The Jetta Report

A Report By The Jetta Setters

The Jetta SettersThe Jetta Setters are 87% more likely to be “stereotypical” Jetta Owners

Table of Contents

A Brief Overview ...1 A brief overview of the “Stereotypes” campaign.

What Moves the World is in Our Hands...2A breif look at the cut throat world of the Automobile Industry.

A Concept With No End...3Volkswagen through the years.

An Idea is Born...4The history of the Jetta.

In With The New...5-7 The nuts and bolts of the Jetta.

For The Love of Cars...8It’s the consumer that demands the car, it’s the consumer that creates the car.

A Name Known Everywhere...9How the Jetta is is delivered around the world and into your home, an analysis of the

distribution channels.

People to People...10 The drivers of Jetta.

Roadside Rivalry...11-12It’s the art of competiton and the Jetta is a masterpiece.

The Insight ...13-15The campaign that takes a stab at stereotypes.

Bibliography...16See where we got our information and where you can get more.

A Brief Overview. The Volkswagen Jetta is the number one selling Volkswagen vehicle in America. This is largely due to the advertising done by Crispin Porter + Bogusky. In early 2005, the Jetta “Stereotyping” campaign was launched and continued into 2006. This campaign centered around three commercials: “Dance,” “Hike,” and “Yoga.” During each of these commercials, a Jetta owner was “stereotyped” about a specific thing such as dancing, hiking, and yoga.Play games, learn a little. Volkswagen also launched an interactive component of the campaign, The Jetta Report. The Jetta Report is a massive database compiled by Simmons on the typical Jetta owner. It is an interactive survey which features questions ranging from relationship status to what type of clothing consumers buy. This report has helped Volkswagen gain insights about its consumers.A worldly corporation. Volkswagen is trying to widen the demographic and psychographic range of the typical Jetta owner. For this reason, Volkswagen eagerly shows people with different ethnicities and personalities in their commercials. Volkswagen believes that their cars should be the “car of the people” and by using people of different ethnic backgrounds their stance on diversity is more visibly shown. The campaign consists largely of television ads and their featured web site that showcases the Jetta Report.

What you have in store. This portfolio will serve as a guide to your education about Volkswagen, the Jetta, and the “Stereotypes” campaign. You will trek back in time and take a step a head to see what the future has in store, all you need to do is sit back, relax, and enjoy the ride. Oh, by the way, the Jetta can go from 0 to 60 in 11 seconds, so hold on too.

Jetta owners are 60% more likely to agree that your car should attract attention.

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What Moves the World is in Our Hands. In 2006 over 16 million cars and light trucks were sold in the United States. Of the approximately 800 million vehicles operating world wide, 240 million are in the United States alone. 250 billion gallons of fuel are burned yearly by operating vehicles, and that is only increasing as the number of cars is expected to reach 1 billion world wide by 2020.

The changing nation. The past two years have been pivotal in the automotive industry. The gasoline prices have risen nearly $2.00 per gallon over a two year period, leaving many Americans questioning the larger vehicles that they own. Because of the change in economy there was an opening in the automobile industry for new types of cars, fuel efficient ones. Hybrids have created a major change in the automotive industry, Toyota leading the pack. However, demand for other forms of fuel efficient cars has increase and been greatly accepted as well. The Volkswagen Jetta, in numerous tests has been number one in this area,

running on B2O Biodiesel. A step backward. Biodiesel has proven its efficiency, but there is a set back that it will face over the next year. The American government has decided not to allow diesel vehicles to be sold in America beginning in 2007. But, because of the popularity it has now with the American consumer

the demand will raise, and it could potentially sway the decision of the United States government. We are technology freaks. Another trend affecting the automotive industry is the recent inclusion of electronics in vehicles. The electronics address safety, give you information about your car, and help guide you on your journeys. They also can entertain you, manage your car’s engine, and control climate. Once considered to be luxury options for your vehicle, many of these electronics are becoming mainstream features in new vehicles.

Jetta owners are 79% more likely to enjoy owning quality things.

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1930 196019501940

A Concept With No EndVolkswagen throughout the years

Adolf Hitler had a dream that every person should be able to afford a car. Ferdinand Porsche began work on what would be Volkswagen’s first car- the Kdf-Wagen.

1945 Volkswagen is officially established in Wolfsburg, Germany. 1948 A symbolic and economic icon for West Germany after WWII.

