I'm not sure as much about the market--I think many Apple products share as much with Lexus, BMW, or Volvo as Volkswagen in terms of target market.
But I like MoparShaha's comment on "soul"--I think that's where the connect is.
Volkswagen's recent image is friendly, fun in a low-key way, and approchable--their TV ads aim this way, and the Beetle is by far the most "fun" and approchable car on the market in terms of visual style. This seems to be exactly the design philosophy behind Apple's consumer products, mainly the iMac and iPod (heck, the iMac even looks a bit like a Beetle with a funky haircut), hence the connect.
Young, lively, fun to look at without being overly flashy or ostentatious (like a Japanese sports car or a Cadillac or Alienware hardware), and definitely not boring or overly industrial (like an SUV or a smaller Japanese car).
Heck, Volkswagen's ads even looked a lot like Apple's for a while there.
The G5, on the other hand, is more like a Peterbuilt in terms of design--big, mean-looking, and industrial.