CAN VW LIVE UP TO ITS NAME?

The reasoning behind Volkswagen’s pricing strategy for the ID range is hidden in plain sight in the firm’s name: ‘people’s car’.

While VW offerings have gone steadily upmarket in recent years, the firm’s foundations were built on the Beetle, a car that helped bring motoring to the masses. In modern manufacturer parlance, it sparked a ‘mobility revolution’.

Now, the pricing targets for the ID range aren’t going to open e-mobility up to the masses in the same way, but if they can be made to match diesel versions of equivalent models, they will make electric vehicles far more compelling options for potential buyers.

Of course, any car firm can set a low target price for a future car – the challenge is ensuring it can be met. But the sheer scale with which the Volkswagen Group is entering the electric car market should allow it to achieve economies of scale – particularly through shared MEB architecture costs and battery development – not yet seen on electric vehicles.