Sales

This Is How Volkswagen Will Continue To Make Massive Profits During Dieselgate

Have people already forgotten?

A smart business will play their cards right and have multiple fronts in order to spread out the risk of a fall. During mass recalls or scandals, the brand in trouble takes a hit but subsidiary brands or sister brands have little or no association in the minds of unknowing consumers so they can get by without suffering from the fallout. This is exactly why Audi, which is a Volkswagen subsidiary, is doing so well even though its parent company is hurting after the scandal. The fact is, Dieselgate also included many Audis.

The cars include the A1, A3, A4, A5, A6, TT roadster, Q3 and Q5 that are equipped with either the 1.6-liter or 2.0-liter diesel engines. By having Volkswagen take the hit, Audi has just ended the first quarter of this year with a surge in demand. In total, deliveries are up 7.5% on the back of its Q SUVs. All three of the world’s largest markets (the US, Europe, and China) snapped up these cars. This will give Volkswagen Automotive Group an influx of cash to help them pay for the fix and depreciation of almost 500,000 cars. Completley glazing over the bad diesels, Audi sales boss Dietmar Voggenreiter told press conference attendees, "We continued to increase sales in all of our core regions which reflects the sound balance of our business." Nice move VW.

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