Orphan Cars

Sales of VW cars in the US fell three years in a row. VW sold 50,000 less cars in 2004. At that rate sales will approach zero in five years. VWoA’s chief executive stated that VWoA lost 1.6 billion dollars last year. I cannot see VAG’s shareholders letting this continue. I can see VW pulling a Fiat and leaving the American market. If that happens, where does that leave the people that bought VW’s?

46 Comments »

  1. 297 Said,

    January 31, 2005 @ 1:41 am

    Orphan Cars – Assuming VW doesn’t have any new offerings in the next five years, you could be right.

    The odds that VW won’t offer anything new in the next five years are… well, zero, especially since we already know the MkV makes it debut on American soil this spring.

    The sky won’t be falling today.

  2. VWVictim Said,

    January 31, 2005 @ 1:58 am

    Orphan Cars – And that is assuming that people will buy the new models. There is a growing chorus of people that are fed up with poor quality, problematic cars, poor service at dealerships, and insulting treatment from VWoA. VW is at the stage that Fiat was at when they pulled out of the American market.
    The joke was that Fiat stood for “” Fix It Again Tony”". I think that VW should be renamed Fiaf for “”Fix It Again Ferdinand”".

  3. Beck Said,

    January 31, 2005 @ 5:31 am

    Orphan Cars – New model offerings won’t make too much of a difference if Volksyugo would not quit giving us new cars with more problems. The bad taste of owning cars that break down too much is still very fresh in a lot of the past few generations of Volksyugo buyers. I don’t think new offerings could change their minds and make them place their hard earned money on the table, betting that the next generation Volksyugos might be better built and designed. The sky might not be falling…yet, but the ship SS Volkyugo is definitely listing badly and could be sinking fast in the US market.

  4. VWVictim Said,

    February 3, 2005 @ 6:45 am

    Orphan Cars – VW has badly misjudged the American market. When the Japanese started selling cars that lasted and had good quality the American car manufacturers were making disposable junk. The Japanese carmakers made major inroads into the American market. American carmakers took notice and started improving the quality of their cars. The American car buying public has become more sophisticated. VW started using the “”Japanese cars are boring, we have the superior German engineering”" BS. When the buying public started to realise that VW’s are junk VW’s sales started to plummet. You can fool some of the people some of the time.
    My guess is that when the new models come out VW marketing is going to target Women and Metrosexuals. These demographics are considered less aware of mechanical knowledge and more susceptible to the “”Japanese cars are boring, we have the superior German engineering”" BS.

  5. 297 Said,

    February 4, 2005 @ 2:19 am

    Orphan Cars – Huh. I suppose the dollar’s fall against the euro could be a factor in low sales… I never considered that. I wonder just how much of a factor it can be.

  6. VWVictim Said,

    February 4, 2005 @ 2:25 am

    Orphan Cars – The fall of the Dollar compared to the Euro is not a factor in low sales. It is a factor in the $1.6 Billion loss by VWoA. VW’s POS cars are a factor in low sales.

  7. YupOldBull Said,

    February 4, 2005 @ 3:40 am

    Orphan Cars – I think the 16% sales decline had more to do with the $1.6 billion loss, than the dollar/euro exchange rate!

    If profits were up high enough….it would have still be a profit….just less of one because of the exchange rate! $1.6 billion is a fairly substancial number!

    What if next year the exchange rate is the other way, and they still lose money?

  8. Beck Said,

    February 4, 2005 @ 6:21 am

    Orphan Cars – More pathetic excuses from Volksyugo. I’ve heard it all lately in different interviews but I am not hearing what should be said out there,…”Uh no new models to sell the US market…..Fall of the US dollar compared to the Euro”. All recently heard and read from interviews with the heads of VWoA. Why don’t they face the problem head on?! Bad quality control and bad engineering! I thought they fessed up to this earlier this year and were finally dealing with it openly to help solve the declining sales problem. Seems like they stuck their heads back deep into the sand on this.

