Range revisions ahead for Skoda Australia

SKODA Australia is aiming to regain some ground in the market by putting value-for-money front of mind with consumers.

 

The Czech arm of the Volkswagen Group has essentially admitted its prices got too high in the COVID-19 period, and that it needs to readdress sections of the market that it had moved away from when the cost pressures were on.

 

As such, Skoda Australia has announced it will offer a range of new base model variants of its passenger car and small SUV products, with the Select nameplate to be applied to the just-updated Kamiq, the new base model Fabia hatch, the incoming and updated Scala hatch, as well as the revamped Octavia range.

 

Skoda Australia product and marketing manager Kieran Merrigan said at the launch of the updated Kamiq – which now starts at $33,990 drive-away for the Select grade, or $4000 less than the existing Style which wasn’t as well equipped – that the business is aiming to re-meet the needs of consumers with a line of more cost-effective offerings under the Select nameplate.

 

Mr Merrigan stated that pre-COVID the brand addressed most non-commercial market segments, but in the time since then, there are new players and more competition, so he wants to try and get some of those consumers back to consider a Skoda instead.

 

“As it is now, we know that there are more vehicles in-market at this stage and that’s obviously taken some of our addressable market,” he said.

 

“We also know that economic pressures potentially pushed our prices up a little bit. But also with some new entrants, they potentially brought the market down, that we’re not playing in.

 

“And also introducing entry models. Kamiq was a good example where, you know, post-COVID the entry drive-away price is $37,990 for the Style, and now we’re looking at a current car at $33,990 (drive-away) which is better equipped.

 

“So, (we are) super excited to get to that stage and then what is coming to actually fill that gap? Fabia Select, we shared the pricing a few weeks ago, $31,990 (drive-away), super excited to get this car in market obviously underneath Monte Carlo we will have Select.

 

“We didn’t share the spec, but we can now. It’s the same engine we have in the Kamiq Select, the 1.0-litre. Again, great torque, great power and fuel economy,” he said of the new Fabia variant, which is due here in August.

 

“Beyond that, Scala. It’s going through a facelift, similar to Kamiq, similar timings, and we will have a similar offer structure,” he said of the Scala model range due to arrive in September.

 

“We will share more information when the cars start to land, but essentially, we will come back with a Select model, and a Monte Carlo, which we haven’t had for quite a while.

 

“Moving forward to November, Octavia Select will continue (the theme for) both the body-styles of Octavia,” he said of the five-door liftback hatch and the popular wagon.

 

“Sportline and RS will be launched with a delay due to production, but a few months later, probably quarter one or quarter two next year,” he added.

 

The Select nameplate is also likely to flow on to the new-generation Superb large car, with a sedan and wagon both expected, and a higher-spec Sportline also likely. It seems a logical step, then, to also offer a Select version of the Kodiaq seven-seater SUV, too.

 

Skoda’s local execs also reinforced the brand’s focus on its inhouse finance offer, which includes calculated weekly rates on the company website for each of the models, and there’s an option for a Guaranteed Future Value to be calculated, too.

 

Mr Merrigan said that Skoda wants to offer three main things to its consumers in the midst of unprecedented new competition that will hit the market in the coming 18 months, including that the brand is European-owned and vehicles are Euro-made, that value for money is different to cheap pricing, and that ownership is a crucial drawcard, as Skoda remains the only European brand in Australia with a seven-year warranty.

 

Skoda Australia’s sales in 2024 have slumped. The brand has seen a year-to-date drop of 25.7 per cent, in a market up 8.7 per cent.

 

Just 2946 registrations for Skoda have happened over the first six months, down from 3967 this time in 2023. However, it must be stated that brands with this level of new-model turnover typically don’t have stellar sales performances.