Volkswagen group on Monday announced their future plans consisting of a huge investment of 8000 crores by 2021 and the idea of revamping Skoda India's operations with a new plan they remark as 2.0. The main aim is to increase the combined market share of both brands to 5% from the current 2%. The above-said funds will be set forward to a new product line, dedicated manufacturing line and the localisation of MQB platform. The MQB platform consists of various cars ranging from hatchbacks like polo to SUVs like the newly introduced Skoda Kodiaq.
India is all set to become the third largest automobile market and VW India believes there is a tremendous potential in the future for India. The group is planning to introduce MQB A0 platform for India which will have 90% location with India being the ground for exports to other countries. Skoda is going to take the lead in India with Volkswagen following. Admitting about the fact that they weren’t able to succeed in India, Volkswagen and Skoda India are all set to tackle the Indian market better than they did in the past. Skoda is also responsible for India and Russia according to the new plan. A new Skoda SUV from this platform will be unveiled by 2020 which will be the first step towards the goals. The SUV will be aimed at compact SUVs like Creta and Jeep Compass. They are also planning to introduce three more cars based on the same platform. Skoda India is also set to improve its ill-famed aftersales in India and is aiming for best in class customer satisfaction in the coming years. Skoda India is also building an engineering centre in Pune for the development and research of new cars. Skoda's new revamped plan for India will also create opportunities for more than 2000 engineers in India. Skoda India was struggling with sales in the beginning but last year they were able to increase sales by 30%. skoda India now makes rapid, Octavia, Superb and the newly introduced SUV kodiaq. The company seems to be in the right direction as many global players like ford who was also struggling with sales in the early days recovered themselves using products developed specifically for India.