1949 Victory Wagon sold in the United States, two units were sold.

1954 One Million Volkswagens sold!

1955 Volkswagen of America begins.

Sales soared thanks to the work of Doyle, Dane and Bernbach.

1966 VW begins automobile racing.

1968 First reference to the name “Beetle.” It was previously referred as Type 1.

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1970 200019901980First Jetta sold in America. It was sold as a two door coupe or a four door sedan.

Early 1980s The Jetta CitySTROMER is introduced as an electric vehicle.

1985 The Type 2 Jetta began sales in North America, selling until 1992.

1993 A3 Jetta was introduced. It hailed as “The Poor Man’s Luxury Vehicle.”

1999 The A4 Jetta is released.

2005 GLI introduced in North America.

2006 A5 Jetta is introduced in the US, however in other countries the A4 is being sold as the 2006 model due to high pricing.

2007 US Jetta prices are promised to lower to please the American consumer.

1972 “Thing,” a military themed car is introduced, it lasted two years.

1973 VW produced 16 million cars!

1974 VW acquires Audi and uses their front wheel drive and water cooled engine ideas in VW vehicles.

1980s VW sales fell due to electrical problems in the Rabbit.

1985 GTI named “Motor Trend Car of the Year.” Sales rose from 22nd place to 5th place.

1998 “Beetle” name finally adopted by headquarters in Germany. VW buys Lamborghini and Bently. Sells cars un-der the Rolls-Royce name until 2002.

2001 Introduction of two environmentally friendly vehicles at a car show, the Bora Hy-Motion, a hydrogen car, and the Bora Electric electric powered vehicle.

An Idea is BornA brief history of the Jetta

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A Concept With No End. The evolution of the Volkswagen Jetta has dynamically progressed from its original model in 1980. Since its introduction, Volkswagen has produced five generations of different Jetta models. Over time, the Jetta model has shifted and adapted a more luxurious appeal, and as a result, the model has taken the automobile industry by storm.

First Generation Jetta: Jetta A1 (1980-1984) The first Jetta was introduced in 1980 in the United Kingdom. The car had both the feel and look of the Volkswagen Pas-sat and Golf; a compact car that was both sporty and comfortable. When the model hit the states, it was featured as a four-door sedan and a two-door coop. The first Jetta featured as a 1.6 L four-cylinder engine. The engine was replaced in 1981 with a 1.7 L four-cylinder.

Second Generation Jetta: Jetta A2 (1985-1992) In 1985 Jetta was remod-eled to include more spacious interior. The car still was available as a two door and four dour. Two different models of the A2 existed, the GLI model and the A2 Jetta Carat. The GLI originally featured a 1.8 L gasoline engine, which produced 100 horsepower. In 1991 the car was given a 2.0 L DOHC 16-valve engine, which pumped out 134 horsepower. The A2 Jetta Carat had luxurious interiors but lacked many of the mechanical features of the GLI.

Jetta owners are 65% more likely to make a conscious effort to recycle.

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Third Generation: Jetta A3 (1993-1999) The A3 Jetta, named Vento, was first introduced to England in 1991. The new Jetta was first in America in 1994. The new cars featured airbags which meant no more automatic shoulder belts. The engine was now 2 L with 115 horsepower. The nicer model, the GLX was a V6 with 172 horsepower. In 1997, both the Jetta TDI and GTI models were introduced to the United States. The TDI came with a 1.9 L direct injection diesel with a gain of 90 horsepower. This model was extremely fuel efficient, compared to the previous models, delivering forty miles to the gallon. The Jetta GTI was a sportier car with alloy wheels, fog lamps, and a rear spoiler. That same year, Volkswagen, also, introduced the Jetta Trek, which was a trim that featured a spoiler, sport instrument gages, cargo net, a bike rack, and a Trek bike. The Trek was made for Generation X, a generation that engaged in a mountain-biking craze. All Jetta models continued to be on the market until a new one gave birth in 1999.

