Skoda's success as sales surge

A strong first half performance enabled Czech brand Skoda to hit its 2009 China sales target of 100,000 vehicles in early November, a full seven weeks ahead of schedule.

Owned by Volkswagen Group and made in China by Shanghai Volkswagen, Skoda sold 95,667 vehicles in the first 10 months, an increase of 92.8 percent over the same period in 2008, the second-highest growth rate among all auto joint ventures in China.

Skoda moved 71,132 Octavia Mingrui compact sedans, 23,817 Fabia Jingrui subcompact cars, and 7,823 Superb Haorui mid-sized vehicles in the period.

The automaker said robust sales came as a result of strategic market positioning. With three specifically targeted and affordable car models - the Superb Haorui, Octavia Mingrui and Fabia Jingrui - Skoda has covered the A0, A, B car markets in China.

Following its launch in June 2007, the Octavia Mingrui has risen rapidly to become one of the most popular models in the compact car sector.

September sales of Skoda's Octavia Mingrui jumped to 10,000 units, making it one of the top three in the A-class Chinese auto market.

With more than 15 refinements in its latest configuration, Skoda's marketing for the model continues to target "unassuming buyers who pursue a quality life and efficiency, and strive for a balance between the contemporary and the traditional", according to the company.

Total sales of Octavia Mingrui in China have now surpassed 160,000 units over the past two years, the company says.

As Skoda's first China-made model, the Octavia Mingrui's customers are mostly from Beijing, Shanghai, Guangzhou, Zhejiang and other areas with well-developed sales networks.

Sales of the Fabia Jingrui also continue to surge with a consistent monthly sales level of more than 3,000 units. It has now edged into the top three in the subcompact car market.

As the most updated subcompact that boasts a German lineage, the Fabia Jingrui is popular among realistic young buyers due to its design, comfortable interior space, advanced technology and safe driving qualities.

Introduced this year, the Superb Haorui is Skoda's most recent model that from its inception has set out to capitalize on the sales performance of other hatchback vehicles, coupled with its own roomy interior and other advanced specifications.

Skoda's record sales confirm the success of Shanghai Volkswagen's multiple-brand strategy.

Since Skoda began to expand its dealer network in 2006, it has maintained a focus on ensuring all of its service levels.

By the end of October, Shanghai Volkswagen Skoda has 143 4S dealerships throughout the country.

(China Daily 11/16/2009 page7)