Volkswagen Cars

Brand Overview : One of the world’s largest car brands, Volkswagen, has existed in India as a standalone brand since 2007. The German auto giant is often credited for bringing premium appeal and build quality of more expensive luxury cars in affordable car-buying audiences. Volkswagen is also preferred by driving enthusiasts, for its vehicles are considered to be true drivers’ delight, thanks to the excellent engineering of their powertrains and chassis.
 
Key Milestones In India : After over half a decade of introducing the Skoda brand in India, Volkswagen Group launched the parent brand in 2007, along with Audi as the premium luxury brand. As a part of the launch of Volkswagen in India, a manufacturing facility for it was inaugurated at Chakan near Pune, Maharashtra.
The first car launched by Volkswagen in India, which was also the first model to roll out of Volkswagen’s manufacturing facility in Pune, was the Passat premium midsize sedan in 2007. It was followed by the launch of another midsize sedan Jetta, which was positioned below the Passat as a smaller and more affordable sedan offering than Passat.
In 2009, Volkswagen introduced two iconic models in India—the Beetle and the Touareg SUV —to expand its product lineup and benefit from its global image. Both were brought to India through the CBU route.
The big breakthrough for Volkswagen came in 2010 when Volkswagen launched Polo compact hatchback and Vento compact sedan. Both these models were crucial for Volkswagen in establishing the brand as a mass-oriented player, an attempt in which it succeeded with these two locally manufactured models.
With these two models, Volkswagen managed to offer its trademark German build quality and finesse at more affordable price points. It was in 2010 when Volkswagen also launched the Phaeton full-size luxury sedan through the CBU route, which to date remains the most expensive Volkswagen car ever sold in India.
In 2011, Volkswagen updated the Passat and Jetta by bringing in their new-generation models, followed by the facelifts for Polo and Vento in the next four years. In 2015, Volkswagen also brought the all-new Beetle, and in 2016, it was joined by another fully-imported hatchback, the Polo GTI. In 2016, Volkswagen also introduced the Ameo compact sedan to mark its presence in the sub-four-metre compact sedan space.
The year 2017 marked the discontinuation of Jetta and the launch of the new-generation Passat and Tiguan SUV, while the Polo and Vento continued to spearhead the volumes with minor updates. In 2020, during the BS6 transition, Volkswagen decided to not use diesel powertrains in any of its vehicles. At this time, to keep the momentum rolling, Volkswagen also launched the T-Roc compact SUV and Tiguan AllSpace mid-size SUV, which were introduced as the brand’s stop-gap measure in the Indian car market.
Post the discontinuation of two of its highest-selling modes, Polo and Vento, in 2022, Volkswagen replaced them with the all-new Taigun compact SUV and Virtus compact sedan, along with the heavily updated Tiguan facelift.
 
Product Range And Segments : At one point in time, its product lineup of Volkswagen was quite rich, comprising a good mix of locally manufactured and fully imported halo offerings. However, at present, Volkswagen only has three models in its Indian market lineup – Taigun, Virtus, and Tiguan, all of which are locally made in India.
 
Unique Selling Propositions (USPs) : At a time when mass-market carmakers were resorting to cost-cutting attempts in build quality, Volkswagen decided to stick to its principles and not compromise with the typical German build quality for its affordable products. The locally manufactured models had the same levels of build quality and fit and finish levels as their halo CBU offerings, which was unusual in the Indian car market.
Sticking to these principles meant that Volkswagen products are generally more expensive than their direct rivals, and are also relatively more expensive to maintain. However, the durability, sturdiness and long-lasting appeal of Volkswagen cars, along with their fine-tuned driving dynamics, made them a favourite among driving enthusiasts.
 
Technology And Innovation : With the Polo GT, Volkswagen was one of the first carmakers to introduce a turbocharged petrol engine in the compact car space. It was also the first hatchback to get a dual-clutch automatic transmission, which was earlier restricted only to luxury sedans and SUVs. These two technologies were retained in other Volkswagen models in the following years, making it the pioneer in modern technology.
 
Sustainability And Future Goals : Volkswagen was one of the first carmakers to shy away from diesel technology for its powertrains, to gradually shift towards cleaner mobility solutions. While Volkswagen is currently relying on turbocharged petrol engines, it has plans to introduce electric vehicles in the coming years. Volkswagen has already hinted that it will be launching the ID.4 electric crossover in India in 2025, which will be followed by a mass-market electric vehicle in the following years.
 
Customer Perception And Competitors : Mass-market car customers consider Volkswagen as one of the most premium car brands among the other brands in the same space. While Volkswagens have a general perception of being relatively pricier to buy and maintain, they also justify the premium with their strong build quality and advanced powertrains.
Currently, the Volkswagen Virtus competes with sedan offerings from Maruti Suzuki, Hyundai and Skoda, whereas the Volkswagen Taigun has a host of rivals from all major brands, including Maruti Suzuki, Hyundai, Tata, Toyota, Honda, MG, Citroen, Skoda and Mahindra. Meanwhile, the Volkswagen Tiguan has limited rivals from Hyundai, Citroen, Jeep and Skoda.  
 
Closing Thoughts : A car brand that literally translates to ‘people’s car’ in German, Volkswagen is widely preferred as a mass brand for the upper-middle-class car-buying crowd. By offering world-class build quality and fit and finish levels reminiscent of typical premium German cars, Volkswagen is the benchmark of premium-ness in affordable car categories.