Who's On First? Toyota? VW? Or, Gasp, GM?
Volkswagen wants to unseat Toyota as number one by 2018. When they announced that strategy, it was widely discounted as Wolfsburg hubris, and as a goal so far out that nobody will recall nine years down the road that the goal has ever been set. Or as the saying goes in Wolfsburg: “In 2018, I’ll be retired.”
A few days ago, The Guardian reported that in the first 9 months of 2009, Volkswagen/Porsche made 4.4 million cars whereas Toyota made 4 million. Which ignited speculations that VeeDub may have reached its elusive goal 9 years early. Then the usual count of apples and oranges ensued, and after the joint ventures with minority stakes were included, Toyota nosed ahead.
Everybody calm down. Volkswagen is years away from overtaking Toyota, reports Das Autohaus. Surprise, surprise, arch rival GM is nipping at Toyota’s heels.
The battlefield where most of this is fought is China. GM grows faster in China than Volkswagen, both grow much faster in China than Toyota. According to Bratzel, Toyota lost more in the USA than GM. However, data by Automotive News [sub] don’t support that claim. Automotive News says that in the first ten months of 2009, Toyota was down 26 percent in the US, while GM shed 34 percent. Today, the Nikkei [sub] reports that in October, Toyota posted its first year-on-year global sales growth in 15 months. According to the Nikkei “North American sales were essentially flat from a year earlier.” Oh yeah?
Are we confused yet? Didn’t we hear that GM had long been kicked off the #2 podium? Hasn’t Veedub been feted as #2 for most of the year? Guess we’ll have to wait for the good folks at OICA for the definitive word. Which will take a while.
Bertel Schmitt comes back to journalism after taking a 35 year break in advertising and marketing. He ran and owned advertising agencies in Duesseldorf, Germany, and New York City. Volkswagen A.G. was Bertel's most important corporate account. Schmitt's advertising and marketing career touched many corners of the industry with a special focus on automotive products and services. Since 2004, he lives in Japan and China with his wife <a href="http://www.tomokoandbertel.com"> Tomoko </a>. Bertel Schmitt is a founding board member of the <a href="http://www.offshoresuperseries.com"> Offshore Super Series </a>, an American offshore powerboat racing organization. He is co-owner of the racing team Typhoon.
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Who really cares who is number one in total vehicles sold? Going after goals like this instead of being profitable is only going to hurt. Just ask GM.
Actually, whoever penned the "Strategy 2018" for VW had listened to the requests voiced here. Not only does VW want to leave Toyota in the dust in unit sales. But also in terms of innovation, customer satisfaction, and profitability. There you have it. Good luck with that.