Volvo Ab Class A · OMXSTO:VOLV_A
Volvo Ab Class A — Investor Day (2012)
13 slides from Volvo Ab Class A's investor day presentation, 2012
Slide 1: Volvo Construction Equipment
Volvo Construction Equipment
Slide 2: Significant growth opportunities
Significant growth opportunites Good starting point Significant opportunities • Broad and competitive • Grow Volvo share in emerging product portfolio markets • Committed and aligned distribution • Leverage Chinese position • Dual brands to penetrate • Grow SDLG share globally both high-end and low-
Slide 3: Volvo Construction Equipment 2013-2015 Strategy
Volvo Construction Equipment 2013-2015 Strategy Profitably grow SDLG business Develop Volvo branded products Significantly increase globally for emerging markets Customer Solutions revenues • Achieve significant increase of excavator • Develop emerging market product to • Increase Customer Solutions
Slide 4: Significant potential for share growth in China for SDLG
Significant potential for share growth in China for SDLG Total market 2011 SDLG brand - Strong brand image in the value segment - Pan-Chinese dealer network EXCAVATORS - New range of competitive excavators 170,000 2.0% To do: Upgrade dealer network to sell and support excavators (advanced technology
Slide 5: Significant potential for share growth in China for Volvo
Significant potential for share growth in China for Volvo Total market 2011 Volvo brand - Strong brand image - Well performing and committed dealer network EXCAVATORS 170,000 5.6% To do: Launch new low-cost wheel loader (BRIC-loader) LOADERS 220 000 0.0% Volvo Construction Equipment Capital Market D
Slide 6: Great potential for Common Architecture and Shared Technology (CAST)
Great potential for Common Architecture and Shared Technology (CAST) - implementation started Western technology Low cost solutions New excavator range Volvo BRIC-loader 2012 2013 Volvo Construction Equipment Capital Market Day 2012 6
Slide 7: Need to address the segments with the right product – wheel loader example
Need to address the segments with the right product – wheel loader example Price BRAZIL Price AFRICA Price CHINA 26% Premium 1% 100% Premium 100% Premium 100% 36% 90% Value 32% 80% Value 11% 35% Value A A A 68% 60% 32% 60% 62% 25% Basic Basic Basic 31% INCREASING SOLUTION REQUIREMENT INCREASING SOLU
Slide 8: New brand positions to reach all customers
New brand positions to reach all customers Price level PREMIUM SEGMENT (70-100%) VALUE SEGMENT BRIC (40-70%) BASIC SEGMENT (<40%) Technology level Volvo Construction Equipment INCREASING SOLUTION REQUIREMENT 8
Slide 9: Significant potential to grow Volvo share in emerging markets
Significant potential to grow Volvo share in emerging markets Volvo BRIC-loader in 2013 • First example of leveraging SDLG cost base for Volvo branded products • Improve competitiveness of the Volvo dealer network in emerging markets • Introduced in China from 2013 and other emerging market tbd • At
Slide 10: Rollout of SDLG to start in emerging markets
Rollout of SDLG to start in emerging markets Targeting 10,000 SDLG units per year outside China by 2015 (Today 3,900 units/year) Volvo Construction Equipment Capital Market Day 2012 10
Slide 11: Competitive edge vs. other domestic Chinese to expand SDLG globally
Competitive edge vs. other domestic Chinese to expand SDLG globally Products - Leverage existing and proven Volvo technology at the right phase Industrial – leverage existing global footprint Suppliers – leverage existing global footprint Distribution - leverage existing Volvo distribution (Tier1) A
Slide 12: Realizing the full potential of both brands globally
Realizing the full potential of both brands globally Volvo CE 2015 • Improved Volvo share in emerging markets • Stronger position in China • SDLG introduced in emerging markets outside China • Shared architecture appropriately differentiated between Volvo and SDLG Volvo Construction Equipment Capita
Slide 13: Volvo Construction Equipment Capital Market Day 2012
Volvo Construction Equipment Capital Market Day 2012 13