Marketing Report - Volkswagen
VOLKSWAGEN MARKETING REPORT
BY JOHN KENNEDY
Introduction
Volkswagen (abbreviated VW) is a German automobile manufacturer that was founded on the 28th of May 1937. The company was originally founded by the Nazi Trade Union known as the German Labour Front. At the time the majority of cars being manufactured in Germany were luxurious models that were very expensive. Adolf Hitler, the Chancellor of Germany, decided to sponsor the construction of a new state-owned factory that could produce a car that had a price similar to that of a small motorcycle. The factory was built in Wolfsburg in 1938 and the prototype of the first Volkswagen car was designed by Erwin Komenda. It was the original car to have the shape of what would be become the iconic Beetle. The intention was to get Germans to take part in a savings scheme to pay for these cars, 336,000 people saved enough to be eligible but unfortunately none of them ever received their car as their savings were stolen during World War 2 and only a handful of the cars were ever produced. Following World War 2 the factory came under British control and was used to produce 20,000 cars to be used as light transport for the British Army and the German post office. By 1946 the factory was producing 1000 cars a month and avoided being dismantled and moved to Britain as part of war reparations because British car manufacturers deemed the cars “quite unattractive to the average buyer”. In 1948 Volkswagen came under the control of West Germany and began to sell in other countries, by 1951 sales of the Volkswagen Beetle had reached 1 million units. Volkswagen sales continued to increase globally and in 1972 their Beetle make became the most-produced single car make in history. During the early 1970s Volkswagen saw a decline in sales so to combat this they began to produce new models. The first was the Passat in 1973 followed by the Sirocco in 1974 and the Golf in the same year. In the 1980s sales decreased in the
BY JOHN KENNEDY
Introduction
Volkswagen (abbreviated VW) is a German automobile manufacturer that was founded on the 28th of May 1937. The company was originally founded by the Nazi Trade Union known as the German Labour Front. At the time the majority of cars being manufactured in Germany were luxurious models that were very expensive. Adolf Hitler, the Chancellor of Germany, decided to sponsor the construction of a new state-owned factory that could produce a car that had a price similar to that of a small motorcycle. The factory was built in Wolfsburg in 1938 and the prototype of the first Volkswagen car was designed by Erwin Komenda. It was the original car to have the shape of what would be become the iconic Beetle. The intention was to get Germans to take part in a savings scheme to pay for these cars, 336,000 people saved enough to be eligible but unfortunately none of them ever received their car as their savings were stolen during World War 2 and only a handful of the cars were ever produced. Following World War 2 the factory came under British control and was used to produce 20,000 cars to be used as light transport for the British Army and the German post office. By 1946 the factory was producing 1000 cars a month and avoided being dismantled and moved to Britain as part of war reparations because British car manufacturers deemed the cars “quite unattractive to the average buyer”. In 1948 Volkswagen came under the control of West Germany and began to sell in other countries, by 1951 sales of the Volkswagen Beetle had reached 1 million units. Volkswagen sales continued to increase globally and in 1972 their Beetle make became the most-produced single car make in history. During the early 1970s Volkswagen saw a decline in sales so to combat this they began to produce new models. The first was the Passat in 1973 followed by the Sirocco in 1974 and the Golf in the same year. In the 1980s sales decreased in the