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Ken Gratton7 Oct 2013
NEWS

Volkswagen addresses damaging press

Faster and more effective response from service staff will be measured by 'Customer First' manager
Volkswagen Australia's MD, John White, has inherited a brand management problem that he is striving to fix, as he implied during a presentation to media at the launch of the Golf 7 GTI last week
Without mentioning drivetrain faults specifically, White did place the occasionally fractious relations between Volkswagen service staff and vehicle owners front and centre. 
"We acknowledge that we need to have a quicker resolution of customer issues," he said. "We've installed what we call a 'Customer First' manager in the company..."
That person is being recruited into the role from overseas, White says, but VWA is committed to encouraging dealers to see their service staff are up to the demands of their clients – with or without the customer-focused manager. 
"We are in the process of putting in very clear and specific standards for all dealers to follow, with a strong focus on training and qualification," White also mentioned. 
There's still no specific mention of components that have shown themselves to be less than durable in what is presumed to be normal daily operation; White's remarks appearing to be centred more on communications breakdowns at the dealer level, rather than the product itself. 
The Volkswagen boss outlined a broader plan for the importer's dealer network, which is telling in itself. While he expects Volkswagen to sell 57,000 cars in Australia before the end of the year, sales growth in future years will be increasingly predicated on a dealer network that is flying the same corporate colours across the nation and can meet the changing needs of VW customers in rural regions also. 
"We're in the process of rolling out a new 'white frame' modular dealership concept," White explained. 
"This is more than just a corporate identification. It's a strategy that we've embarked upon to increase the focus from our dealers [to] the Volkswagen brand, to get more brand exclusivity out there. We currently have 20 new projects, which are under way across the country. 
"We're also looking at improving our dealer coverage in some of the more rural areas – especially where we've got the Amarok in high demand. Between the Amarok and what we have from a passenger vehicle perspective that brings us new opportunities, and we've already announced to our dealers that we are going to be opening a new [premises] in Castle Hill."
In addition to the new dealership in Castle Hill (NSW), Volkswagen is revamping dealerships in Roma and Mount Isa (in Queensland) and Inverell and Griffith (in New South Wales) to provided extended rural coverage – a necessity in light of where the Amarok is being sold. 
Servicing re-enters the spotlight with White's recognition that customers have been frustrated by delays. This is another focal point of the national dealer network upgrade.
"One of the things that we're also going to be looking at is a little bit of a service satellite strategy, because we do acknowledge that some of our dealers have a very long wait time. They've already expanded their stores and now we're looking at that with them, on an individual basis, and monitoring that quite clearly."
On the sales side, White mentions that Volkswagen will extend leasing options through its finance arm next year, and used-car buyers will be encouraged to buy from Volkswagen dealers with a new certified used-car program that will be operated in every country where Volkswagen does business. 
"From a used-car perspective... as we've grown our business and there are more vehicles out there in operation, we recognise the need to be more focused on used cars, on working more proactively and protecting – for our customers – the residual values," White continued.
"Globally there's a branded program called 'DasWeltAuto' – and it's something we're going to be launching throughout the country... basically providing our dealers with an opportunity to roll out a program that's more than just a branding perspective, but a certified program like some of our competitor manufacturers have."

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Written byKen Gratton
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