Volvo's Overseas Delivery Program

Once you've experienced the Volvo Overseas Delivery (OSD) Program it's easy to understand the level of enthusiasm displayed by just about everyone who's tried this pairing of new-car purchase with European vacation. Volvo claims a 99-percent satisfaction rating for the program, and company officials backed that claim up with a brief video compilation of customer reactions to the program. In truth, it was a bit like one of those late night paid advertising shows, where everyone seems almost too happy about the product. The Volvo folks even admitted to concerns over the abundance of mirth displayed on the video, as they feared it might seem disingenuous.

But after trying the program firsthand, complete with ordering a new Volvo V70 R to our exact standards, picking it up at the factory in Gothenburg, and touring the Swedish countryside for three days, we could readily see ourselves contributing to the videotaped fervor. Volvo further told us that 70 percent of OSD Program customers are "conquest" (that means they are first-time Volvo buyers), and 42 percent say they wouldn't have bought a new car from Volvo if the program wasn't offered.

Of course Volvo isn't the only company to offer an overseas delivery system. BMW, Mercedes-Benz, and Porsche offer similar European purchase options. But of the roughly 6,000 overseas delivery cars sold last year to U.S. customers, Volvo had the largest share of the market, with approximately 2,300 sales in 2004. BMW was right behind it with around 2,200 sales, but then there was a big drop to Mercedes at 1,300. Porsche's 2004 overseas delivery sales numbers weren't available, but considering it has the only program that costs more than buying the same car in the U.S., we can assume its sales numbers are pretty small. So far for 2005 Volvo's overseas delivery sales are up nearly 30 percent ahead of that 2004 number, which should put the program into its fourth straight year of growth.

What's driving the increasing popularity of this program? Is it the thought of saving 8 percent on the price of a new Volvo? Is it the included round-trip airfare, factory tour and one-night hotel stay at the SAS Radisson Hotel in Gothenburg? Is it the prospect of visiting a country where even the airport baggage handlers could pass for supermodels? The answer is "yes" to all of those, but the real beauty of the program comes from the extensive range of travel options offered by Volvo. Beyond the included airfare, hotel night, factory tour and premium delivery experience that every OSD customer gets, there are several travel options that can be purchased at extremely competitive rates.

For example, if you bought a well-equipped XC90 2.5T AWD model through the OSD program you'd pay approximately $40,000, saving about $3,500 over the MSRP at your local Volvo dealer in the U.S. But you'd also get the free airfare to Gothenburg, one hotel night stay at the Radisson, a factory tour with VIP delivery process and 15 days of European automobile insurance — all for two adults and all included with the $40,000 price. But if you spend approximately $3,000 on the Castles and Manor Houses tour you — and a friend/significant other — can enjoy seven days of driving along the Swedish countryside between Gothenburg and Stockholm while staying at some of the country's premier mansions and enjoying three-course dinners. That means you're still $500 "to the good" in terms of what you've spent on the car, and now you're both touring Sweden for a week.

You can take shorter tours for less money, or spend more for longer stays. We took an abridged version of the Castles and Manor Houses tour, and we can vouch for the quality of the accommodations, food and hospitality. Children are also a welcome part of the OSD, and can be added to these tour packages for between $150 and $600 per child, depending on the vacation package.

Beyond the Castles and Manor Houses tour there's a range of trips with a focus on everything from Nordic countries (Sweden, Norway and Denmark) to European driving adventures going as far south as Barcelona. And because Volvo allows for vehicle drop-off at 20 different locations throughout Europe you can either stick with the company's preplanned tours or strike out on your own (though you likely won't get as competitive of travel rates). There's even an R Event Tour that allows customers to purchase an S60 R or V70 R, drive it on the German autobahns, attend a Formula 1 event, visit the famous Nürburgring racetrack and upgrade to business class travel. The details and pricing for all of these trips are constantly updated, so visit your local dealership or go to Volvo's OSD Web page for the latest information.

If there's a downside to the program, it's that when you eventually return home your car won't be waiting for you. In fact, you'll be waiting approximately 6-10 weeks for it. Obviously this type of delay won't work for some new-car buyers, so keep it in mind if you plan on utilizing Volvo's OSD. But if you can afford the several-week wait on your next Volvo's arrival Stateside, the Overseas Delivery Program offers a compelling mix of value and fun.