    It’s just continuing denial of their basic problems! The car magazines are no help either with the guaranteed hype on the upcoming new models which they only have to drive for a short time leaving them drunk with Fartfernugen as they write their next glowing articles about the new Volksyugos and attracting the next batch of car buying moths to the flames!

  9. YupOldBull Said,

    February 4, 2005 @ 11:36 am

    Orphan Cars –

    Full article

  10. VWVictim Said,

    February 9, 2005 @ 1:41 am

    Orphan Cars – It appears that the sales of VW’s dropped 4% in January. Sales of Phaetons dropped 40% and sales of Touaregs dropped 47%. These are VW’s newest offerings and their numbers are going into the dumper. The sales of jettas increased dramatically during January. It appears that VW was trying to get rid of the old models before the new models came on the market. I think VW is at a desperate time as far as their future in the American market. The sales of the high profit margin vehicles are going in the dumper and VW appears to be discounting their bread and butter cars. I think that 2005 is going to be another year of massive financial losses for VWoA. How long will they be able to stay in this market?

  11. mopaks21 Said,

    February 9, 2005 @ 2:10 am

    Orphan Cars – Good, I hope VW goes out of business for making the shittiest cars out there! A Kia makes a better car then VW! Who the hell builds a german car in mexico?!?!?!?! NEVER EVER EVER would i drive one again!

  12. 297 Said,

    February 9, 2005 @ 7:44 am

    Orphan Cars – Who builds Japanese cars in the United States?

    Geography has nothing to do with it, and in fact, smells of prejudice.

    I hope VW makes solid cars for cheaper, which is their legacy, and abandon this ridiculous notion of upscaling the brand.

    Wishing them to go out of business in America versus wishing them to do better by the customer with improved products and competitive pricing is rather negative, don’t you think?

    Saying VW sucks falls into two categories, saying so and hoping they improve, and saying so because you hate them so much you just want them to fail, causing thousands of people to go jobless in South America, China, the U.S., and Germany.

  13. Chombi Said,

    February 9, 2005 @ 9:49 am

    Orphan Cars – Paul,
    You have to be looney to think we want people to lose their jobs. All of us here work for a living and know what it means to lose your employment. When are you gonna ever admit that the bad guys here are the people who run VW. This hint of blame from you about us being just nasty people who want others to lose their jobs is totally uncalled for. What we really want is VW to finally straighten their act and SAVE VW worker’s jobs and SAVE us all from continuing suffering and costs when we drive VW’s nasty cars.

  14. VWVictim Said,

    February 9, 2005 @ 11:34 am

    Orphan Cars – I bought a 2000 TDI Beetle. I had it in the shop 5 times for the window regulator problem before they replaced them. The air conditioning compressor went. The injectors went when I was on vacation. All at less than 28,000 miles. Thinking that I had just gotten a bad car, I traded the Beetle in for a 2003 Passat GLX Wagon with a V6 and 4Motion. The first time it rained the car filled with water. The car was in the shop five times before they figured out that the sun roof was leaking. They tore out the entire interior of the car and drilled holes in the floorpan. The service manager told me that the holes would be plugged and the car would like new. When I got the car back there were squeeks. Parts were missing. There was grease on the carpets and leather interior. I had the car less than a year. I filed for redress under the lemon law. VWoA’s response was , in essence, “” Yes we screwed you, but we would like the opportunity to continue screwing you”". VWoA refused to buy back the car. I thought that I had incredibly bad luck to get two lemons in a row. Then I found out that EVERYONE was having problems with VW. And, VWoA was telling everyone to go scew themselves.
    The best thing that could happen for the American consumer would be for VW to pull out of the American market.

  15. VWVictim Said,

    February 10, 2005 @ 2:11 am

    Orphan Cars – I think, in retrospect, that VW does in fact see the writing on the wall. That is why they never built an assembly plant in the US.

    If Americans stopped buying VWs no Americans would lose their manufacturing jobs. Salespeople and repair people would move to other( more reliable) brands.

