Skoda laughs loudest

For years, Skodas have been the butt of motoring jokes. But their "cheap and challenging" image has changed, writes motoring editor ALASTAIR SLOANE.

The new Skodas carry a health warning - "preconceptions can seriously damage your health."

The words were not stamped in stainless steel and stuck on the door sill or sun visor. They were on a packet of lollies left in the glovebox of the latest model Skoda Octavia on a road test in Britain.

Skoda's public relations people had put them there. They put them in the smaller Fabia test car, too. They spell out the lighthearted marketing approach the Volkswagen-owned carmaker is using to reinvent itself, bouncing back from the days when a Skoda was, at best, seen as cut-price transport.

It will no doubt use the same approach in New Zealand, if the much-praised Octavia and Fabia go on sale here as part of VW's plans for expansion in the Asia-Pacific.

VW general manager Dean Sheed said Skoda's role here was yet to be determined.

"Skoda is looking to expand outside Europe and the Asia-Pacific is an important market," Sheed said.

"It is part of the VW group and its growth would complement that of VW. We would be silly not to evaluate Skoda's potential in New Zealand. But there is no distribution setup for Skoda yet."

VW is positioning itself more upmarket and apparently believes that Skoda has more potential in the Asia-Pacific mass market than its Spanish subsidiary Seat (Say-at). A handful of Seat models have made their way here over the past 10 years or so but VW hasn't pushed the brand.

Skoda makes three passenger cars - the small Fabia, mid-sized Felicia and bigger Octavia. The Fabia is built on the next-generation VW Polo platform (due here next year), the Felicia sits on a Golf chassis and the Octavia on a Passat platform.

But VW is understood to favour the Fabia and Octavia only, mostly because they could be priced in New Zealand to compete with mass-market Japanese models. The Felicia might be lost among the many mid-sized models.

The hatchback Fabia would be aimed at the Toyota Echo, for example, and would cost a bit over $20,000. Octavia sedans and wagons (including turbocharged and four-wheel-drive variants) would challenge Japanese models in the high $30,000 market.

Skodas used to be bread-and-butter runabouts from Czechoslovakia. They were a failsafe routine along with the Russian Lada for comedians eyeing the Iron Curtain.

Remember the jokes? Why does a Skoda/Lada have heated windows? So you can keep your hands warm while you push it home. What do you call a Skoda/Lada with no wheels? A skip. There were many others.

The first Skodas to go on sale in New Zealand were front-engined models imported from Czechoslovakia in the early 1960s. Later, rear-engined models were assembled by the Motor Holdings group in Auckland. They were still the butt of many jokes but they earned a reliable, no-nonsense reputation.

But Skoda is no longer a laughing matter - VW and its legendary standard of quality has made sure of that. Its cars are built on VW chassis, using VW components and VW engines. It was named Manufacturer of the Year in 2000 by the British weekly Autocar.

Since the early 90s, when VW put its technical knowhow behind SkodaAuto and gave the ailing carmaker a $6.7 billion shove, Skoda has been on the road to recovery.

Sales have gone up by more than 100 per cent, and the vehicles are available in 70 countries. The Skodas are well equipped. The Octavia comes with a choice of high-performing engines, ABS is standard, and EBS (electronic brake-force distribution) features on all the turbocharged versions.

This from a British review of the 1.8-litre Octavia wagon: "The car is solidly built (galvanised-steel bodywork comes with a 10-year anti-corrosion guarantee) and the doors close with a very reassuring clunk.

"But, more than this, there's the impression that every detail has been considered.

"The internal lights seem to go on and off when you want them to, the 'Climatronic' heating system automatically brings the car up to your goal temperature without being asked, and the luggage hooks in the cavernous boot are in chrome. There are also airbags everywhere and everything's electric. Its spacious boot can swallow wardrobes, sinks, small-block Chevvy engines, skiiing clobber and various animals. The cabin is a good place to be but rear leg is very cramped - the price you pay for a cavernous boot."