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The diesel emissions nightmare at Volkswagen continues unabated as the German government orders the company to recall 2.4 million vehicles next year. To recap, the company has admitted to cheating on emissions tests on up to 11 million diesel vehicles worldwide. The global CEO has resigned, the new North American head departed before even starting, its share value has dropped by over 30% and VW Group sales have plummeted.
Some estimates say this could cost the company in the region of 35 billion euros, and all but destroy the consumer market for diesel vehicles.
This scenario has all the makings of a classic PR crisis, but so far most would consider VW’s communications efforts a fail. Weeks into the scandal consumers who purchased one of the diesel vehicles still do not know what, if any action they should take. Dealers are left scrambling on the front lines without the facts or even a narrative on VW plans. For employees, suppliers and shareholders there is also confusion around how the corporate parent plans to navigate through the crisis. Lawyers smell blood and are circling both in North America and Europe....
VW PR efforts fail miserably!