benefit from longer tire life and use the minimum fuel required for their vehicle – which helps save money and the environment.”

Volkswagen, for their part, has the proud label of being the first carmaker in the UK to give its support to Tyre Safety Month. As part of the ongoing campaign, Volkswagen has offered to provide consumers with a free tire pressure and safety checkup on their respective vehicles, as well as a tire safety guideline leaflet. All 250 retail networks of Volkswagen are said to be participating for this campaign.

As Volkswagen of America is getting ready for its headquarter transfer from Michigan to Virginia, officials are now in the process of sorting out the remaining unresolved labor and departmental issues.

Recent developments have revealed that the company’s emissions and environmental laboratory would be staying in Auburn Hills. This decision is then relative to a portion of the manpower issue, as environmental experts and technicians have now been included in the estimated list of 600 employees that are not leaving Michigan.

Volkswagen of America Spokesperson Steve Keyes has disclosed that the company is now in the process of notifying the 1,400 full-time and contractual employees of the fate of their respective jobs relative to the transfer. There are three diverging paths for the Volkswagen of America employees: there is the option to move with the company to its new headquarters, stay in the remaining Volkswagen divisions in Auburn Hills, or be eliminated totally from the company’s labor pool.

For the 400 positions that are intended for transfer to North Virginia, Volkswagen management is giving the concerned employees until December 14 to decide if they are still on board. On the other hand, for those that will be eliminated, Volkswagen is planning to inform the supposedly 400 employees involved of the actual date of elimination.

In line with those changes, Volkswagen of America new CEO has also disclosed that the company is still actively contemplating and pursuing plans for a new plant somewhere in North America. To date, Volkswagen still has no specific timetable for the said plant, but the logistics and purchasing actions for any new factory will be organized and handled by the remaining divisions in Auburn Hills.