Volkswagen sales in the Chattanooga area are solidly up since the automaker's announcement that it would open a new assembly plant in the city two years ago, dealers say.
"Heavens, yes," said Ron Kwiatkowski, new vehicle sales manager at Village Volkswagen in Chattanooga, about whether he has seen higher numbers of the VW brand sold.
Kwiatkowski said the dealership had sold about 300 new VWs in the year just before the plant was announced in mid-2008.
A year later, he said, the figure jumped to just over 400.
This year, Kwiatkowski said he expects the dealership to hit from 450 to 460 vehicles, not counting Audi.
"We think once the plant is producing cars ... business will trend up even after that," he said.
The reason for the increases, the sales manager said, is a combination of factors including what he called "conquest sales" - or people buying to support the city and its ties to VW.
Also, the German automaker has improved its product and offerings in the United States, he said.
For example, the midsize sedan VW will assemble in Chattanooga starting early next year is all-new to the U.S. Kwiatkowski said the sedan's pricing will be better than what it replace. The car is expected to go for about $20,000 and cost less than the midsize Passat.
In addition, he said VW has "good product" in the pipeline.
The 2011 Jetta that just hit the showrooms is larger but its base price is less than the old model, according to VW. Auto analysts have talked about a new sport utility vehicle for the U.S. that might eventually be produced in Chattanooga.
Sherrill Whitfield, new vehicle sales manager for Al Johnson Volkswagen in Dalton, Ga., said the dealership has moved roughly 5 percent more vehicles since the plant announcement.
"We've seen more awareness and appreciation of the brand," he said.
When the Chattanooga plant starts cranking out new cars, Whitfield is hopeful the increase could jump to 15 percent.
"We'll have something for each niche of the market," he said.
Kwiatkowski said VW's advertising has improved as well.
In February, VW ran a 30-second Super Bowl spot. It was the first time in nine years the automaker had advertised during the NFL championship game.
The Super Bowl ad launched a campaign featuring ideas that VW's are fun to drive as well as possess German engineering, officials said.
VW wants to double U.S. sales to about 400,000 vehicles within the next few years. It is aiming to sell 800,000 units nationally in 2018.