VW - VW value - Glasgow26

Hi there

I've just joined. As a matter of interest, why do VW cars hold their value so well compared to other models. I've driven (owned privately, hired and on Motability scheme as my brother is disabled) all different models of cars including VW and to be honest, I don't think they are any worse or any better than any other car. In fact, the last 'vW Polo I had (05 plate 1.2E) felt very lumpy at idle and, on doing my homework, this was a known problem with this particular model.

VW - VW value - RobJP

Quite simply, they USED to be very high quality, and that halo takes a long time to slip. Much like Skoda used to be the joke car, and (to a fair number of people) still is.

VW did very well back in the 1980's with their ad campaign the 'If only everything in life was as reliable as a Volkswagen' strapline. At the time, it was true.

VW - VW value - bathtub tom

>>At the time, it was true.

You think so?

Seems advertising works.

VW - VW value - Wackyracer

I would personally say that they don't hold their value any better than any other car.

Almost all cars lose 50% of the new price at 3 years old and VW are no different. For example a Golf 1.2 TSI is about £17000 new and a good 3 year old examples are available for under £8000.

I think all this VW's holding their value is just marketing spiel to sucker people into thinking it is such a great investment.

VW - VW value - bazza

They sell well on image and perceived desirability. Through highly successful advertising VW have achieved a very strong brand image. Just like BMW. Despite well known problems such as ESP failure and leaky interiors they continue to sell well. The data suggests they are no more reliable than average and indeed in the US their Customer satisfaction rankings are pretty poor compared to the mainly Eastern and Japanese rivals. They are however extremely skilled at making the interiors a "nice place to be" with perceived high quality fit and finish, touch feely plastics etc. Many people equate this feeling with robustness and reliability/solidity, hence the image is maintained. I have owned a few and yes, they have been decent enough cars but reliability only average, with interiors filling with water, and various electrical gremlins after the first flush of youth. Overall, believe it or not the French cars I've had has been less troublesome over 100,000 miles. And no comparison with Japanese reliability as they age. But they look nice, they drive ok, there is a good choice and they bolster the ego, particularly the hot versions.

VW - VW value - drd63
There is also the evolutionary design which is innocuous and in offensive so one model looks very much like the previous. I'm guessing a lot of the motoring used buyer market like the fact that you can't tell if you are driving the latest or previous model, very bland but inoffensive so no need to explain why you bought one.
VW - VW value - KB80

I my experience they have been good cars and can handle a lot of miles in comparison to similar models, but I agree that they've been clever with their marketing and have developed an image that may not necessarily be accurate

VW - VW value - oldtoffee

My tuppence on perceived VW quality and comparison to Far East rivals.

We have a 5k miles 2014 Tiguan and a 40k miles 2011 Hyunbdai Santa Fe in the extended family. The Tiguan was £6k more list than we paid for the Santa Fe and a size and a bit smaller, less toys, 200cc smaller and 54bhp down in power. The Tiguan is not the good value motor the Santa Fe is/was but the new Santa Fe is £5k more than the old one. The Tiguan feels better built, some way ahead of the Hyundai in terms of rigidity, feeling solid, less rattles and shake. The Tiguan interior is much better quality and better laid out but the new model Santa Fe is a step closer to the current Tiguan which is due to be replaced quite soon. The Santa Fe is set up much firmer and when you drive over our typicaly Bristish rutted streets and speed bumps the car shakes, rattles and bounces, you can see the seat uprights flex on every bump. The Tiguan is limo like in comparison, miles better. The Santa Fe is a more engaging drive on the twisty bits and belies its size and weight. The Tiguan is good but not as confidence inspiring. The DSG box is a shade quicker and smoother than the excellent TC box on the SF. Both are good on the motorway cruise, again the Tiguan is more relaxing but its not the same gulf as on streets. No reason to suspect the Santa Fe won't last as long or prove more reliable although it has been back for 3 warranty and 3 recall visits and depreciation looks to be pretty ugly.

Edited by oldtoffee on 16/04/2014 at 23:53

VW - VW value - Cluedo

I am in agreement with the guys above - it is purley down to advertising and imge in the UK. They are certainly no better than many cars and I would go as far as saying they are a lot worse.

I apprecaite we all have different tastes and views on what makes a good car but I do not get the VW Skaudi (SEAT, SKODA and AUDI) thing - all basically the same car with a different badge. Personally I do not think VAG cars are engineered and designed (technically) as well as say a Mazda, Honda, Subaru etc.