Fourth Generation: Jetta A4 (1999-2005) Old models of the Jetta continued to be sold in 1999. The new Jetta A4 was only sold as a four door car and consisted of the GL, GLX, and GLS trim. The car now had a four wheel anti lock braking system, anti theft system, and a tilt steering column. The engine of the GTI and GLS was a 2.8 L with 174 horsepower. This engine and horse-power was also was found in the standard GLX model. The Jetta soon began to outsell the Volk-swagen Golf, which was Volkswagen’s former best selling car. In the year 2000, the GLX featured an eight speaker sound system. For the first time Jetta owners were given the option to install a CD player directly into the dashboard. In 2001 the TDI, turbo diesel engines were introduced. However, some states like California and New York could not sell these models because of emission regula-tions. Jettas, now, were not only seen as a four door sedan but also as a station wagon. Also, in this year the GLX was given a more luxurious look with leather interior. In 2002 the new Jetta GLI took the spot of the GLS V6. Also, Volkswagen extended their warranty from 2 years or 24,000 miles to 4 years or 50,000 miles. In 2003 the standard GL model became even more luxurious with power windows, cruise control, and heated power mirrors. In 2005 the GLI VR6 was no longer sold.

Jetta owners are 71% more likely to agree that people have a duty to recycle.

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Fifth Generation: Jetta A5 (2005-present) The A5 model was featured in both North America and Europe. The Jetta, “now all grown up,” fits the luxury of former Passat with upscale, spacious interior. The car also comes with independent rear suspension. The Jetta GLI and GTI models have been upgraded. The GLI fea-tures DSG transmission, beautiful interior, and also has great mileage. The GTI now is 200 horsepower with a four-cylinder engine. GTI drivers enjoy the music that comes from their six CD changer and ten speakers. The car has new safety features such as stability control and electro-mechanical steering. With their recent 2006 launch, the Jetta is now sold in countries such as Latin American and Australia. Three new lux-ury models have also been introduced which are; the FSI, TDI, and Turbo FSI. The FSI is both powerful in performance and sleek in style with the help of rain sensors and an automatic dimming mirror. The TDI includes many luxury gadgets such as park-ing distance sensors, safety protection including side and front air bags, and is very economical and fuel-efficient. It also includes a bottle opener between two cup hold-ers placed between the driver and passenger seats. The Turbo FSI is the Jetta that specializes in performance with a great engine and a six-speed direct shift gearbox.

Jetta owners are 54% more likely to exercise regularly.

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For the Love of Cars. The Volkswagen brand has carried with it the reputation of being a “car of the people.” The car brand is simple, affordable, and made for the masses. The car can be purchased at a Volkswagen dealership in over 70 countries around the world. Since 1938, the image of Volkswagen campaign has strengthened the company’s reputation by reflecting social lifestyles of consumers in a lighthearted manner. Featured commercials and print ads become resonant with viewers through this emotional appeal. Looking at the demographics and psychographics of typical Jetta owners allows one to see how using the right type advertising is important in influencing the mind of a car buyer. What they are like. Results from a Spring 20001 Automotive Survey show that the typical Jetta owner is 94% more likely to be between the ages of 25-34. Among those buyers, 50.9% are women and 49.1% are male. Consumers purchase the Jetta and other Volkswagen models for many reasons, yet the most significant reason is for the lifestyle associated with the brand, one that is young, hip, trendy, fun, intelligent, and active. Even when their competitors include Honda, Mazda, Nissan, and Toyota the brand refrains from competing with the competition through ads, but instead focus more on getting consumers to experience the lifestyle of the Volkswagen driver. This can be seen in the recent “Stereotypes” campaign, which spends little time accentuating the features of the car but rather the lifestyle associated with it. Directly from the customers. Along with advertising for the new Jetta, the ad campaign advertises for its own online consumer survey called the Jetta report. On the site consumers answer over 200 questions to see where their lifestyle and interests rank among Jetta owners. The site is getting great publicity; in July 2006 about 62,000 visitors answered 1.7 million questions. A sample question from the report shows that Jetta owners are 81% more likely to be possessive of their cars and Jetta owners are 79% more likely to pay more for quality goods. Not only are Jetta owners loyal to their car, they are loyal to the website and the brand itself. A lot of thinking, a lot of fun. Many factors affect the purchasing decision of car buyers, including safety and the dependability and quality of the vehicle. J.D. Power and Associates recently awarded Volkswagen with the “highest overall environmental index.” After the economy’s rise in gas prices, this proves to be a vital decision making factor when purchasing a new car. Also, seventy-five percent of young people are likely to buy hybrid car, proving that Volkswagen’s target audience. The cost to buy a Jetta is also a high selling point. In the 2007, the car will go from being $18,515 to $17,105, almost a $1,500 difference. Although the car is fairly inexpensive, the price does not take away from the comfort, power, safety, and class the Jetta has to offer. The comfortable seating fits anyone’s idea of a luxury, while the quiet 200-horsepower four cylinder engine gives the small car unimaginable power. The car even includes a cooled console for cold snacks and beverages. The service of Volkswagen undeniably matches the superb build of the car itself. The VW website allows an owner to see when they are due for a mechanical check-up, provides informational articles on the care and keeping of your vehicle, and offers coupons. Online VW clubs give drivers and enthusiasts of the brand opportunites to receive updates on the company and even allow them chances to attend highly entertaining events, such as film and music festivals. In providing an economical car with a low price and great service, Volkswagen is able to persuade perspective consumers into purchasing a Jetta. Everything you want. Volkswagen Jetta is a fun, trendy care with European style and class. A Volkswagen salesperson notes “once a person rides in a Jetta, they know it’s what they want- we’re just here to help them with financing of the car.” From service to flare and hiring great agencies, Volkswagen Jetta continues to draw more and more consumers into the brand’s lifestyle.