    In the grand scheme of things inefficient manufacturers are constantly being replaced by manufacturers that build a superior product at a price point

    VW seems unable to engineer and manufacture a reliable automobile at a price point. If they go out of business the jobs will migrate to manufacturers that have smarter engineering teams, better assembly lines, and better quality control.

    You cannot keep holding up the shiny bauble and saying: ” we have the superior german engineering”. People can see the emperor has no clothes. VW is producing junk and is not standing behind their product.

  16. 297 Said,

    February 10, 2005 @ 2:25 am

    Orphan Cars – Chombi, did you even read mopaks21’s post!? Here, let me quote it for you:

    “”Good, I hope VW goes out of business for making the shittiest cars out there! A Kia makes a better car then VW! Who the hell builds a german car in mexico?!?!?!?! NEVER EVER EVER would i drive one again!”"

  17. YupOldBull Said,

    February 10, 2005 @ 3:12 am

    Orphan Cars – The title of this thread should be, “Orphaned Customers,” forget about the cars.

  18. VWVictim Said,

    February 14, 2005 @ 2:35 am

    Orphan Cars – Actually, they are already orphans. As soon as you’re out thr door they slam the door shut behind you.
    “” Your engine seized at thirty thousand miles? It’s your fault. You changed the oil at 5001 miles”".
    “”Your window fell into the door? Well, we’ll replace it with the same defective part. What? We’re being sued? Harumph. Well, I guess we’ll have to redesign the part”".
    “” An ignition coil failed? Your car misfires and dumps unburned gas into the exhaust system? We’ll replace the coils as they fail”".
    “” Your check engine light comes on? You must not have had your car tuned up properly. It must be dumping unburned gas into your exhaust and toasting the CAT. We’ll reset the code. Come back after 80,000 miles”".
    etc.
    etc.
    etc.
    etc.

  19. VWVictim Said,

    February 16, 2005 @ 2:21 am

    Orphan Cars – What in fact do the consumer protection laws require of a car manufacturer if they withdraw from a market? Not that VW would stand behind their product if they withdrew from the American market. They don’t stand behind their product now! Did Fiat owners have any recourse after Fiat withdrew from the American market?

  20. gerald palmer Said,

    February 18, 2005 @ 2:57 am

    Orphan Cars – personally i hope vwoma goes under. i could care less about there employees. i have to eat the money i spent on this car anyway. can’t sell it can’t trade it in. why because it will not run long enough to do so. i really don’t care if i can’t get new parts for it if vwoma goes under. my situation will still be the same i am out 22,000 and have to buy a new car. F*@k vwoma nad there employees, they should see the trend and find a new job now. they sure as sh*t did not care that because the air bags in my car did not go off nor did the seat belt lock causing my head to go through the windshield and my tougne to get bite off, which made me lose my job. why should i care about the jobs vwoma employees.

  21. YupOldBull Said,

    February 18, 2005 @ 8:10 am

    Orphan Cars – Count your blessings.

    2000 Jetta GLS $12,000 in repairs….4 years.

    Learn to turn the other cheek. Like hell.

  22. VWVictim Said,

    February 22, 2005 @ 1:08 am

    Orphan Cars – I think that VWoA underestimated the effect of word of mouth. In the age of the internet word of mouth is a critical matter. When there is a chorus of people screaming about how they were screwed by VW it is going to effect sales.

  23. Cod Said,

    February 24, 2005 @ 11:13 am

    Orphan Cars – Herem is youre get rich quick scheme
    do a put on VW stock and get rich.

  24. Cod Said,

    February 24, 2005 @ 11:17 am

    Orphan Cars – Realize this for $18000 you buy the cheapest German car err Opel is cheaper.
    The Quality is thus on par with a 9000 $ KIA piece of crap.

  25. rick Said,

    March 1, 2005 @ 5:11 am

    Orphan Cars – not logically…

  26. tmkreutzer Said,

    March 1, 2005 @ 6:12 am

    Orphan Cars – VW isn’t going to go out of business unless something really drastic happens. It’s a nice dream, but it’s just a pipe dream.

    Hopefully the pressure on them causes them to built a better car.

