|The step from a focus on a single brand name to a multiple-brand focus|
The strength of a brand is contained in its inherited
AB Volvo was founded, “Volvo” has been the key name in building relationships
with the outside world. Products and services have been developed with
such distinctive customer benefits that this name has long been associated
with the core values quality, safety and concern for the environment
that have been identified strongly with Volvo.
|A more homogeneous customer structure|
the sale of the passenger car business, the Volvo Group focuses
on commercial products. This means a more homogenous customer structure
which consists of commercial buyers for whom the
Group’s products and services constitute an integral and vital part of
|Shared ownership of the Volvo brand name|
connection with AB Volvo’s sale of Volvo Cars
to Ford Motor Company, Volvo Trademark Holding AB was formed, which is jointly
owned by AB Volvo and Volvo Car Corporation, whose basic task is to own
the Volvo brand name. The company is responsible for registering and protecting
the brand name.
A committee containing three representatives from each of the owners is linked to Volvo Trademark Holding AB. The tasks of this committee include coordinating and consulting in issues affecting the owners’ use of the brand name in order to optimize its value.
As a result of the shared ownership of Volvo Trademark Holding AB, the Volvo Group and Volvo Cars are both responsible for ensuring that their common strategic asset, the Volvo brand name with its foundation in the shared core values, is further developed.
Continuing close cooperation with respect to the brand name and its development is an important driving force for growth and profitability in the two companies.
The Volvo Group shares the Volvo brand name and history with Volvo Cars. As a result, the two companies will in many ways also indirectly share the future.
Usage of the jointly owned brand name
Cars continues to have the right to use the “Volvo”
tradename for passenger cars, minivans carrying up
to 10 passengers, light trucks with pay-load up to 1,500 kilograms, sports
utility vehicles and other vehicles, but not buses or other vehicles used
solely for commercial purposes,
that have a gross vehicle weight of 5,400 kilograms (12,000 lbs. gross weight).
AB Volvo continues to have the right to use the brand name for trucks, buses, construction equipment, marine and industrial engines, aerospace equipment and all other products (apart from those which Volvo Cars has the right to use the trademark for).