Vw Strategic Analysis

Actual Customers

In order to get a review of the customer structure two models are used.

The UK socio-economic grouping and in addition the 9 Stages of life cycle

(Wells and Gubar, 1966). The first systems` usefulness is limited, due to the fact only rely on the occupation of the head (main income earner) of the household, but fails to put that into context of the rest of the household. Nevertheless, as Inskip (1995) argues, a deeply rooted sense of class does affect people`s perception of the world an their aspirations

(e.g. self-image, self-belief or sense of success). The family life cycle models` effectiveness and applicability is difficult on modern families (e.g. two or more income holder) because simple generalisations about buying habits are not possible. (appendix 1)

The actual range of cars sold by VW have got a price range from about 6,000 pound for a LUPO up to over 60,000 pound for a luxury PHAETON, therefore VW is covering nearly every car segment, except super sport cars. But the main turn over is generated with the GOLF and the PASSAT whose prices are between 9,000 pound and 20.000 pound.

By looking at Wells & Gubar's (W&G) '9 stages of life' model, it could be believed therefore that there are no typical customers for a GOLF, which is sold to the 18yearl old girl up to the 70 year old pensioner. Because of the good reputation of the GOLF established in every social class, a classification to a certain social status is not possible. For example, the GOLF is sold to absolutely every class from 1 - 9 in Germany. In Italy its different to the home market. The focus there is on stage 1 and 2. But people in higher pay levels would be