Jetta owners are 64% more likely to consider themselves optimistic.

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A Name Known Every Where. The Volkswagen AG headquarters is in Wolfsburg, Germany; this is where all the innovation takes place. That’s where Volkswagen really gets going on creating new cars for its consumers. Volkswagen AG has the final say in anything that is happening with its brand and the distributors. They decide what vehicles are going to be sold where, how much they will be sold for, what promotions can be offered, and how the cars are going to be built and distributed around the world. America’s influence. Volkswagen America, located in Michigan, is the North American headquarters for Volkswagen. This is where ideas come forth for advertising in America. Volkswagen America also has some input on sales and promotions as well as handling each of the individual dealerships across the nation. They also choose what vehicles they want to push the most in the American market. Putting it all together. After the ideas and plans have been established by Volkswagen AG they are sent off to Puebla, Mexico where they are brought to life. Puebla is where the Jetta parts are put together to create the award winning vehicle we see on the road today. Volkswagen AG ranks this factory as one of their best world wide. After the Jettas are manufactured they are shipped by boat to locations around the world. The shipment. In the United States Jettas are brought through the Port of Hudson in Texas. From there they are put on to trains where they are distributed throughout the United States. The vehicles are dropped off at logistics distributors which take them from trains and put them onto trucks. The trucks then deliver the Jettas to the appropriate dealerships where they are sold. One final stop. The dealership is the last place Jettas go before ending up in the homes of consumers. There are over 900 individually owned and operated Volkswagen dealerships in America. Most dealerships take pride in their employees, training them how to be the best, most personable sales representatives possible. Dealerships allow prospective customers to have a first hand experience with the cars before they own them. Customers are encouraged to take Jettas for a test drive before they make any purchase decisions. The sales representatives are trained to be transparent and up front with customers when guiding them through financing their new Jetta. The aftermath. Volkswagen cares about their consumers even after they purchase their vehicle. Volkswagen contacts their customers and asks them how their experience was at the dealership and how they like their new purchase. The dealerships have full service care centers for their customers so they can keep their vehicles up to the highest standards. The dealerships also have free loaner cars while the owner’s car is being repaired. Innovation. There are a lot of changes happening with Volkswagen in America right now. Dealerships are getting a face-lift. All of the new Volkswagen dealerships are being built the same, so there is cohesiveness among them. A new design center is also being established in California. Here new ideas will develop that will help to spread trends more quickly across the United States.

Jetta owners are 40% more likely to have traveled to Europe.

