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Johnny Lyle's new brand thinking

Johnny Lyle's new brand thinking

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Tag: Lawyers

Brand Experience, brand values, branding, Life, Social media

The VW Brand and fuel efficiency scandals

Volkswagen Liars logo

 

 

 

Maybe I’m in the minority, but my first reaction when I heard that VW had rigged the software in their cars to behave differently when it detected it was being tested, I thought “wow, that’s clever”.

There’s no doubt they have done a huge amount of harm to their brand and damaged the trust that has been built over many, many years. They deserve a really big fine as they have been found out as liars. Brand owners who lie generally get found out and they generally struggle to build their brand back up afterwards.

But, do they deserve to be put out of business when it is near certain that every other manufacturer in the world is pulling the same stunt, without having been caught yet?

I think not.

It’s bad yes, but it isn’t life and death. They will be hit hard enough with a potentially huge decrease in sales and profits for years to come.

So for me, the talk of a £20bn fine is excessive. When you add in the lawyers scurrying around like leeches starting Class Actions in the US and it’s getting ridiculous. Assume £10,000 per car and this could easily be another £50bn on top. Really, have they done £70bn of harm?

Perhaps an unfair comparison, but 10,000 people affected by Thalidomide are sharing £80m between all of them. A tiny amount to cover for lives that have been destroyed by a vile drug company, who should be paying themselves. The effect on them is a little more than a few MPG less than you were expecting.

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September 28, 2015December 21, 2015brand values, branding, class action VW, Lawyers, Thaldomide, Volkswagen, VW, VW liars, VW LogoLeave a comment

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