And their customer service is appalling as well.

VW - VW value - Leif
I'm always surprised how people think VW are better quality. Advertising, lots of it. German goods do have a high reputation, not always justified.
VW - VW value - gordonbennet

The poster above who mentioned looks of the Golf as an example has a valid point.

Most VW's and Audis look reasonable enough (though A1 is just plain ugly to me, each to their own) but none of them are fashion statements, no sharp cut lines nor too many other height of fashion of the moment looks, they're not trendy not of current fashion, so when the current fashion moves on their almost timeless even slightly boring look won't fall out of fashion either.

That's got to have some effect on a vehicle's long term desirability, and being able to sell something easily as it ages has to have a long term effect on its value.

Was only thinking this the other day on the motorway, saw lots of Passats, now quite honestly they do nothing for me and i wouldn't want one (nor its EPB) but they look quite decent neat composed and as said above innoffensive, an easy default choice for many.

VW - VW value - Ordovices

As always, it's a matter of perspective

Personally I do not think VAG cars are engineered and designed (technically) as well as say a Mazda, Honda, Subaru etc.

I too fell for that perception and bought a mazda diesel; honda diesels have had their share of problems too and subarus don't seem to sell enough to make any impression. But for me my VW diesel has been faultless, as has our VW petrol, with considerably less spent on maintenance and repair than I had budgeted for. I'm not hung up on VW, my next car will be whatever is appropriate at the time (though not a mazda).

VW reliability and quality issues are more apparent because of the volume of cars sold, in the UK currently, only ford are outselling VAG. Should subaru produce a batch of faulty cars it will only make news in very limited circles, I haven't done the research, but I'd be willing to put money on that VW sold more 2.0 pd passats than subaru sold all models in the same period in UK.

VW - VW value - corax

VW reliability and quality issues are more apparent because of the volume of cars sold, in the UK currently, only ford are outselling VAG. Should subaru produce a batch of faulty cars it will only make news in very limited circles, I haven't done the research, but I'd be willing to put money on that VW sold more 2.0 pd passats than subaru sold all models in the same period in UK.

Subaru are a niche manufacturer - behind the times in terms of producing cars with good economy and clean emissions, both things that are very important to British buyers depite the fact that many probably spend more money on older diesel repairs than they would fuelling a Subaru that doesn't go wrong. The permanent four wheel drive and boxer engines are on the whole going to appeal to the petrol head types or people of more of an engineering background that appreciate these things. Most people couldn't give a stuff as long as they can put their foot to the floor and the car consumes fresh air.

I think that Subaru are losing it now though. Their current line up doesn't have the appeal that their old cars did.

The first VW's did stand out against the British competitors at the time. They were more reliable and rusted less, and had a solidity that appealed. They aren't that reliable anymore, and the dealers stink, but they have 'euro' designs that people like. I think the Japanese designs are a bit hard edged for many British tastes.

BMW is the same - many faults and niggles but the image they hold here keeps them selling.

VW - VW value - smallcar
Vw has developed a very clever position through its marketing as the default middle class option in cars that suits the British class system. It's the position in some ways Volvo used to occupy. It's the purchase option that requires no explanation - no need to make a fuss explaining your purchase to others or boring them on things middle class people get uncomfortable about like overt talk of money and prices. Yet the purchase of said vw confirms to onlookers that the buyer indeed can afford their higher list prices and isn't swayed by upstart offerings from others. It's all about sending out subtle signals.

VW - VW value - idle_chatterer

I think that Subaru are losing it now though. Their current line up doesn't have the appeal that their old cars did.

As a counterpoint - Subaru are currently being very successful in other markets - the large US market and (admittedly smaller) Australian markets for example. In both these markets their cars are considered capable, rugged and (believe it or not) economical. But the requirements are different - much higher mileages, many unmettled roads and cheaper petrol.

One delightful consequence is a lack of underpowered tax dodgers and diesel convertibles.... (IMHO of course). Viewed from a different perspective European and UK car derivatives look peculiar too.

VW - VW value - retgwte

As I said in another thread...

In one Asian country I know quite well VW's have a terrible reliability reputation. Mainly caused by their rubbish automatic gearboxes, in a country where most people drive automatics this make it a big deal. Also their aftersales dealing with auto gearbox problems is considered rubbish. Makes me laugh in this country to see them perceived as a premium brand where people are prepared to pay over the odds for a very average car.