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People to People It is Volkswagen’s belief that a company must be all around friendly in order to be successful. Volkswagen lives up to this standard being described as, “A pioneer in sustainable management and other environmental and worker-friendly practices.” The Jetta Report gives factual information on what it is to be environmen-tally friendly and has also created environmental standards wherever their cars are made. They have set standards for job security and salaries. Another way Volkswagen’s friendly culture comes out is through “flex-time” options for all employees which eliminates mass lay-offs during economic struggles. Bernd Pischetsrieder, elected CEO of Volkswagen in 2003, has been responsible for its new and improved culture. He is trying to make the company less European, and more appealing to a world-wide customer. As a result of the world-wide appeal, the company has become more profitable and transparent to investors. A car for the people. Volkswagen’s culture and mission deals with the structure of the company. VW consid-ers itself an open minded company. They want to be recognized for their mission of being a, “car of the people, a simple, affordable, and accessible vehicle for the masses.” In order to be a car for the masses, VW knows that they need to appeal to the masses. After all, a car is not an item that a person buys without doing research. Recently Volkswagen has expanded their target market by launching higher end vehicles and increasing their advertising. Karen Manderosian, director of mar-keting for Volkswagen, said, “a pillar of the Volkswagen brand is accessibility – to everybody. Some of the Jetta stereotyp-ing campaign is a good example of that. We’re all about breaking down walls – and stereotyping is yet another wall.” An example of this is when companies withdrew their commercials during the Ellen Degeneres show while VW continued to run their commercials. VW broke down stereotypes and allowed the consumers to see that they include everyone. This added a dimension of defiance to their already inclusive list of attributes. Insight at its finest. Their current marketing position is also tied into their corporate culture and open mindedness. Volkswagen advertises differently in all regions and markets. Their core insight is to create a product that is different, unique and necessary. Volkswagen attempts to appeal to every audience in the market. An interesting strategy they applied to eliminate this has been “double marketing,” which means cramming mass amounts of messages into one ad. Volkswagen’s solution is running separate campaigns at the same time. VW has been able to pull this off because they appeal to both sides of what people look for in cars, speed and safety. They do this while tying their famous German engineering into the commercials. Keeping up with Mother Nature. Volkswagen knows who they are and what they do well. They keep coming up with cars that are environmentally friendly, and based on a JD Power and Associates Survey, 77% of consumers consider alternative fuel vehicles when selecting an automobile. According to the survey, “Volkswagen was given the highest overall environmental index score of 655 out of 1,000.” On Earth Day, 2006 Auto Week Magazine published and article about gas mileage, which compared five different cars. The challengers were ranked on their environmentally friendly qualities: #5 Jeep Commander, #4 Chevrolet Corvette, #3 Honda Accord V6 Hybrid, #2 Toyota Pryus, and #1 Volkswagen Jetta TDI. The results should not come as much of a surprise; “from an environmentalist’s perspective the German diesel didn’t just beat the Japanese hybrids, it trounced them! Not only that… it could’ve made the same trip again without refueling!” Understanding their mistakes. In the past year, the Volkswagen Jetta strayed from its core competencies and tried marketing the Jetta at a higher price, as more of a luxury vehicle. Sales took a beating and the company realized they were moving away from what they do well. Their mission is to be a car of the people, and they had moved away from their loyal customer base. In 2007 Volkswagen will cut the price of the Jetta by $1,410 to appeal to what their customers want. $1,410 is a lot of money to cut and Volkswagen is hoping that by doing so, they can compete with Toyota, Honda, and other volume brands. Adrian Hallmark, executive vice president of Volkswagen of American, said it best when he said, “instead of going for the penthouse, we need a few floors below.”

Jetta owners are 77% more likely to enjoy spending time with their family.

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Roadside Rivalry. Since its inception, Volkswagen has prided itself on being a “car of the people.” Volkswagen is Europe’s number one carmaker and produces five million cars per year. The Volkswagen Jetta has been indispensable in Volkswagen’s constant growth in the automotive market. From its beginning in 1980 the Jetta has offered consumers more than just a car. It has effectively given the consumer the option of a sporty sedan that combines space, performance and luxury. The worldwide auto market is a cutthroat industry. Volkswagen has long set itself apart through the design and engineering of its cars— giving way to a mix of speed and simplicity that epitomizes “Euro” styling. The Volkswagen Jetta’s main competitors in the midsize family sedan market are the 2007 Mazda6 s Sport, the 2006 Chevrolet Malibu LT, the 2007 Chrysler 300, the 2006 Dodge Stratus R/T and the 2007 Subaru Legacy 2.5.

2006 Volkswagen Jetta 2.0TThe 2006 Volkswagen Jetta 2.0T is a four door, five passenger family sedan. It comes standard with a 2.5 liter, 150-horsepower engine. A 5 speed manual transmission with overdrive is also standard and a 6-speed automatic transmission with overdrive for the Jetta is optional. The list price for a Jetta 2.0T is $23,590.00. The city fuel economy is 23 mpg and the highway fuel economy is 19 mpg.