  27. 297 Said,

    March 1, 2005 @ 11:17 am

    Orphan Cars – That’s pretty much the main difference between me and those who think me a secret agent for VW (heh): I want VW to respond and make better cars, they just want VW to die.

  28. YupOldBull Said,

    March 1, 2005 @ 12:57 pm

    Orphan Cars – Any chance of both happening?

  29. VWVictim Said,

    March 6, 2005 @ 2:32 am

    Orphan Cars – February sales for 2005 fell 12.7% compared to February 2004. Sales to date for 2005 fell 8.6% compared to 2004. VW continues its downward spiral. The truth about Volkswagens is getting out.

  30. 297 Said,

    March 6, 2005 @ 10:17 am

    Orphan Cars – So you’re saying they’re having a rough time getting rid of the old stock?

    The MkVs aren’t on the showroom floor yet, near as I can tell.

    “Continuing a downward spiral” is the correct term for an aged platform with a new one coming in.

  31. VWVictim Said,

    March 6, 2005 @ 11:00 am

    Orphan Cars – Actually, the old stock is what is selling. The sales figures on the older model jettas increased. I assume that VW is desperate to get rid of them before the new models come out. The sales figures on Phaetons and Touregs, which are VW’s newest offerings, dropped dramatically. The downward spiral involves VW’s models that are the most recent in their lineup. The truth IS getting out.

  32. 297 Said,

    March 7, 2005 @ 3:40 am

    Orphan Cars – Touraeg’s and Phaeton’s, pah!

    I can see why those would go down — after the initial buzz, folks are just settling down. They didn’t make the spectacular debut VW hoped for (don’t see why they thought it would anyway).

  33. 297 Said,

    March 8, 2005 @ 1:03 am

    Orphan Cars – They should have tried to fill the hole in the lineup on the bottom end, the sub-$15,000 compacts and hatches.

    A luxury SUV? A luxury sedan? No. A Polo, a Lupo, time-tested models in Europe that have proven to be dependable, with their spiffy 1.6L engines, go-cart looks, and trendy lines.

    How hard could that have been!? No new factory needed.

  34. Chombi Said,

    March 8, 2005 @ 4:21 am

    Orphan Cars – Maybe VW sales managers feels too Euro-hoity toity to be battling in a low price arena filled with Hyundais and Kias which, by the way, are now proving to be well built and reliable little cars, despite their bad looks.
    But you have a very good point Paul, VW DOES need to bring in their simpler proven vehicles to rebuild their original image as the “”People’s car”".

  35. 297 Said,

    March 8, 2005 @ 4:28 am

    Orphan Cars – You know what’s sad? Back in 1994, when the Concept 1 was making it’s way through the auto shows (and got me dearly excited to own a Bug again), the original estimated pricetag was $8-9,000.

    How the HELL did it end up at $18-23k!?

    If I weren’t so damned loyal to my old ‘69 Beetle and the memories it gave me… sigh.

  36. VWVictim Said,

    March 8, 2005 @ 12:49 pm

    Orphan Cars – The Phaeton was an ill conceived notion. As I said in another post, who is going to buy an $80,000 VW? All the time, effort, and money that was put into developing and pushing the Phaeton would have been better spent producing reliable cars.
    The Touareg was developed to fill a hole in VW’s lineup. It the few short years in has been in production it has shown that VW cannot produce a reliable car. It is at the bottom of everyone’s list of reliability. Consumer Reports lists the Touareg as having 48 problems per 100 cars. The Hyundai Sonata has 2.
    Frankly, people should be terrified of the new Jetta. As you said before, people should wait three years to see if VW has turned themselves around.

  37. VWVictim Said,

    April 2, 2005 @ 9:42 am

    Orphan Cars – The faithful are gathering outside of Auburn Hills for a vigil.

    When told of the March sales figures, the faithful clutched their Owner’s Manuals and began singing hymns. It is feared that the end is near.

