Hyundai: Sales, Marketing, and Financial News
11-20-2013, 01:49 PM
#321
Team Owner
Are you in the process of buying a BMW?
Please don't.
Please don't.
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ttribe (11-20-2013)
02-24-2014, 08:07 PM
#322
Safety Car
AutoNews
Hyundai notched big gains in its sales, market share and image when its swoopy 2011 Sonata hit the market. But barely 3 years later, the mid-sized car has left Hyundai with a black eye.
Problems reported by owners of the 2011 Sonata were the main reason that the Hyundai brand ranked 5th from the bottom in the latest dependability rankings from J.D. Power and Associates.
Hyundai owners reported an average of 169 problems per 100 vehicles in J.D. Power's 2014 Vehicle Dependability Study, which measures the performance of vehicles after 3 years of ownership. It was Hyundai's 2nd year of increasing problems after steady improvement from 2009 through 2012.
Also contributing to the low scores was Hyundai's Elantra compact car, J.D. Power said. The current generation of both cars launched as 2011 models from Hyundai's plant in Alabama, which has been running around the clock on 3 shifts since the fall of 2012.
Not holding up
The Hyundai brand finished 27th, or 5th from the bottom, in this year's J.D. Power Vehicle Dependability Study rankings. The study measures the average number of problems per 100 vehicles reported by owners who have owned their cars for 3 years.
PHP Code:
Study year/ Model year Problems per 100 vehs. Industry rank Rank among nonluxurey brands
2009/2006 161* 14 4
2010/2007 148* 11 4
2011/2008 132* 10 2
2012/2009 125* 10 4
2013/2010 141 22 13
2014/2011 169 27 13
*Better than industry average
Ed Kim, an analyst with consultancy AutoPacific, says the dependability shortcomings are unlikely to hurt Hyundai's brand in the near term. Kim says most consumers pay closer attention to J.D. Power's initial-quality rankings.
Still, he says, the poor dependability scores are a red flag for a brand that has put years of work into improving its quality reputation.
"We've finally reached the point where people have far fewer prejudices against Hyundai's quality," Kim said. He added: "The poor VDS performance is a warning sign to Hyundai because it takes a lot of time and money to build and rebuild a reputation for quality, which they've successfully done for a long time since introducing their 100,000-mile warranty. But it can be destroyed in a flash."
In a statement, a Hyundai Motor Co. representative said the company is "very disappointed" by the results, adding that it "is in the process of examining every component of the score to determine root-cause solutions and improve our products and processes." A Hyundai quality executive was unavailable to comment last week.
It's not uncommon for vehicles to have problems in their launch year, but the Sonata launch had more problems than usual for Hyundai and for the industry in general, said Dave Sargent, J.D. Power's vice president of automotive, who leads the annual study.
The Sonata was a game-changing vehicle for the Hyundai brand when it arrived as a 2011 model, with a distinctive design that shook up the otherwise staid mid-sized sedan segment. It soon became Hyundai's top-selling car.
Such success can be a double-edged sword, especially if durability problems persist, says Karl Brauer, senior analyst at Kelley Blue Book.
"That car was at the heart of a lot of the momentum that they were seeing at the same time that their image, sales and everything was getting better," Brauer said.
"You don't want any of your cars to have a bad reputation, but it would be far better if it was something more obscure from their model line."
Sargent declined to identify the main issues that drove the Sonata complaints. But for the industry in general, the J.D. Power study found a rise in engine and transmission problems, especially for 4-cylinder engines.
"While striving to reduce fuel consumption, automakers must be careful not to compromise quality," Sargent said in a statement when the study was released. "Increases in such problems as engine hesitation, rough transmission shifts and lack of power indicate that this is a continuing challenge."
The 2011 Sonata ushered in advanced powertrain technologies that were rare in the segment at the time, such as all-aluminum engines, gasoline direct injection, 6-speed transmissions and continuously variable valve timing. It was also the 1st mid-sized sedan to use a turbocharged 4-cylinder in place of a V-6 for high-end models.
