Changes in the Board / Area 'V'

Changes in the Board / Area 'V'

 lain Favey is very optimistic about the brand’s future. He is convinced that the carmaker is well prepared for the coming years.

ŠKODA AUTO’s European sales dropped by about 16 percent last year, but it was able to increase its market share from 4.8 percent to 5.3 percent, ranking eighth, just a few thousand cars short of sixth place. How do you assess last year’s sales?

The increase in market share means that we managed to gain a bigger part of the market and sell 66,000 more cars. This is an extremely important increase that has helped both the manufacturing plants and the sales network. Last year was very difficult, especially for our dealers.

The only major region where ŠKODA AUTO grew last year was Russia. While the local market fell by 9 percent, ŠKODA was one of the few companies to grow and saw a substantial increase of 7 percent. What is the recipe for such a successful result?

First of all, we introduced new models, the upgraded RAPID, then the KAROQ, and the new OCTAVIA premiered in Russia only recently. Moreover, we can rely on an excellent import organisation in Russia, and the COVID-19 pandemic hasn’t affected the Russian market as much as the European market. 

During your time managing the Sales and Marketing department, ŠKODA entered the SUV segment, with SUVs accounting for 40 percent of the total share. Will the share increase any further?

I think we’ve reached an adequate level that corresponds to the situation on the market. However, we are now introducing the ENYAQ iV electric model, and this is another SUV. This is why I expect that the sales of our SUVs will continue to grow. And what’s more, SUVs are very profitable, so the larger the share of these cars, the better for the carmaker and our dealers. 

Last year, the company announced its aim to focus on more affordable cars like those ŠKODA produced for a long time in the past. However, the current trend is electrification, which, by contrast, means an increase in costs and prices. So, what can we expect?

I don’t think we need to introduce a completely new car. The main goal is to offer an affordable car that will stand out for its value for money. This doesn’t mean we’re talking about the cheapest car on the market, either, but rather a good buy with everything our customers expect from ŠKODA: striking design, a high level of safety and technological equipment, as well as quality. And you can do this with the more affordable specifications of existing cars such as the KODIAQ and the SCALA.

Speaking of affordable cars, we’ll introduce a brand-new generation of the FABIA this year, and later the FABIA COMBI. However, until this new estate hits the market, the current model, which will be part of our model range for the next two years, is certainly worth every penny.

What does the arrival of the ENYAQ iV electric car mean for the ŠKODA brand in terms of marketing? How important is this model for brand perception? 

It is a game changer. In some markets in Western Europe, such as Norway and the Netherlands, as well as in the southern regions, we expect that this car will appeal to completely new customers who have never had or considered buying a ŠKODA. They may be younger and perhaps more tech-savvy, as this model is also an expression of a certain lifestyle.

After four years at ŠKODA AUTO, what impression has the company made on you?

I am confident that the company has extraordinary potential for further growth. ŠKODA AUTO is not only a range of high-quality products – it is also the people behind them. I think this is unique in the industry. In more than 30 years of working in the business, I’ve never encountered such a skilled, united and motivated team as here in the Czech Republic. It was a real honour for me to be part of this team, and I believe that ŠKODA has a great future ahead. ED