Volkswagen Reels in 2013 US Sales Goals

Volkswagen Reels in 2013 US Sales Goals

Volkswagen is shrinking its U.S. sales target for 2013 to 440,000 units.

Sales volume of its bread-and-butter Jetta compact sedan climbed last month compared to June, 2012, but are slightly lower than they were through the first six months of 2012. Volkswagen faced fiercer competition in the compact sedan segment than it expected, chairman of the brand’s national dealer council Jimmy Ellis told Automotive News.

Japanese auto makers continued to recover from the tsunami slowdowns of 2011, which squeezed Volkswagen.

Originally, VW planned to sell about 486,000 units in 2013.

The company revised its dealer incentive program in January to widespread complaints among its network, and the brand revised its system again this month. But the problems run deeper.

Slow sales mean the brand’s stock has swelled to 105 days, prompting the brand to offer zero percent financing on all its models.

Even the 440,000 sales target might be tough to meet. Through the first six months, the brand reported selling 206,792 units between its car and truck divisions. The company was slightly ahead of that point last year at the same time, and lighter, more efficient compacts based on the brand’s new modular architecture aren’t due until the 2015 model year.

[Source: Automotive News]

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  • Honest Abe

    Maybe they should work on reliability….

  • Tom

    HUH? I have a 2008 Passat and 2010 Jetta – Both have been trouble free since I purchased them. Take care of the car by not beating it and not skipping regular scheduled service.