In its statement, Hyundai said it expects its dependability ratings to improve in next year's J.D. Power study.
AutoPacific's Kim noted that Hyundai has prioritized improving vehicle quality over growing sales volume for the past few years. "Knowing them," he said, "I'm sure they're not sitting still."
02-24-2014, 10:52 PM
#323
Punk Rocker
Its really not surprising to me that Hyundai is lagging behind in terms of reliability at this point. This is a company whose meteoric rise over the last few years has been amazing but you can't expect to become a major player in such a short time without any growing pains. They have launched salvos into every single market in existence (very effective salvos I might add) but this massive increase in technology and scope has to lead to more issues by default. The area of reliability will take the longest time to get over and will be the last major hurdle Hyundai must surpass on their mission to the upper echelons of the automotive landscape.
My personal experience with Hyundai so far has been very good as my Genesis sedan has had few issues (water condensation in the taillight which was replaced under warranty) and a couple of recalls/TSB's...
My personal experience with Hyundai so far has been very good as my Genesis sedan has had few issues (water condensation in the taillight which was replaced under warranty) and a couple of recalls/TSB's...
11-04-2015, 12:22 PM
#324
CTSV,TL, Audi Q7 & A5SB
Hyundai Genesis Is Becoming Its Own Standalone Brand
Long overdue IMO
boldride.com
November 04, 2015
The Hyundai Genesis sits near the top of the company’s lineup, and now they have plans to spinoff that car into a premium brand. An announcement is expected this week as they hope to boost their profitability.
The new brand will likely be sold through the existing distribution channel initially, but that could change as the plan unfolds. The Genesis launched back in 2008 as a luxury midsize sedan and was followed shortly after by the Equus flagship sedan.
The new Genesis lineup will be a small grouping of upscale products. It won’t be physically separated from the brand, according to Reuters. The move would also help Hyundai take its brand image in a more upscale direction.
The Genesis sedan was a test of luxury waters at a time when the company wasn’t yet ready to make a standalone brand. Now, a strong Korean won is taking a bite out of sales revenue outside Korea. Since 75 percent of the company’s sales are outside Korea, the effect is huge. How well the public will receive the idea of an upscale Hyundai brand remains to be seen.
https://www.yahoo.com/autos/spin-off...170011338.html
boldride.com
November 04, 2015
The Hyundai Genesis sits near the top of the company’s lineup, and now they have plans to spinoff that car into a premium brand. An announcement is expected this week as they hope to boost their profitability.
The new brand will likely be sold through the existing distribution channel initially, but that could change as the plan unfolds. The Genesis launched back in 2008 as a luxury midsize sedan and was followed shortly after by the Equus flagship sedan.
The new Genesis lineup will be a small grouping of upscale products. It won’t be physically separated from the brand, according to Reuters. The move would also help Hyundai take its brand image in a more upscale direction.
The Genesis sedan was a test of luxury waters at a time when the company wasn’t yet ready to make a standalone brand. Now, a strong Korean won is taking a bite out of sales revenue outside Korea. Since 75 percent of the company’s sales are outside Korea, the effect is huge. How well the public will receive the idea of an upscale Hyundai brand remains to be seen.
https://www.yahoo.com/autos/spin-off...170011338.html
Last edited by JT4; 11-04-2015 at 12:29 PM.
11-04-2015, 01:19 PM
#326
Ehh, still don't trust Hyundai.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
11-04-2015, 02:17 PM
#327
I drive a Subata.
iTrader: (1)
Ehh, still don't trust Hyundai.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
11-04-2015, 02:20 PM
#328
I drive a Subata.
iTrader: (1)
This is a move that everyone has been telling them to do. Took them awhile to get it done, but it's great that it's finally happening.
11-04-2015, 02:37 PM
#329
Never been a huge fan of Hyundai or the Genesis.
But my issue is just what I see in my town and the surrounding valley. What I see are mainly mommy & daddy funded tuners with really riced out Genesis Coupes. Always very loud and never tastefully modded.
