Trust Cannot Be Bought
Trust Cannot Be Bought

Video: Trust Cannot Be Bought

Video: Trust Cannot Be Bought
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Jürgen Stackmann believes that the basic trust in the VW brand is unbroken. In an interview with Autogazette, the sales director of the core brand talks about the USA, the cultural change and why trust cannot be bought.

Customers affected by the VW emissions scandal in Europe cannot hope for compensation payments like in the USA. «That is not planned. Trust cannot be bought. Trust can only be earned. And we are now working on regaining the trust we have lost,”said Jürgen Stackmann, Chief Sales Officer of the VW core brand, in an interview with Autogazette. This should succeed “through a good technical solution, outstanding service, open information and good communication”.

«Don't compare Europe and the USA»

For Stackmann, Europe and the USA should not be compared with one another. "In Europe we already have a technical solution that can be taken care of for customers with a visit to the dealer." As the manager added, “at this point in time there has been no change in residual value behavior. Accordingly, there is no material damage for customers in Europe”.

In the USA, however, there is unfortunately "no service campaign coordinated with the authorities". Customers there had opted for a “niche, cutting-edge technology” with diesel and were prepared to pay higher fuel costs for it because diesel is more expensive there than gasoline. As Stackmann said, the aim was to show US customers with the marketing campaign. "We won't leave you alone."

There is still great uncertainty

There is hardly any demand for diesel in the USA
There is hardly any demand for diesel in the USA

Autogazette: Mr. Stackmann, have you already regretted swapping your job as Seat boss in Barcelona with that of the sales and marketing director of the core brand VW in Wolfsburg?

Jürgen Stackmann: No, not at all. It is an outstanding task and challenge to return to the core brand Volkswagen at this point in time and to join the team of Dr. To have the opportunity to position the brand for the future.

Autogazette: You didn't have to ask yourself why you should do this to yourself? Your appointment fell after the emissions scandal became known.

Stackmann: I had already given my approval. And I never thought about withdrawing it for a second.

Autogazette:Volkswagen cheated on its customers with manipulated emissions values and thus lost confidence. How long will it take to regain that confidence?

Stackmann: There are two main tasks with which we want to regain trust: On the one hand, we have to completely clarify the background that led to this problem. At the same time, on the other hand, we have to offer the customer a technically excellent solution and convince them of the brand again with excellent service. The first weeks of the year show that we are on the right track. As has been seen in similar cases in the past with other brands, however, it is a process that will not be over in a few months.

Autogazette:Do you really think that that and a new advertising campaign is enough?

Stackmann: A lot is about information - and we give it to the customer through various channels. There is still great uncertainty. That is why we are currently trying to establish direct contact with customers. We inform all customers - not just those who drive a diesel. In terms of sales, the first few weeks of the year show that the basic trust of customers in the VW brand is unbroken.

Culture is much tougher than organization

Autogazette: Do you also have to convey to the customer that a new culture has entered the company under the new management? Almost every day there are new reports about when the board was informed about the emissions scandal and when?

Stackmann:It is clear to see that we have consistently taken the right steps. We answer the question of culture every day in an open communication culture with our employees, for example via the new communication channels and fast decision-making channels that we enable via a new structure. But creating a new culture takes time. Culture is much tougher than organization. We will present a report in the second half of April to clarify the background, until then I ask for your understanding that we cannot comment on the ongoing investigations.

The brand only comes into being through the encouragement of the customer

New advertisement from VW
New advertisement from VW

Autogazette: With the new advertising campaign you put the focus on people. Has VW relied too heavily on the product in the past?

Stackmann: The Volkswagen brand only works through the customer's place. The brand only comes into being through the approval of the customer; only then does it have such great success. The slogan “Das Auto” was successful and has accompanied the enormous growth of the brand in recent years. At the same time it was a period of focus on the product, on the technology. Triggered by the diesel issue last year, we noticed that “Das Auto” had moved us a bit away from our customers. That is why we have said goodbye to “Das Auto” and are moving closer to our customers with Volkswagen.

Autogazette:Will you be doing different spots for the USA than in Europe?

Stackmann: That has always been the case. The perception of advertising in the USA is completely different, which is why we also have another agency there that we work with: the German agency. The basic theme in the USA is similar: driving fun, wit in communication. Our TV campaigns have always had people in mind. I only remember the spot with little Darth Vader. One of the most successful commercials ever.

Autogazette: I am aiming to see whether you will focus on sustainability in the USA after Dieselgate?

Stackmann:This affects the design of the campaigns. We will certainly outline the topic of sustainability. It's about solving the diesel problem in agreement with the authorities. After that, the time has come to choose a different communicative approach in terms of advertising.

Focus on electric mobility

The VW Golf GTE shows two faces
The VW Golf GTE shows two faces

Autogazette: As you can hear, the US authorities should urge VW to invest more in electromobility and to produce electric cars locally. Will it come to that?

