"Too Bad About That Old Diesel, Can I Interest You in Something New?"

Steph Willems
by Steph Willems

Will Volkswagen TDI owners who opt for a buyback be soured on the brand, or can they be lured into a new model?

It’s a big question for dealers, who could stand to benefit from the dealership traffic they’ll see when Volkswagen’s buyback program gets up and running later this year.

The fate of hundreds of thousands of 2.0-liter turbodiesel models sold in the U.S. rests on the finalized details of the automaker’s April 21 settlement deal. Those details become public this summer, after which the company can start to buy back or fix (at the owner’s request) the vehicles caught up in the diesel emissions scandal.

The program will have to be run through the national dealer network, and though some former owners will leave determined to give another brand a try, some might linger in the showroom with company money in hand.

Desirable products are needed to keep them there, and an incentive or two would definitely sweeten the pot.

“Every single transaction and interaction with the customer we view as an opportunity to save a VW customer from defecting away from our brand,” Mike Morais, president of the 18-franchise Open Road Auto Group, told Automotive News.

Before that can happen, the dealers and the automaker have to craft a speedy and seamless process of buying back the cars that doesn’t leave owners pulling out their hair. Once that is put in place, the sales pitches can begin.

Volkswagen brand chief Herbert Diess promised to boost volume and deliveries of new and appealing products (like the Tiguan and 2017 Golf Alltrack) to U.S. dealers at the National Auto Dealers Association convention earlier this month.

The recent creation of a North American Region (NAR) for the company came with the promise of faster product procurement to satisfy regional demand. If the NAR works like it should, this would aid the dealer network’s goal of hanging onto customers. Waiting for a new vehicle would cause some buyers to think twice about sticking around.

Volkswagen eventually plans to offer a broad range of SUVs designed to tempt American buyers and get cash rolling into its severely depleted coffers, but that strategy won’t be fleshed out for a few years. In the mean time, dealers need to sell, sell, sell what they can get their hands on.

[Image: Volkswagen of America]

Steph Willems
Steph Willems

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  • Irvingklaws Irvingklaws on Apr 26, 2016

    Funny, after the turbo on my TDI Golf blew I was off VW's and thinking my next car would be a Mazda 3, or something else. Now with all the VW hate of late, I kinda want another one. Go figure...

  • GTL GTL on Apr 26, 2016

    I really like my '13 Passat - 65k miles no issues at all. When (if?) they offer a choice between buyback or repair, I'll have to think long and hard on it and of course the incentives (cash and or discounts) will play a role. I keep vehicles for a long time, but with the majority of TDIs being taken off the highway the availability and cost of parts will be a consideration for the long term. I would like to get a Golf Sportwagen, but unless inventories change, there won't be one available outfitted the way I'd like. I'm not opposed to a new TSI Passat for that matter, but again, it depends what incentives are offered at the time.

  • Ajla Those letters look like they are from AutoZone.
  • Analoggrotto Kia EV9 was voted the best vehicle in the world and this is the best TOYOTA can do? Nice try, next.
  • 3-On-The-Tree 4cyl as well.
  • Luke42 I want more information about Ford’s Project T3.The Silverado EV needs some competition beyond just the Rivian truck. The Cybertruck has missed the mark.The Cybertruck is special in that it’s the first time Tesla has introduced an uncompetitive EV. I hope the company learns from their mistakes. While Tesla is learning what they did wrong, I’ll be shopping to replace my GMC Sierra Hybrid with a Chevy, a Ford, or a Rivian — all while happily driving my Model Y.
  • 3-On-The-Tree I wished they wouldn’t go to the twin turbo V6. That’s why I bought a 2021 Tundra V8.
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