The Volkswagen Group is going to conduct the differentiation among the brands of the concern. It is assumed that the car SEAT will be more emotionally focused, and Skoda will pass in the segment of inexpensive cars Hyundai and KIA.
The German concern plans clearly identify the vehicles of each brand. SEAT model Cupra have to play on the emotional feelings and passions of the client. Skoda auto will be focused on Eastern European market.
According to the Agency Automotive News, the head of automotive strategy of the VW Group Michael Yost said
“The Skoda brand managed to sell more effectively, responding to the queries of consumers from Eastern Europe, emphasizing on the functionality more intensively than now.”
Besides, it turned out that the new positioning can also have an impact on the pricing policy of the Corporation. Under the assumptions, the cost of cars SEAT can be increased. Skoda is likely to give up some premium options in the new car, which will give the opportunity to compete with Dacia, Hyundai and KIA on the Eastern European market.
Also, according to Michael Jost, the Corporation will adjust the offer brands group to avoid crossing.
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