Volkswagen Ends Routan Minivan After Years of Poor Sales
Volkswagen has officially dropped the Routan minivan after a troubled six-year run, closing the chapter on its North American badge-engineered Chrysler partnership.
Volkswagen has confirmed it will discontinue the Routan minivan after the 2014 model year, ending a brief and unremarkable presence in the North American minivan market. The Routan, assembled by Chrysler in Windsor, Ontario, never gained traction with buyers, and its fate was sealed by persistently low sales and shifting market priorities.
A troubled run from launch to discontinuation
The Routan debuted in 2008 as Volkswagen’s attempt to break into a segment it had helped invent decades earlier with the Microbus. Instead of developing its own minivan, VW partnered with Chrysler, rebadging the Town & Country and Grand Caravan with minor styling and trim changes. The Routan was pitched as a more European-flavoured alternative, but buyers saw little reason to pay more for a van that offered no real mechanical distinction from its Chrysler siblings.
Despite Volkswagen’s hopes, the Routan quickly became one of the slowest-selling models in its US line-up. By 2012, with inventories piling up, production was suspended and the Routan was offered only to fleet customers. In the first six months of 2014, just 1,102 examples were sold in the US, including only one in June. Total US sales over its lifetime reached about 49,000 units, a fraction of the numbers achieved by Chrysler’s own minivans during the same period.
Competition and market shift to crossovers
The Routan’s struggles were compounded by a resurgent minivan segment, with newer models like the Kia Sedona and Ford Transit Connect Wagon attracting buyers. Meanwhile, Volkswagen’s offering was ageing and lacked the innovative features or price advantage to stand out. Its base price, close to $28,000, made it a tough sell against more established rivals.
Chrysler’s own product plans also played a part. The underlying platform for the Routan was due for replacement, and Chrysler was preparing to shift its Town & Country nameplate to a crossover format. Volkswagen, facing the prospect of re-engineering a slow-selling model, opted instead to focus on a new three-row crossover for the US market, to be built at its Chattanooga, Tennessee plant. Production of this new SUV was scheduled to begin by the end of 2016.
Fleet-only sales and the end of the Routan
After the 2012 model year, the Routan was no longer available to retail customers, with remaining production reserved for rental and corporate fleets. Volkswagen North America CEO Jonathan Browning acknowledged that the brand was unable to convince buyers to choose the Routan over rivals, and said the company would now explore other segments instead.
