Volkswagen - the German automaker, has decided to discontinue its sub-4 meter sedan - Ameo by 2020. The Ameo - specially tailored for India was launched in 2016 to leverage one of the most lucrative car segment in terms of sales numbers.
Ameo failed to make an impact and couldn't drive sales numbers despite being loaded with features like - Cruise Control, Airbags, ABS and Reverse Parking Camera. However, the competitions made the most out of this segment and were able to sell in good numbers - Maruti Suzuki Dzire(19,073 units), Hyundai Xcent (2,121 units), Honda Amaze (7,981 units) and Ford Aspire (1,539 units) as compared to 735 units sold by the German Brand.
Gurpratap Boparai, head of Volkswagen Group India said, " We will not do any products like the Ameo. The Sub-4 metre sedan is a very, very tricky product. It works only when the hatch that it’s based on is significantly below 4 metres (in length), otherwise the aesthetics of the car won’t work. Nobody makes a global car to fit a length."
Volkswagen is implementing its India 2.0 strategy, lead by Skoda and will start localization of its products, helping the brand to cut costs. The automobile giant is not rubbing off a possibility to present a compact SUV for the Indian market.