Will the new $64,000-plus Volkswagen Phaeton luxury sedan fly here?
Folks who remember the old low-priced Volkswagen Beetle might not think so. But that's not the crowd the German automaker is after with its Phaeton, which costs $64,600 with a V-8 engine and $84,890 with a 12-cylinder engine.
Volkswagen historically is an entry-level automaker. But it's moving upscale with future models, including its next-generation Jetta and Passat that are due in 2005. It thus needs a top-line car for those moving up from lower-priced Volkswagens.
The automaker also says the Phaeton will appeal to those who like German car engineering and don't feel they need to impress others with brand cachet, which the Phaeton currently lacks.
Aggressive former Volkswagen chief Ferdinand Piech was behind the Phaeton and thought upscale Volkswagens such as that model can stand toe-to-toe with the likes of Germany's Mercedes-Benz and BMW.
The Phaeton shares components such as a V-8 with the $68,500 A8 sedan from Volkswagen's own Audi brand and has been sold in Europe for a year.
"Volkswagen has a long-term upscale strategy and is being brilliant by offering the Phaeton,'' said Bill Jacobs, owner of Bill Jacobs Volkswagen-Mazda in Aurora. "The car gives younger drivers in lower-priced Volkswagen Golfs and Jettas a car to shoot for. Volkswagen's Touareg luxury sport-utility vehicle has greatly helped the Volkswagen upscale image, and Volkswagen is being realistic in making the Phaeton a low-volume model that will become more desirable as time passes.''
Volkswagen annually sells about 400,000 vehicles in America, but Volkswagen of America spokesman Steve Keyes said the automaker plans to only sell "3,000 to 3,500'' Phaetons each year through its 600 U.S. dealers. Only dealers exclusively selling Volkswagens initially get the car.
"With that small number, the car should do well -- although the Phaeton still is a stretch for Volks-wagen,'' said analyst Ray Windecker of Michigan's American Autodatum. "The person who buys one will be someone like a doctor with two kids who drive Volkswagen New Beetle models.''
Bill Haggerty, general manager of Oak Lawn's Mike Haggerty Volkswagen, said the Phaeton's high prices shouldn't be an obstacle to its success.
"The Touareg has list prices of $34,900 to $40,700 and I can't keep enough in stock to meet demand,'' Haggerty said.
Sam Tomaino, general manager of West Suburban Imports, a Volkswagen dealer in Maywood, said many Phaeton customers will be able to get the car because they'll lease it instead of buying it -- a common practice with many costly cars.
"Looking at the big picture, the Phaeton is a long-term car for the next generation -- for young drivers who look at the sporty Volks-wagen Jetta like an earlier generation looked at the BMW 3-Series,'' Tomaino said. "The general public doesn't yet know the Phaeton exists. Parking lot valets can't believe it's a Volkswagen.''
Tomaino said most potential Phaeton customers so far are people such as car enthusiasts and those who've heard about it via media reports.
"Phaeton buyers march to the beat of a different drummer. They want something different, and deliberately seek out the car,'' said Dominic Pugliani, owner of the Pugi of Chicago Volkswagen dealership in Downers Grove.
"Many such people are professionals, such as doctors,'' Haggerty said. "Realtors like the Phaeton because it has a large back seat that's handy when they show homes to clients. The average customer who visits our dealership is amazed that Volkswagen offers such a big, expensive, roomy car.''
No wonder. Volkswagen has been selling cars here since 1949 and the Phaeton ("fayh-ton'') is the first really roomy "ultraluxury'' Volkswagen sold in America, besides being Volkswagen's first entry in the high-end German-car market.
In fact, the Phaeton is the biggest, most powerful and costliest car ever offered by the automaker, being 204 inches long and weighing 5,194 to 5,399 pounds. It competes with such cars as the Lexus LS 430, BMW 7-Series and Mercedes-Benz E-Class and S-Class models.
The Phaeton's V-8 generates 335 horsepower. The 420 horsepower "W12'' is two V-6 engines fitted neatly together in a double-V arrangement. That results in an ultracompact design, compared with a normal V-12 engine.
The 4.2-liter V-8 comes with a six-speed automatic transmission, while the 6-liter W12 works with a five-speed automatic. Both transmissions are responsive and have a manual shift feature.
High fuel economy -- a traditional Volkswagen virtue -- isn't there with all that weight and power. The V-8 provides an estimated 15 mpg in the city and 22 on highways. The figures are 12 and 19 with the W12. Both engines call for premium gasoline.
The Phaeton is very fast despite its size and weight. It does 0-60 mph in 6.7 seconds with the V-8 and in 5.9 seconds with the W-12. Electronic engine controls hold top speed to 130 mph.
The Phaeton isn't meant to be a sports sedan. For instance, although nicely geared, it's steering is too light to be such a car. But the Phaeton steers, handles and brakes well enough to provide safe, fast driving.
The Phaeton is loaded with convenience and luxury features. Safety items include front and rear torso side air bags and curtain side air bags.
The ride is smooth, but not sloppy, with the car's air suspension. That suspension automatically adapts to driving conditions, road surfaces and vehicle speeds. The suspension has two driver-adjustable heights and comfort, basic, sport 1 and sport 2 shock absorber settings -- similar to the setup in the $72,600 Mercedes-Benz S430 sedan.
The S430 can be had with all-wheel drive for an extra $2,900, but the Phaeton has standard all-wheel drive. That makes the Phaeton and Audi A8 L the only luxury autos with such a standard drive setup for surer going on slippery roads. The Phaeton also has an anti-skid-traction control system.
Styling is handsome and clean, although colors are important to make the Phaeton stand out; for instance, black and silver make it look a lot better than my test Phaeton's rather bland blue paint.
There's good room up front in the quiet, lavish interior, which has first-class materials and workmanship. Front seats are especially big and supportive, and the dual front console cupholders have clever pop-up covers. The car has limousine-style rear seat space, although the middle of the nicely contoured back seat is stiff. A unique feature is available individual rear reclining bucket seats.
Outside mirrors are large, but gripes include secondary gauges that are too small and a large shift lever that blocks some console controls. Also, the driver's power window controls are too far forward on the door. Audio, climate and navigation functions are monitored via a dashboard screen and controlled by buttons. Some adjustments require too much effort.
The big, well-finished trunk has a low, wide opening and a power lid. But it calls for a long stretch to reach objects at the back of it, even for those with long arms.
The Phaeton might not turn many heads, but it's a highly refined, masterfully designed German luxury sedan from an automaker determined to get a first-class image.
VOLKSWAGEN PHAETON
Prices
$64,600-$84,890
Likes
Fast. Roomy. Luxurious. Good ride and handling.
Dislikes
Shift lever blocks some controls. Small secondary gauges. Awkwardly placed driver power window controls. Audio and climate controls can be a hassle to work. |