VW's cut-price Polo to get the chop

Volkswagen Australia will overhaul its Polo range at the start of 2012 to make room for its budget-priced Up city car – and attempt to shorten the waiting list for the in-demand Polo GTI.

The new generation Polo launched in May last year, priced from $16,690 for a three-door manual powered by a 1.4-litre petrol engine. But that model will be deleted, lifting the starting price of Polo -- with five doors -- to $19,850.

The void will be filled by year’s end with a range of Up city cars, likely priced between $15,000 and $20,000.

In the meantime, Volkswagen Australia spokesman Karl Gehling said rejigging the line-up is also an attempt to reduce the waiting time for the Polo GTI hot hatch – currently pushed out to 12 months.

Volkswagen Australia sources five-door Polos from South Africa and the base model three-door Polo from Spain. But the Spanish factory is struggling to keep up with demand for all its export markets.

All Australia-bound Polo GTIs in three and five-door form also come from Spain. Dropping the base model Polo will help the Spanish factory increase the number of GTIs built.
 
“We can’t get enough volume out of Spain,” he said. “By making this change we’re doing our best to reduce the waiting time on Polo GTI.”

Two months ago, the boss of Volkswagen Australia, Anke Koeckler, told motoring.com.au: “We are working on [increased production] next year to get a better supply and get more cars into the country. It’s not specific to Australia, it’s such a big success all over the world.”

Volkswagen Australia has established a customer information program, keeping those in the queue updated on the progress of their particular car.

“We are working with a waiting program so we inform the customers actively together with the dealer,” she said.

“What’s important right now is to tell the customers the truth. It’s taking 12 months right now, [but] if it will be shortened we will let [them] know.”

The department tells customers when their car “gets a confirmation, what stage the car will be produced, when it gets on the ship, when it will arrive in Australia, when it arrives at the dealer”.

Ms Koeckler said there were approximately 500 Polo GTIs on order.

When Volkswagen launched the new generation regular Polo in May last year the starting price was $300 less than the outgoing model. It also undercut key Japanese rivals.

“Polo is crucial for us to make our next step in the Australian market,” the boss of Volkswagen Australia, Anke Koeckler, said at the time.

“We want to make sure our first shot is the best shot. We want to be a major competitor in the Light Car class. We believe this is the right product for the right moment.”

“To negotiate the price, this was a very long process,” she said. “Of the 60 countries to get the new Polo, Australia is among the last because we wanted to get the price right. Australia is one of the most competitive car markets in the world.”

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