VW - VW value - Ed V

Total VW car sales were 4.4m worldwide in 2013. In the UK, ALL car sales were 2.2m.

So, let's guess that VW sold 220,000 in the UK. That hardly suggests that their engineers and marketing people were allowing an in-depth study of middle class Englishmen to determine the type of cars they make, not to me anyway.

VW - VW value - madf

"Total VW car sales were 4.4m worldwide in 2013"

VAG sold over 9 million cars in 2012....

VW - VW value - corax

I'll say one thing about VW's though. They have comfortable seats and good driving positions - at least in the models I have driven.

VW - VW value - Ed V

That's vehicles I think, not cars.

VW - VW value - Ed V

Sorry, my reply was to madf

VW - VW value - Auristocrat

Glass's have recently analysed annual depreciation figures using four age milestones (1 year, 3 years, 5 years and 7 years).

The Top 20 for annual average depreciation for car manufacturers is as follows:

1. Mini - average annual depreciation 16.4%

2. Land Rover 17%

3. Toyota 17.5%

4. Honda 17.9%

5. VW 18.3%

6. Smart 18.6%

7. Jeep 18.8%

8. Audi 19.5%

9. Seat 19.6%

=10. Skoda 20.3%

=10. Nissan 20.3%

12. Mercedes 20.6%

13. Kia 20.8%

14. Suzuki 21%

15. Mitsubishi 21.3%

=16. BMW 21.5%

=16. Mazda 21.5%

18. Ford 21.8%

19. Lexus 22.1%

=20. Subaru 22.3%

=20. Fiat 22.3%

VW - VW value - daveyK_UK
its true, used toyotas and hondas do hold their value far better than the likes of vauxhall and ford.

If you can get a decent discount of the toyota or honda vehicle list price, its worth considering buying one despite what might seem as a bigger outlay.

VW - VW value - madf

In general, Toyota and Honda cars withstand abuse better and are usually cheap and simple to service.. And the makers have reasonably priced service plans..

They also top the tables for engine life - VW are in the lower half. And also first time MOT passes.

Both also treat their customers fairly - extending warranties to 7 or more years if their design is the cause of a failure. Try telling that to Ford CVT owners.. etc...

VW - VW value - Avant

Thank you very much for that information, Auristocrat. No surprise to see Mini at the top of the pack: SWMBO is on her fifth, and we've had even lower depreciation on PX deals. Most of the first four have been worth 80 % of cost after two years (admittedly she does only about 5,000 miles a year).

I didn't expect to see BMW so low down - I wonder if that's due to oversupply, given that the 3-series now outsells the Mondeo. Vauxhall are presumably below even Fiat: I'd guess that's a high proportion of high-mileage fleet-owned Vauxhalls.

Edited by Avant on 04/05/2014 at 16:38

VW - VW value - John F

Lies, damned lies, and statistics! Odd how Land Rover and Jeep are high up but Lexus and Mazda [which I thought were far more reliable/durable] are low down.

VW - VW value - Happy Blue!

Not odd at all. The increasing number of people in this country who are obsessed with image means that Land Rovers/Range Rovers and Jeeps are in more demand than cars which are far superior in every way apart from some off the beaten tracks forest where these people will never go anyway.

Hence better depreciation for cars which are less desirable but more in demand....

VW - VW value - Auristocrat

The survey looked at annual depreciation - not reliability and durability. There are various factors which affect depreciation which includes customer demand and customer perception. Yes both Lexus and Mazda are reliable and durable (though possibily not in the case of some Mazda diesels), but if demand for them on the second hand market is lower than other makes, or another make is perceived to offer better quality in that market sector there is going to be an effect on depreciation.

Examples: in the UK people would probably be swayed more towards BMW or Mercedes than Lexus, reducing demand for Lexus models on the second hand market. We have owned three Mazdas from new, all of which proved to be reliable and durable, yet depreciation was around average for their market sectors.

VW - VW value - Avant

Quite right. The only thing I know about economics is that the right price for something is what some other poor sap will pay.

Because enough people want to be seen in a Mini and will therefore pay a lot of money for a used one - whether or not it's reliable - it's at the top of the table that Auristocrat has found for us. Generally, I suppose that the nearer a make is to the top of that table, the better it is to buy it new, and the ones near the bottom should be bought secondhand.

Edited by Avant on 04/05/2014 at 16:40