SKODA has designs on Chinese customers
Shanghai Volkswagen celebrated the first SKODA OCTAVIA car in 2007
SKODA, the century-old Czech automotive company, entered the Chinese market in 2007 with an OCTAVIA model made in China in partnership with SAIC VOLKSWAGEN.
For the past 11 years, SKODA has produced more than 2.5 million cars in Anting in suburban Shanghai's Jiading District, Ningbo in Zhejiang Province, Changsha in Hunan Province, and Yizheng and Nanjing in Jiangsu Province, with more than 600 sales outlets across the country.
China became the largest single market for SKODA in 2010, contributing over a quarter of its total vehicle deliveries in recent years.
“The Chinese market has been growing consistently over the past 11 years, closely tied to the fast development of the economy,” said Michael Arndt, executive director of SKODA’s marketing and sales.
“China has been the largest single market for SKODA and also the priority of SKODA worldwide. We always focus on bringing products with state-of-the-art technology to the Chinese market,” he said.
SKODA’s relationship with China can be traced back to 1935, with the export of the SKODA POPULAR.
A year later, SKODA had five dealerships in China. In 1952, the SKODA VOS, a limited edition executive model, was presented by the then Czechoslovakian president to Chairman Mao Zedong as a state gift.
The company said it is striving to provide “clever solutions” for Chinese customers with a portfolio of high-quality vehicles and services.
“The demand of consumers in the auto market keeps changing in line with the transformation of Chinese economic structure and the development of technology,” said Arndt.
Michael Arndt, executive director of SKODA’s marketing and sales, with the new KODIAQ GT
SKODA has introduced a series of products in accordance with the tastes and needs of Chinese customers.
KAMIQ, an SUV model launched in June, has been designed with the Chinese market in mind.
Besides the KAMIQ, SKODA has also launched its KODIAQ and KAROQ SUVs.
At the recent Guangzhou Auto Show on November 16, the company launched the flagship KODIAQ GT, which celebrated its debut at the first China International Import Expo early this month. And China will be where SKODA offers the largest number of SUV models.
In terms of design, which is inspired by Prague, SKODA emphasizes clean-cut sharp lines, bold contours and crystalline features inspired by Czech crystal glass art and the Czech Cubism art movement.
The company customizes their models for Chinese consumers’ needs.
“We have regularly provided unique China solutions in our cars. Besides, our customers should always get a ‘little bit more car’ with a SKODA, which we provide through better-than-expected roominess,” said Arndt.
A 7-seat KODIAQ is designed for big families, which is significant given that China is now encouraging families to have a second child. Customers are offered more USB ports, an umbrella compartment in the driver’s door, an automatic parking system, easier loading and unloading from the rear storage area, and voice-activated navigation systems, conveying the brand proposition of “Clever Solutions for a Better Life.”
Chinese customers are more willing to choose young and individualized vehicles and they also increasingly care about the connectivity of their car, Arndt said.
At last year’s Shanghai Auto Show, SKODA presented the “Vision E” concept, representing the future direction of SKODA in the area of electric vehicles and autonomous driving.
SKODA's production line in Ningbo, Zhejiang Province
Besides automobile, SKODA also has a strong connection with cycling. In 1895, founders Vaclav Laurin and Vaclav Klement started SKODA business by producing bicycles. With this long tradition, SKODA has been supporting Le Tour de France for 15 years. This year, the 2018 SKODA Le Tour de France Shanghai Criterium was held in the Pudong New Area on November 17.
Both in the global market and the Chinese market, the auto industry is facing many profound changes, including digitalization and electric vehicles. SKODA has worked out its “Strategy 2025,” planning to capitalize on both in the coming years.
As part of the strategy, SKODA will launch several new energy/electric vehicles tailored to the Chinese consumer.
“Electric vehicles are a reality and the future of the auto industry, particularly in China,” said Arndt. “SKODA pays close attention to the changes occurring in the Chinese market, and takes actions in digitalization and electric vehicles."
He added: “Facing the intensified competition in the Chinese market, we can only win customers’ support and trust through innovative high-quality products and simple and surprising services."
SKODA announced an investment program for China in 2016, with a total investment of 15 billion yuan (US$2 billion) over five years. From January through October this year, SKODA sold more than 1 million units worldwide, a jump of 6.1 percent year-on-year, making it one of the fastest-growing European brands on Chinese market.
“We believe that only when we keep on innovating, improving on our brand positioning and providing high-quality products and inventive services, do we win over customers,” Arndt said.
