- Published: Friday, 31 March 2017 21:44
VGS matches industry standard warranty; no longer reports to Germany
SINGAPORE - Volkswagen Group Singapore (VGS) announced today that it will begin offering five-year, 100,000km warranties on all its cars sold here from April 1, 2017 onwards. Additionally, free servicing for the first three years’ ownership will also be offered, subject to a mileage cap of 45,000km.
Current owners of Volkswagen passenger cars aged less than 36-months are eligible to purchase the additional two-years’ warranty, subject to a nominal fee which is also dependent on the car’s current mileage. A car status check will also be carried out beforehand.
Currently, mainstream brands like Honda, Hyundai and Kia offer 5-year, unlimited mileage warranties. Toyota, Mercedes-Benz and BMW offer three-year/100,000km warranties, with local BMW dealer, Performance Motors, offering a 5-year, 200,000km extended warranty for purchase.
Ricky Tay, the managing director for VGS, said: "The five-year warranty programme makes a statement about the absolute trust and confidence we have in our product and aftersales service. All Volkswagen models offer the highest standards of automotive technology and safety at attractive prices. With this offer, our customers are assured that we are always there for them as their trusted partner throughout their ownership journey."
The brand also celebrates its 10th anniversary in Singapore today. In 2007, VGS took over the dealership from existing dealer Car & Cars, which was under the Exclusiv Group. As a direct arm of Volkswagen Group AG, Wolfsburg, it became the first brand here to offer direct retail sales, unlike all other brands who work privately owned dealerships and/or distributorships.
It was a prescient move, as the brand, boosted by an ever-widening and increasingly capable model line-up, was able to achieve a 10 percent market share here by 2011. In 2007, it has been less than one percent.
Like in other markets, the brand established itself as a technology leader with frugal and powerful drivetrain technology in the form of turbocharging (TFSI) and dual-clutch gearboxes (DSG). It was also a pioneer for diesel passenger cars here.
This success was nigh unprecedented, but there were also stumbles along the way, as the rapid expansion also mean a backlog in aftersales for a time. There were also engineering problems from VW AG itself, including the DSG gearbox recall and more recent ‘Dieselgate’ fiasco, although the former has been resolved, and the latter is currently seeing the recall of 441 passenger cars and 221 commercial vehicles here.
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VW has spent the past few years seriously improving its aftersales game though, with a major expansion to the Alexandra showroom in 2011 while a new showroom/service local opened in MacPherson in 2012. It introduced express service in 2015, online service booking in 2016 and claims to have slashed current service waiting time to a mere three days.
The current Volkswagen Alexandra showroom at 247 Alexandra Road
“In terms of sales we’re happy to be consistently in the top ten. But what isn’t so obvious is that we’ve spent the past two years truly building focus on the entire ownership experience for customers - and that really is the bedrock for a strong future for us,” Mr Tay told CarBuyer.
Words Hubert Tang
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