The Sedans are nice cars but I dont see them often. When I do see them I mistake them for Mercs. So that's gotta be a good thing.
But my issue is just what I see in my town and the surrounding valley. What I see are mainly mommy & daddy funded tuners with really riced out Genesis Coupes. Always very loud and never tastefully modded.
The Sedans are nice cars but I dont see them often. When I do see them I mistake them for Mercs. So that's gotta be a good thing.
11-04-2015, 02:39 PM
#330
You can see some of the complaints here: Hyundai Sonata Problems | CarComplaints.com
The majority of the engine problem complaints (142 of them) were for the 2011 models. Maybe problem was fixed for later models?
I know not everyone who has had the problem complained about it on that site, but if the complains dropped off considerably in 2012 and going forward, I don't know how wide spread the problem was.
Plus, it's not like Honda doesn't have their fair share of problems : Honda Accord Problems | CarComplaints.com
Look at year 2008. 1,268 complaints for brake problems. 472 complaints for engine problems.
And let's not forget about the early 2000's and their transmission problems.
Yeah. Separating the brand should help with people associating the Genesis and Equus with Hyundai of the 80's and 90's
The majority of the engine problem complaints (142 of them) were for the 2011 models. Maybe problem was fixed for later models?
I know not everyone who has had the problem complained about it on that site, but if the complains dropped off considerably in 2012 and going forward, I don't know how wide spread the problem was.
Plus, it's not like Honda doesn't have their fair share of problems : Honda Accord Problems | CarComplaints.com
Look at year 2008. 1,268 complaints for brake problems. 472 complaints for engine problems.
And let's not forget about the early 2000's and their transmission problems.
Yeah. Separating the brand should help with people associating the Genesis and Equus with Hyundai of the 80's and 90's
Last edited by AZuser; 11-04-2015 at 02:46 PM.
11-04-2015, 03:38 PM
#331
Moderator
Finally.
11-05-2015, 07:14 AM
#332
CTSV,TL, Audi Q7 & A5SB
As I mentioned earlier, I think this is long overdue. However, I wonder if it's too late.
I feel they needed to introduce the Genesis brand in stand alone showrooms from the beginning just as Acura, Lexus and Infiniti did. But IMO it was even more important for Genesis to distance themselves from Hyundai from the beginning because unlike Acura, Lexus and Infiniti, Hyundai is still (maybe unfairly) perceived by a lot of people as making inexpensive, unreliable cars. A stigma that Honda, Toyota and Nissan doesn't have.
If I remember correctly Hyundai introduced the Genesis in 2007 or 2008, and now some 8 years later they finally spinoff the brand. But the problem is over these 8 years people got used to looking at the Genesis in Hyundai showrooms as a Hyundai, which IMO was not good for the Genesis brand. Especially since the Genesis was supposed to be Hyundai's luxury brand to compete with the likes of MB, Lexus, Acura etc..
So yeah, I guess it's better late than never. But I wonder if they "missed the boat" by waiting so long.
I feel they needed to introduce the Genesis brand in stand alone showrooms from the beginning just as Acura, Lexus and Infiniti did. But IMO it was even more important for Genesis to distance themselves from Hyundai from the beginning because unlike Acura, Lexus and Infiniti, Hyundai is still (maybe unfairly) perceived by a lot of people as making inexpensive, unreliable cars. A stigma that Honda, Toyota and Nissan doesn't have.
If I remember correctly Hyundai introduced the Genesis in 2007 or 2008, and now some 8 years later they finally spinoff the brand. But the problem is over these 8 years people got used to looking at the Genesis in Hyundai showrooms as a Hyundai, which IMO was not good for the Genesis brand. Especially since the Genesis was supposed to be Hyundai's luxury brand to compete with the likes of MB, Lexus, Acura etc..
So yeah, I guess it's better late than never. But I wonder if they "missed the boat" by waiting so long.
11-05-2015, 12:06 PM
#333
Cuts both ways, they were an exceptional value as the mainstream discounted the brand. I wonder if supporting the overhead of an standalone brand will start to squeeze out the value.
