VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

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Thread: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

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    VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Automotive News
    April 11, 2017



    Volkswagen is juicing its newly expanded lineup of crossovers with a double-sweet incentive for U.S. consumers: double the bumper-to-bumper warranty of most major competitors.

    VW said late Tuesday the 2018 Tiguan and Atlas crossovers will come with a transferrable, six-year/72,000-mile bumper-to-bumper warranty. That compares with three-year/36,000-mile bumper-to-bumper warranties available across much of the rest of the industry, and it is longer than the five-year/60,000-mile powertrain warranties also offered by most competitors.

    Were confident in the reliability and workmanship of these SUVs, and we want our customers to be confident in their purchase, Volkswagen Group of America CEO Hinrich Woebcken said in a statement. We believe this warranty will lead to reduced cost of ownership for Volkswagen owners.

    The move comes as the brand strives to move beyond diesel emissions violations and as it alters its U.S. product lineup to bolster its crossover and electrified offerings.

    Volkswagen brands year-on-year U.S. light-vehicle sales have advanced five consecutive months, including March, after a yearlong skid caused by the diesel emissions scandal.

    The 2018 Atlas, with three-row seating and built in VWs plant in Chattanooga, arrives in dealerships this spring. The redesigned 2018 Tiguan, with two-row seating, will arrive later this year.

    The rest of VWs U.S. lineup will remain with a standard three-year/36,000-mile bumper-to-bumper warranty. The added warranty coverage will also be offered only to U.S. customers, a brand spokesman said.

    Michael DiFeo, chairman of the Volkswagen National Dealer Advisory Council and dealer principal of Linden Volkswagen in Roselle, N.J., said the industry-best bumper-to-bumper transferrable warranty will help VW stand out in a crowded crossover segment.

    This is gigantic, DiFeo said. Right now, the No. 1 objection [among consumers] that research has shown was the perceived cost of ownership for VW. This is the best way for VW to show that theyre going to stand behind their product.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    “This is gigantic,” DiFeo said. “Right now, the No. 1 objection [among consumers] that research has shown was the perceived cost of ownership for VW. This is the best way for VW to show that they’re going to stand behind their product.”
    Diesel problems? What diesel problems?

    Reliability problems? What reliability problems?

    Bad lease residuals? What is a bad lease residual?

    This move could start a VERY expensive trend for automakers IF successful.




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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    I think this is a brilliant move. For a while now I have thought why have a warranty that is shorter than the repayment duration. By doing this it will make people feel more willing to get a VW. I hope other automakers do this.
    They said it couldn't be done. That is until I did it.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Apparently VW has no intention of rolling over. Good for them!
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    This apparently differs from the H/K 5/60 B-B and 10/100 powertrain warranty. The whole shebang is 6/72.

    I'd have kept my '99 Golf if it had had this. It had a 2/24, that is and that's why I traded it. I wasn't planning to pay for PW or PDL failure every few months.

    I got an Accord, the first of three.
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    They had to do something to restore confidence. Why not this? spreads out the damage an extra 3 years.

    I recall early 90's, GE got into Automotive Warranty. Priced Very Attractively, being young and nave, I asked my Boss about it. "When a Public Company becomes to Cash Flush, they are at risk of being overtaken." "This postpones the Flushness over 5-6 years with possible liabilities."

    Which could also work in reverse in this case.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Good for owners, cause they're going to need it...
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Quote Originally Posted by FenwickHockey65 View Post
    Good for owners, cause they're going to need it...
    So true! LOL!
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    “We’re confident in the reliability and workmanship of these SUVs, and we want our customers to be confident in their purchase,” Volkswagen Group of America CEO Hinrich Woebcken said in a statement. “We believe this warranty will lead to reduced cost of ownership for Volkswagen owners.”
    Why just the SUVs? Or will this better warranty be provided on other VW vehicles as updated versions launch?
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Nothing wrong with standing behind your vehicles. If well-maintained, there should be very little cost in the first 6 years/72K. Honestly, 10 years/100K should be possible these days, but some people don't keep up on maintenance even when it's free.

    That said, I think this will cost VW a small fortune, and they will drop it in a couple years just like every other auto maker who as tried this in recent memory. Good luck VW.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Quote Originally Posted by emh View Post
    Why just the SUVs? Or will this better warranty be provided on other VW vehicles as updated versions launch?
    So much profit that they can eat it. Touareg always had 10y/100k powertrain warranty. If you are paying so much for a VW they can throw you something.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Quote Originally Posted by FenwickHockey65 View Post
    Good for owners, cause they're going to need it...
    I second the motion, based on my Golf.
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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Quote Originally Posted by Perian View Post
    Diesel problems? What diesel problems?

    Reliability problems? What reliability problems?

    Bad lease residuals? What is a bad lease residual?

    This move could start a VERY expensive trend for automakers IF successful.




    .
    "Start" of a trend?

    In the UK, Kia offer 7-year 100,000 mile warranty, Hyundai, Toyota and Subaru offer 5-year warranties (unlimited mileage in the case of Hyundai).

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Long warranties are also a way of keeping buyers closer to VW dealerships and servicing.

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    Re: BREAKING: VW Introduces 6-Year, 72,000 Bumper-To-Bumper Warranty

    Quote Originally Posted by jpd80 View Post
    Long warranties are also a way of keeping buyers closer to VW dealerships and servicing.
    also a way to KEEP customers "happy" as on the LAST year of there lease NOT having some expensive repairs on a car they are sick of is NOT conductive to getting repeat buyers

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