New York Auto Show: VW Sticks to Huge U.S. Sales Goal

(MoneyWatch)  Despite the current U.S. recession, Volkswagen is sticking to a hugely ambitious goal of selling 800,000 Volkswagens and Audis in the United States by 2018.

"We will not waver from this goal one inch," said Stefan Jacoby, president and CEO of Volkswagen of America, at a press conference April 8 at the New York auto show. That's a big increase, versus 2008 sales of 314,318, for VW and Audi combined. That total was also 4.5 percent below 2007.

VW got a lot of plugs at Press Days for this year's show, properly called the 2009 New York International Auto Show:

• Jacoby was the keynote speaker at the International Motor Press Association kickoff for Press Days on April 8. "Unless conditions change, U.S. sales will be below 10 million this year, the lowest in 25 years. But we will get through this period, and when we do, we will be well-positioned," Jacoby said.
• At the same event, a VW television ad for a sales promotion, "Autobahn for All," won an annual award from the research firm Nielsen IAG, based on consumer ratings for the extent to which people could recall the ad; whose ad it was; what the main message was; and for likeability. In the ad, an enthusiastic customer gets a speeding ticket during a test drive, with a sheepish VW salesman in the passenger seat. The joke is, it's happened so many times already, the salesman is on a first-name basis with the highway patrolman.
• Meanwhile, a panel of journalists separately named the sixth-generation VW Golf 2009 World Car of the Year at the New York auto show, over two other finalists, the Toyota iQ and the Ford Fiesta.
• Jacoby spoke yet again, at a separate press conference for the North American introduction of the new Golf, plus the higher-performance Golf GTI variant. The new Golf is already on sale in Europe.

The Golf is VW's best-selling model worldwide, but not in the United States. In the U.S. market, it has been sold over the years as either the Golf or as the Rabbit. Jacoby said from now on in the U.S. market, the Golf will stick to the name, "Golf."

In the United States, the bigger and more expensive Jetta is the brand's biggest seller. To hit its U.S. volume targets, VW needs the new Golf to step up to the plate. Additional pressure is on Jacoby and the U.S. sales and marketing subsidiary, because VW is building a factory in Chattanooga, Tenn., to build an all-new midsize sedan starting next year. The new model is largely aimed at North America.

Jacoby said that in the United States, VW can tap into a strong brand image and fond memories based on the original VW Beetle and the VW Bus from the 1960s. "I haven't met an American yet who didn't have a Volkswagen story to tell. That's our asset. We have to make use of this asset and turn it into sales," he said.

Public days for the New York auto show are April 10 to April 19.

Photos: Volkswagen