2007 Mazda6 s Sport VE One of the main competitors to the Volkswagen Jetta in the midsize family sedan market is the 2007 Mazda6 s sport. It is a four door, five passenger family sedan. Is comes standard with a 2.3 liter, 156-horsepower engine and a five speed manual transmission with overdrive. The list price of the Mazda is $23,840.00. The advantage of the Mazda over the Jetta is that leather seats come standard. The Jetta also has 44 more horsepower and a six speed manual transmission. The disadvantages are that the city fuel economy is 19 mpg and the highway fuel economy is 17 mpg.

2006 Chevrolet Malibu LT The 2006 Chevrolet Malibu is a 4-door, 5-passenger family sedan. It comes equipped with a standard 2.2-liter, 144-horsepower engine that has a city fuel economy 24-mpg in the city and 32-mpg highway fuel economy. The list price is $17,865.00. The advantages of the Malibu are that it costs $5,725 less than the Jetta and Automatic Transmission comes standard. The advantages of the Jetta are standard anti-lock brakes, traction control, side impact air bags as well as a sunroof.

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2007 Chrysler 300 The 2007 Chrysler 300 is a 4-door, 5-passenger luxury family sedan. A 2.7-liter, V6, 190-horsepower engine comes standard. The Chrysler gets 21-mpg in the city and 28-mpg on the highway. A 4-speed automatic transmission with overdrive also comes standard. The list price is $23,805. The advantages of the Chrysler 300 are a six cylinder engine and standard automatic transmission. The advantages of the Jetta are standard anti-lock brakes, better highway mileage, traction control, side impact air bags and sunroofs.

2006 Dodge Stratus R/T The 2006 Dodge Stratus R/T s a 4-door, 5-passenger family sedan. It is equipped with a 4-liter, 150-horsepower engine that gets 22-mpg in the city and 30-mpg on the highway. A 4-speedautomatic transmission with overdrive comes standard. The list price for a Dodge Stratus is $23,445. The advantages of the Stratus are a larger engine, a standard automatic transmission and standard leather seats. The advantages of the Jetta are standard side-impact air bags, better highway mileage, a standard CD changer and a standard sunroof.

2007 Subaru Legacy 2.5 The 2007 Subaru Legacy 2.5 is a 4-door, 5-passenger family sedan. The 2007 Subaru Legacy is a 4-door, 5-passenger family sedan. The legacy is equipped with a standard 2.5-liter, 175-horsepower engine. The city fuel economy is 22-mpg in the city and the highway fuel economy is 29-mpg. A 5-speed manual transmission with overdrive come standard. A 4-speed automatic transmission with overdrive is optional for the Legacy. The list price is $24,095. The advantages of the Legacy are that automatic transmission and leather seats come standard. The advantages of the Jetta are that it costs $505 less; traction control comes standard and it has 25 more horsepower than the Legacy.

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The Insight. Crispin Porter + Bogusky is the advertising agency that has turned Volkswagen around with its re-cent work on the Jetta campaign. Founded in 1965 and based out of Miami, Florida, Crispin Porter + Bogusky has a $950 million annual billing. There are 450 employees currently working in the Miami office. Some well known clients include Coca-Cola, Maxim, Miller Brewing Co., and Victoria’s Secret. Success in Gold. Crispin Porter + Bogusky has won numerous awards for their work in advertising. They were voted agency of the year in 2006 by AdAge and Creativity Magazine. They won the Grande Prix at the Cannes Film Festival in four categories including: sales promotion, media, cyber, and film. Crispin Porter + Bogusky has been profiled in numerous publications including the New York Times, Wall Street Journal, USA Today, Business Week, and Forbes. Where it all begins. Volkswagen AG is one of the largest automobile producers around the world. Founded in 1938, their headquarters is based in Wolfsburg, Germany. They have about 344, 902 employees all over the world. Volkswagen makes about $121.3 billion per year on car sales. Audi, Lamborghini, Bentley, SEAT, Bugatti, and SKODA are all owned by Volkswagen; their own line of cars includes the Beetle, Rabbit, Golf, Eos, and Jetta. Volkswagen AG is the parent company to Volkswagen of America. Sweet land of liberty. Volkswagen of America, Inc is the American branch of Volkswagen AG. They were founded in 1955 and employee 800 people throughout the United States. They deal with the manufacturing and distribution of the Volkswagen cars. They also deal with the advertising of Volkswagen in America. Their annual billing is about $138 million in sales.

Although the information may be in German, the designs from the 2005 corporate designportfoilio show the consistency the VW has used in its advertising over the years.

