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Volvos Milestone Towards Profitability

Aside from redefining its luxury SUV segment, Volvo released its recent pride called XC90 to etch a milestone that is anticipated to create a remarkable boost in the sales and profitability aspects of the automaker in the coming years.

"The XC90 will boost our sales. It will take us close to 500,000 units per year. A milestone on our daring journey towards the 600,000 mark," says Hans-Olov Olsson, President and CEO of Volvo Cars. "The new XC90 is also redefining the luxury SUV segment. It is the first in the next generation of SUVs. It offers a unique package, unmatched by any of our competitors," Olsson added.

According to Dan Werbin, President and CEO of Volvo Cars North America, "We are aiming for 200,000 cars per year in North America by 2005. Thus far, we have been growing in the right direction. However, we really need a SUV to close the gap to 200,000 and that role will be played by the Volvo XC90."

"We have a golden opportunity in Europe. The segment is growing and we are entering the market with a highly distinctive product - an offer that few others can match," Olsson noted in connection with Volvo's growth in European SUV segment.

Volvo XC90 is also expected to attract customers who previously rejected Volvo cars because of its added SUV driving excitement. Said SUV experience is made possible by the state-of-the-art Volvo parts XC90 that emphasize performance, safety and style. Said car is also designed to conquer Asian upgraders at the same time to augment Europe's growing segment. In the latter's territory SUVs are mainstream. Nonetheless, acceptance of Volvo XC90 is very much apparent.

"The new XC90 enters this segment with great confidence. Recent clinics show that customers see an SUV as a natural progression for Volvo. It also complements the Cross Country perfectly. They are different vehicles with different buyers in mind, so they won't compete over the same customers," says Dan Werbin.

About the Author: Volvo Parts and Used Volvo Parts
As a former news correspondent for an auto-related websites, Kevin has gathered extensive knowledge and experience in the automotive industry. This 34 year old father of three from Pennsylvania is a genuine car lover.

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