  38. formerAuditech Said,

    April 5, 2005 @ 1:10 am

    junk… – i love the line about women and metrosexuals…..that was funny. did you know that VW’s are the homosexual’s car of choice? they actually did a poll on it and VW rounded out most of the top ten, in both sides of the polls (homosexual woman as well as men).

    but you all are right, vw is falling fast. enthusists can’t keep it afloat forever. and with more and more of them jumping ship (myself included) and joining the bandwagon of truth (that they are crap) the word is spreading.

    it’s funny but when the japanese first came over (toyota way back with the corona) they were more problematic than these new VW’s are (interesting thing on history channel awhile back about it). and they modeled themselves after VW’s, the dealers, service, and how reliable the cars were! toyota have continued to be a mainstay and have proved themselves to be a reliable product, while VW has done a complete reversal and become the opposite. i don’t think they will ever step up and be as proactive as Toyota was back in the late 60’s and early 70’s. i see them just becoming worse and worse, and i for one wouldn’t be sad to see them go at all. VW has totally given the public a bad general consensis of German cars (when they aren’t really all that German, German cars come from Germany not mexico). i drive BMW’s and Benz’s now and love them. they are what German engeering is all about. and i am sorry to hear VW and German engeering in the same sentence.

    VW sucks, no two ways about it, and they aren’t doing anything about it. trust me, i use to be an enthusits and Audi tech.

  39. 297 Said,

    April 5, 2005 @ 1:50 am

    Orphan Cars – i love the line about women and metrosexuals…..that was funny. did you know that VW’s are the homosexual’s car of choice? they actually did a poll on it and VW rounded out most of the top ten, in both sides of the polls (homosexual woman as well as men).

    So if VW is popular among women and homosexuals, this is a bad thing? Misogynistic and homophobic much?

    As for top ten, I found this little list on gay.com: Ten great gay cars for 2003:

    * Jeep Wrangler
    * Subaru Outback
    * Jeep Grand Cherokee
    * BMW X5
    * BMW 3-Series
    * Saab 93
    * Mazda Miata
    * Ford Mustang
    * Ford Ranger
    * VW New Beetle

    Yeah. “”Top ten”", all right.

    i don’t think they will ever step up and be as proactive as Toyota was back in the late 60’s and early 70’s. i see them just becoming worse and worse, and i for one wouldn’t be sad to see them go at all.

    Everything comes and goes in waves, and you can never tell how things will go in the future. Detroit is coming back up after a long period of malaise, touted German engineering is losing its luster, and the Japanese are peaking. In ten years, we may all be drooling over the rebirth of the Firebird while the Japanese brand suffers in quality and the German industry spins in panic as they try to recover.

    So what makes you think VW will not be as proactive in the future? After all, they were in the past, and to some degree, they still are today — though many would agree that they need to stop pushing the technological frontier as much and concentrate on building cheap, sturdy cars again.

  40. Beck Said,

    April 5, 2005 @ 4:41 am

    I knew it!!!! – Paul, Rick forgot to teach you the site Mantra before he left!
    It goes, “”VWSUCKSVWSUCKSVWSUCKSVWSUCKS……”" Remember to say it from deep in your diaphram, as fast as you can. A few minutes of chanting this, before you log in to the site everyday, will get you going in the right frame of mind! ;^)))

  41. 297 Said,

    April 5, 2005 @ 5:05 am

    Orphan Cars – So that’s what he forgot to tell me! :)

  42. formerAuditech Said,

    April 5, 2005 @ 5:28 am

    Orphan Cars – Paul,

    it all depends on where you pull your list from. the source that was shown to me was on a VW ENTHUISITS SITE!!!!!!!!! so no, no homophobic-ness here……and bad thing? no, not bad but many will argue not good either. how many guys are running out to buy a new beetle cause they are die hard old beetle fans, not many. it has become a choice of young teenage girls, and heck it even made the poll you found.

    VW is proactive today? please. they are far from it. i have worked in a few dealers and seen first hand that they are not. also being a former enthuisist i know from many others that they are not. they are “”void warrenty happy”" and try like hell to not cover items under warrenty. more so than any other car brand i have ever work on/for. it’s pretty sad that you dropped 30k+ for a car and because you are a couple of miles over or a week or so out, that something wouldn’t be covered under warrenty. it’s really just sad.

