Analysis on the Main Changes of Volkswagen Group's Domestic Vehicle Sales in China since 2008

Sub-brand sales analysis

Before Volkswagen Group plans to introduce the SEAT brand into China, it has three domestic brands, Volkswagen, Audi and Skoda in China. According to the wholesale and sales data collected by Gasgoo.com, the total sales volume of these three brands of domestic cars has increased from 989,000 units in 2008 to 1.781 million units in 2010. Among them, the proportion of Volkswagen brand sales has dropped from 83.2% in 2008 to 78.8% in 2010, while the share of the other two brands has increased, especially the Skoda brand.

The Skoda brand started domestically in 2007. In 2008, the sales volume of its domestic cars reached 60,000 units, which accounted for 6.1% of the Volkswagen Group's total domestic vehicle sales. In 2009, its sales volume doubled to 129,000 units. The proportion in China rose to 9.2%; in 2010, its sales volume reached 190,000 units, accounting for a breakthrough of 10%; from January to April 2011, the proportion further increased to 11.3%.

Audi's share of Volkswagen's total domestic car sales increased from 10.7% and 10.5% in 2008 and 2009 to 11.0% in 2010. However, from January to April this year, its share dropped to 9.2%. This is mainly due to the slow sales growth of Audi under the strong grip of BMW and Mercedes. From January to April, Audi's domestic vehicle sales rose only 1.6% year-on-year, while domestic sales of BMW and Mercedes-Benz vehicles grew 69.9% and 218.7% respectively year-on-year.

Analysis of sub-model sales
From the sales of domestic models of the Volkswagen Group, in 2008 more than 100,000 cars were Jetta, Santana (excluding Santana Zhijun) and Passat. In 2009, there were three other models - Long Yat, New Bora, and Audi A6 joined the annual sales of 100,000. Camp. In 2010, sales of Skoda Octavia, Sagitar and Santana Zhijun reached more than 100,000 units, while sales of old Santana fell to 98,000 units.

From January to April this year, sales of more than 35,000 vehicles are expected to exceed 100,000 vehicles throughout the year, except for Lam Yip, Jetta, New Bora, Passat, Skoda Octavia, Santana Zhijun, Sagitar and Santana, as well as Tiguan and the new Polo.

The evolution of these top-selling domestic models from the Volkswagen Group can be seen (but not limited to):

1. The sales volume of Volkswagen Group's models is relatively stable, and the main model is the group's effectiveness for a long time;

2. Although Jetta, Santana and other old models still maintain high sales (especially Jetta), but its replacement or new models and other new models introduced by the public have also taken charge of supporting the growth of domestic vehicle sales of the Volkswagen Group. For example, in 2010, LaVida not only became the highest-selling domestic vehicle in the Volkswagen Group, but also the top-selling vehicle in China-made cars.

3. A-Class sedan is still the main force of Volkswagen Group's domestic sales. For example, LaVida, Jetta, New Bora, Skoda Octavia, Santana Zhijun, Santana, and Sagitar are all Class A cars. In the B-class sedan market, only Passat has sold more than 100,000 vehicles a year, while its older B-class Magotan sold only 79,000 units in 2010. In 2009 and 2010, the Volkswagen Group successively produced new B-Class vehicles Skoda Hari and Volkswagen CC, reflecting its determination to increase its share in this market. However, from January to April this year, the main force of the Group's B-class vehicle market was Passat, which sold 43,000 vehicles, while the sales of Magotan, Skoda Hao Rui and Volkswagen CC were only 23,000 and 20,000 respectively. And 10,000 cars.

4. In addition to the sedan, the Volkswagen Group has also opened up a new growth point in the SUV market - Tiguan. The SUV models sold 45,000 vehicles in January-April this year, becoming the second-largest Volkswagen Group domestic vehicle sales after Langyi, Jetta and the new Bora. However, in the MPV market, the general public has not yet been able to cultivate a model that has sold more than 30,000 vehicles a year, not to mention sales of 100,000 vehicles a year. The sales of Volkswagen's domestic MPV Touran only hit 22,000 vehicles by 2010.