Again, German, but the design is consistent with the other cultures in the world.

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The Campaign. The Volkswagen Jetta is the number one selling Volkswagen in America. This is largely due to the advertising done by Crispin Porter + Bogusky. In early 2005, the Jetta “Stereotyping” campaign was launched and continued into 2006. This campaign centered around three commercials: “Dance,” “Hike,” and “Yoga.” During each of these commercials, a Jetta owner was “stereotyped” about a specific thing such as dancing, hiking, and yoga. Technology reigns. Volkswagen also launched an interactive component of the campaign, The Jetta Report. The Jetta Report is a massive database compiled by Simmons on the typical Jetta owner. It is an interactive survey which features questions ranging from relationship status to what type of clothing consumers buy. This report has helped Volkswagen gain insights about its consumers. All the colors of the rainbow. Volkswagen is trying to widen the demographic and psychographic range of the typical Jetta owner. For this reason, Volkswagen eagerly shows people with different ethnicities and personalities in their commercials. Volkswagen believes that their cars should be the “car of the people” and by using people of different ethnic backgrounds their stance on diversity is more visibly shown. The campaign consists largely of television ads and their featured web site that showcases the Jetta Report. In our homes. Volkswagen has launched one of its most successful advertising campaigns, the “Stereotyping” commercials, “Dance,” “Hike,” and “Yoga”. The audiences targeted through these commercials are males between the ages of 23 and 35. These commercials have reached success through their use of humor and have in return increased their sales on the Jetta.

Dance. This spot features two males that are friends, one African American, the other Caucasian. The African American male tells his Caucasian friend that he is taking a girl out dancing and asks his Caucasian friend to teach him some dance moves. The friend makes a puzzled face and his African American friend tells him that since he is a Jetta owner, he knows how to dance well. A voice over comes up saying, “Stereotyping is stupid.” The announcer states a statistic from the Jetta Report and tells the viewer to go thejettareport.com to find out more information on Jetta owners.

Hike. This commercial shows an Asian girl taking her Caucasian boyfriend home to meet her parents. The mother of the girl asks the couple if they have any plans for the day and the boyfriend makes a face that implies no. The father of the girl says that it’s a nice day outside and that the couple should take a hike. The boyfriend’s face suddenly goes from a smile to a frown as he walks off the porch with anger. The boyfriend yells from his car that not all Jetta owners enjoy hiking. Then the voice over says, “Stereotyping is stupid” and again informs the consumer about thejettareport.com and how they can get more information about Jetta owners.

Yoga. In the final commercial, a girl runs out of a gym to give a guy her phone number. She tells him that he could show her some yoga moves because all Jetta owners know how to do yoga. The guy gets a little agitated and hands the girl back the piece of paper with her phone number on it. The girl stands there dumb founded and the voice over comes on and says the trade mark line, “Stereotyping is stupid.” The announcer proceeds to tell the consumer about thejettareport.com.

The sweet smell of succes. These ads were successful because they took ordinary things like dancing, hiking, and yoga and used them to make humorous commercials. They poke humor at the ordinary everyday person and put them into situations that they would never normally be in. Sales reports have shown that these commercials are successful due to the increase in sales.

Jetta owners are 40% more likely to have traveled to Europe.

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The S.W.O.T.Strengths:• The Jetta Stereotypes Campaign is different from most traditional advertising so it forces people to notice it.• The campaign teaches people a valuable lesson – stereotyping is wrong.• At the same time, the lighthearted campaign pokes fun at their customers, and it has proven to be very successful.• The campaign includes an interactive website (TheJettaReport.com) which statistically compares Jetta owners to owners of other cars.• The campaign is a way to expand their customer base.• It shows a different side of the company, and the people who drive their cars.• It was also a way for a new agency to show their creativity and uniqueness.

Weaknesses:• The stereotyping campaign is a fun idea in concept, but in practice, the approach has the potential to be seen as offensive or insensitive. • The campaign does not discuss the benefits of the cars.• The campaign is geared toward a younger generation, which leaves out a large part of the population (the part with the most money).• It is also heavily focused on men, which leaves out the female market

Opportunities:• VW could have used print ads to reach more of the population• They could have made the commercials more appealing to women.• The campaign could have included more benefits of the cars.• VW could have used the campaign to focus the aging generation and not just young professionals.