    German engineering isn’t losing it’s luster, and the Japanese isn’t peaking. where do you think the Japanese get some of their automotive technology? go look at a Lexus, every “”new”" item they have Mercedes has had on their cars for a minimum of 5 years. want to see the next Lexus “”new”" feature, go look at a new Benz. Lexus isn’t pursuing perfection, they are persuing Mercedes. and the Japanese have the market cornered on small fuel efficent and long lasting motors. the Germans have gone the other route and make the best diesel motors (shame we don’t get any of the good ones here). so where are the American’s? making SUV’s and station wagons that can run quarter mile times of 15 seconds or less and not able to pass up gas stations. sex sells, so does big inefficent automobiles right now and they are milking it all up. but when that runs out they are going to be left with the ball dropped right in front of them and either the Japanese or the German auto market will pick it up and run with it…….but not VW they will be floundering, living off their other marques to keep their heads above water.

    Detroit is coming back up, but their cars are at least, at least 10 years behind the German’s and Japanese in everything. i had a friend that works for GMC test drive a Tourag (sp) when they came out and he said and i quote “”we have been making SUV’s for years, and VW comes out with a brand new one and it is leaps and bounds over everything we have.”" don’t believe me? go look at safety, American cars are dead last in safety almost always. the top of the line caddy doesn’t fair as well as the bottom of the line Mercedes in the highway institute’s off set crash test.

    cheap sturdy cars? that went away with the beetle really…..and hasn’t been back since.

  43. 297 Said,

    April 5, 2005 @ 7:48 am

    Orphan Cars – how many guys are running out to buy a new beetle cause they are die hard old beetle fans, not many.

    True. I’m one of them, by the way. And there are far more women driving Mustangs and SUVs than you can imagine, especially where I live: the land of the plastic dolls.

    VW is proactive today?

    Depends on what aspect. You can’t deny that VW has made an effort to give you as many standard features as possible in a mid-class consumer car. And their diesel engines in Europe are technological marvels (once and for all, diesel does not equal bad for the environment, and will the EPA and California figure that out already). They’ve managed to eke out as much performance out of tiny displacements and they’ve made efforts to not look boring. Japanese equivalents are boring. American equivalents are ugly. There are no German equivalents in VW’s class, so really, it’s hard to compare there. These are all aspects in which VW can be considered proactive.

    The problem is that they need to be more proactive in consumer relations, keeping the price down, and building sturdy yet fun to drive cars.

    My flagging, peaking, and rising bit was a large generalization, no contesting your comment. But I do believe that companies can recover as much as they stumble, so the idea that VW sucks today, tomorrow, and forever just doesn’t fly for me.

  44. VWVictim Said,

    May 3, 2005 @ 5:20 am

    Dead Pool – VWoA sales figures are posted for April. Sales in April are down 28.1% as compared to April of 2004. Year to date sales for 2005 are down 18.9% compared to the same period in 2004. Does anyone want to start a “Dead Pool” as to when VWoA expires?

  45. you_moron Said,

    June 2, 2005 @ 2:50 am

    Orphan Cars – They never should have made the Touareg. That was the biggest waste of time/money ever. Back in the 40/50’s yea the VW trucks and what not were good. Ran well, good for the war and what not.

  46. VWVictim Said,

    June 2, 2005 @ 12:46 pm

    The Future is Bleak – May 2005 sales are down 41.9% compared to may 2004. Year to date sales are down 25.1% compared to the same time period as 2004. Serious consideration has to be given to how long VAG’s shareholders will let management continue to prop up VWoA. VAG’s shares are tanking. With all the quality cars available to the American buyer, who is going to buy VW’s junk?

    A poster over on VWVortex raised an interesting question. If VW withdraws from the American market what happens to Audi?

    It’s time to take whatever I can get in trade for the Passat before the bottom drops out. I’ll take the loss just to get rid of the POS.

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