Stackmann: We generally place the topic of electromobility at the center of our work. One of the main future initiatives of the Volkswagen brand is the modular electrical construction kit, which of course will also be of great importance in a market like the USA. This is a great opportunity to reposition the Volkswagen brand in the direction of sustainability.

Autogazette: The group wants to bring around 20 models with electric or plug-in drives onto the market by 2020. How many of these are in the core brand?

Stackmann:We are already today with e-up! and e-Golf which are broadly positioned in this area. This also applies to the plug-in hybrid - with the Golf GTE and the Passat GTE. Our Chinese joint ventures further expand this offer. By 2020 we will be launching a total of five of these 20 models as electric and five with plug-in hybrids.

«We don't leave you alone»

Autogazette: In the USA, customers affected by the emissions scandal get a $ 1,000 voucher, in Germany nothing. Is that how you regain trust?

Stackmann:We are convinced that we can win back the trust of our customers through a good technical solution, outstanding service, an open explanation and good communication. The important thing in this discussion is that one simply cannot compare Europe and the US. We have occupied a niche topic in the USA with diesel. Our customers there have opted for a niche, cutting-edge technology. And: You pay more for fuel there, for example, because unlike Germany, diesel is more expensive than gasoline. Unfortunately, there is still no service campaign coordinated with the authorities for the USA. Diesel vehicles are currently excluded from new vehicle sales. Among other things, there was a marketing campaign for our customers. With her we wanted to show: We won't leave you alone.

Autogazette:The European customers leave you alone.

Stackmann: The situation is not comparable. We would like to apologize again to our valued customers for the uncertainty and irritation of the past weeks. In Europe, we already have a technical solution that customers can do with a visit to the dealer. The measure takes a maximum of one hour, in many cases significantly less. It is also clear that there is currently no change in residual value behavior. Accordingly, there is no material damage for the customer in Europe. Of course, the software update is free and there is also a mobility service. We have always emphasized that we want to make this visit as pleasant as possible for our customers.

Autogazette:This unequal treatment between customers in the USA and Germany was criticized by Federal Justice Minister Maas, among others. So there won't be any compensation programs?

Stackmann: That is not planned. Trust cannot be bought. Trust can only be earned. And we are now working to regain that lost confidence.

It is still too early to say anything about the year as a whole

VW Tiguan
VW Tiguan

Autogazette: With 5.82 million vehicles, the core brand VW ended the previous year with a minus of 4.8 percent. Do you see the brand in the black again this year?

Stackmann: It's still far too early to make a statement about the year as a whole. However, things went very well in the first two months of the year, even if we observed inconsistent market developments. We are ahead of schedule in China, where we're growing faster than the market. Looking at the incoming orders, I am pleased that we are on the same level as last year - and we had an excellent year in the first two months. We already have 10,000 pre-orders in Europe for the new Tiguan alone - that's an order of magnitude even for VW.

Autogazette:Are there any markets that concern you?

Stackmann: The Russian market remains difficult to assess. A difficult year awaits us in South America due to the economic crisis. In India we will only be able to score points in the second half of the year, because the Ameo that we have just presented in Delhi will only provide an impetus then.

Keep the SUV trend sustainable

Michael Horn has resigned as head of the US at VW
Michael Horn has resigned as head of the US at VW

Autogazette: How do you assess the market development in the USA this year? In January the decline there was 14.6 percent, in February a good 13 percent. Do you expect new impulses here after the separation from your previous US boss Michael Horn?

Stackmann:In the USA we have so far achieved a 30 percent diesel share. But when the diesel issue became known, we imposed a sales ban that still exists today. It is all the more gratifying that the team has succeeded in compensating for this loss somewhat by increasing sales of gasoline engines. At the same time, we are seeing that the SUV market is becoming independent due to the low gasoline price. Americans love their big trucks and big SUVs again. 62 percent of all vehicles in the US are trucks and SUVs. Michael Horn had established an internal and trusting relationship with our US dealers. It is now up to us to strengthen that bond and seize opportunities for growth. He leaves the company by mutual consent. I very much regret his decision and thank him for his work here at Volkswagen.

Autogazette: So far, you have not been able to make appropriate offers to customers.

Stackmann: We are not known to be a large manufacturer of trucks and SUVs in the USA. But it shows that the decision to build the mid-size SUV in the USA from the end of the year was the right one. That will set the trend for us.

Autogazette: Isn't the SUV offensive coming too late in the USA?

Stackmann: No, I think the SUV trend is sustainable. The Tiguan and mid-size SUV will be a big step for us to get back to growth. However, our first priority in the USA is to start the service campaign now and to be able to offer our customers a solution.

The interview with Jürgen Stackmann was conducted by Frank Mertens

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