Threats:• The campaign was run at the same time as another campaign for the Jetta, which can lead to customer confusion.• Going online to a website and looking up facts and statistics can be time consuming and annoying to some people.• Some felt the campaign crossed the line and that some of the stereotyping was not lighthearted but in fact offensive.

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Channel AnalysisHart, Bill; Nelson, Richard; White, Karen. Personal Interview. 23 Nov. 2006. Denny Hecker’s Volkswagen. 10 Mendota Road, Inver Grove Heights, MN 55077. (651) 357-1700. www.dennyheckervw.com.

Volkswagen Website. http://www.vw.com/companyinfo/news_200501.html

Industry AnalysisDenny Hecker’s VolkswagenPlunkett Research, Ltd. http://www.plunkettresearch.com/AutomobilesTrucks/AutomobileTrends/tabid/89/Default.aspxAltera Corporation. http://www.altera.com/end-markets/auto/industry/aut-industry.html

Consumer AnalysisJones, Matthew. “What’s Driving the Diversity of Volkswagen Ads?” Diversity in Business. 15 Nov. 2006 <www.diversityin-business.com/dib2006/Adv_VW.htm>.

Riggs, Thomas, ed. Major Marketing Campaigns Annual. Farmington: Gale Research, 1999. 476-485.

Volkswagen Jetta [Decision Mkr]. Mediamark Research Inc, 2001. 10 Oct. 2006.

Competitive OverviewHoovers. 14 Nov. 2006. <http://premium.hoovers.com/subscribe>.

AutoWeb. 16 Nov. 2006. <http://www.autoweb.com/content/shared/Compare/index.cfm>.

Volkswagen. 20 Nov. 2006. <http://www.vw.com/NASApp/vwsitesearch/>.

Client Analysis“Business Biographies.” Anonymous. 13 Nov. 2006. <www.answers.com/topic/bernd-pischetsrieder>.

Jones, Matthew. “What’s Driving the Diversity of Volkswagen Ads?” Diversity in Business. 15 Nov. 2006 <www.diversityin-business.com/dib2006/Adv_VW.htm>.

Anonymous. “VW Uses “Double Marketing” to Position Brand.” Influential Interactive Marketing. 15 Nov. 2006. http://rohitb-hargava.typepad.com/weblog/2006/04/double_marketin.html.

15 Oct.-Nov. 2006 <http://0-web.lexis-nexis.com.libus.csd.mu.edu/universe/document?_m=398b3858d20c694079d648efd2c4408e&_docnum=22&wchp=dGLbVtz-zSkVA&_md5=051d0a40b1140ade2dec1bf4e52b4b3d>.

Wilson, Kevin A. “Are We There Yet?” AutoWeek 24 Apr. 2006: 1-5.

15 Oct.-Nov. 2006 <http://0-web.lexis-nexis.com.libus.csd.mu.edu/universe/document?_m=398b3858d20c694079d648efd2c4408e&_docnum=25&wchp=dGLbVtz-zSkVA&_md5=b7fdf1c3be3953cd50c20ed43edcf1d8>.

Campaign AnalysisJones, Matthew. “What’s Driving the Diversity of Volkswagen Ads?” Diversity in Business. 15 Nov. 2006 <www.diversityin-business.com/dib2006/Adv_VW.htm>.

Product AnalysisAnonymous. “Young Sibling Makes Good.” Autoweek 56 (2006): 26-28. ProQuest. Raynor Library, Milwaukee. 15 Nov. 2006. Keyword: Volkswagen Jetta.

Consumer Guide Automotive. 20 Nov. 2006. http://auto.consumerguide.com/auto/used/reviews/full/index.cfm/id/2111/

Consumer Guide Automotive. 20 Nov. 2006. http://auto.consumerguide.com/auto/used/reviews/full/index.cfm/id/2112

Consumer Guide Automotive. 20 Nov. 2006. http://auto.consumerguide.com/auto/used/reviews/full/index.cfm/id/2404

“History of Volkswagen.” Dutton Direct. 15 Nov. 2006. www.duttondirect.com/history/view/make:volkswagen.Newman, Rick. “2006 Volkswagen GTI.” USNEW.Com (2006). Lexis-Nexis. Raynor Library. 15 Nov. 2006. Keyword: Volk-swagen, Jetta.

Smith, Giles. “A Bottle-Opener With Decent Car Attached.” Guardian Unlimited. 15 Nov. 2006 www.guardian.co.uk/print/0,,5388451-103426,00.html

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