As a matter of fact, Volkswagen of America has recently announced that its dealership’s profitability has climbed as high as 2.45 percent more than the 2006 industry average of 1.5 percent.

This year has been quite tough for Volkswagen’s US subsidiary but despite such hard times Volkswagen exclusive dealers were still able obtain an average 2.45 percent on sales return. The dealers across the Volkswagen network have also reached a 2.05 percent increase in profitability for the first half of this year. These figures are higher than what they have obtained last December 2006 where profit percentages only reached 1.44 for Volkswagen-exclusive dealers while 1.5 percent for all Volkswagen dealers on average.

According to Matthias Seidl, Chief Operating Officer, Volkswagen of America, Inc. "Dealer profitability is at the core of our dealer network strategy. It is important because it benefits the customer — profitable dealers are better able to hire and retain great sales and service personnel and ensure high customer satisfaction."

To continuously grow and maintain profitability, Europe’s largest automaker will have to maintain around 600 dealers that are working to increase Volkswagen-exclusive dealerships. The main focus will remain on performance in both sales as well as providing customers with satisfying services.

Seidl also added, "We have a way to go before we achieve a return on sales of 2.5 percent on average across all dealers, early indications are that our strategy is starting to pay off."

Volkswagen of America presently distributes various Volkswagen products including New Beetle, Rabbit, New Beetle Convertible, Jetta, GTI, GLI, Passat wagon, Passat, Eos, and Touareg through its 600 independent dealers across the US.

Aside from Volkswagen of America another subsidiary this time from Canada, has announced that its sales for July 2007 has reached a total of 3,442 as compared to the same period last year with only 3,347 units.

There is also increase in the year-to-date sales of 21.6 percent from 18,785 last July 2006 to 22,850 units in July of 2007. The City Jetta was able to obtain its best month ever with 608 units sold last July posting an increase of 28.7 percent. The Passat sedan was not also left out with 191 units sold in July or a 16.5 percent increase over the same period last year.

The New Beetle together with the GTI has been performing quite well with 1,160 and 1,064 units sold respectively. These figures represent an increase of 53.5 percent for the GTI as compared to the same period last year while 34.9 percent increase was recorded for the New Beetle.