My buddy has a '15 sedan with most of the goodies in it and it is beautiful inside and out. Really nice large family sedan.
My buddy has a '15 sedan with most of the goodies in it and it is beautiful inside and out. Really nice large family sedan.
11-05-2015, 12:49 PM
#334
99 TL, 06 E350
It's about time. To the dismay of most people, this brand will go far. Acura will be left on the dust.
When I was in the States back in May 2015. I so many Genesis on the roads. They are doing something right.
When I was in the States back in May 2015. I so many Genesis on the roads. They are doing something right.
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TacoBello (11-10-2015)
11-05-2015, 12:57 PM
#335
Kia needs to do the same thing or something similar, they make some great cars now but the name itself still sounds cheap. I know I could never say the words "I drive a Kia".
As for Hyundai, good move but I hope they still continue to offer a Genesis R-spec. I rarely see them but they are so much cooler than the normal Genesis sedan.
As for Hyundai, good move but I hope they still continue to offer a Genesis R-spec. I rarely see them but they are so much cooler than the normal Genesis sedan.
11-06-2015, 09:33 AM
#336
Senior Moderator
Ehh, still don't trust Hyundai.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
I initially thought they overcame issues from the 90s and early 2000s, their newer sonatas and other cars are really nice to look at and come with plenty of features which is nice. But they have a chronic issue with their Sonata engines (i believe 2.4 4cyl, can't remember). It has something to do with oil sludge or shards of metal breaking of the crank inside the engine causing damage/new engine. I bought one this had happened to; did some research and realized it was a common problem. Used engines cost $2500+ and are hard to find because of demand. So I sold the car without fixing it.
They had to issue a recall (I think 10 years 120k miles) but I've heard the Sonata between 09-11 has been somewhat of a failure, taking away from the reputation Hyundai worked hard to build after their many failures in the 90s.
It'll be interesting to see how this pans out though. I had a Genesis as a rental in 2011, it was a pretty nice car to beat on for a week.
11-06-2015, 10:30 AM
#337
Moderator
I've heard similar from a couple Genesis sedan owners. Not quite that many miles, but very few issues.
From the H/K owners, neighbor has a newer Santa Fe that has been completely reliable.
2 people in my office have an Optima Turbo & a mid-trim Sonata. No problems there either.
From the H/K owners, neighbor has a newer Santa Fe that has been completely reliable.
2 people in my office have an Optima Turbo & a mid-trim Sonata. No problems there either.
11-06-2015, 12:18 PM
#340
Lola
The next gen Equus, now called G90, will be introduced in South Korea next month. The current Genesis sedan will be renamed as G80.
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11-06-2015, 03:12 PM
#341
do they want to open separate dealer network like Lexus/Acura. it mean they will need to have loaner cars that will further depreciate the values in the lot.
i dont see how this can be profitable.
Just give you idea. Toyota this year will make $25b in net profit. H/K group will be lucky to reach $4b in profit. they simply not have the prime locations and SUV network globally to make it to top tier.
i dont see how this can be profitable.
Just give you idea. Toyota this year will make $25b in net profit. H/K group will be lucky to reach $4b in profit. they simply not have the prime locations and SUV network globally to make it to top tier.
11-06-2015, 03:44 PM
#342
Azine Jabroni
do they want to open separate dealer network like Lexus/Acura. it mean they will need to have loaner cars that will further depreciate the values in the lot.
i dont see how this can be profitable.
Just give you idea. Toyota this year will make $25b in net profit. H/K group will be lucky to reach $4b in profit. they simply not have the prime locations and SUV network globally to make it to top tier.
i dont see how this can be profitable.
Just give you idea. Toyota this year will make $25b in net profit. H/K group will be lucky to reach $4b in profit. they simply not have the prime locations and SUV network globally to make it to top tier.
11-06-2015, 07:35 PM
#343
iWhine S/C 6MT TL
iTrader: (1)
You can see some of the complaints here: Hyundai Sonata Problems | CarComplaints.com
The majority of the engine problem complaints (142 of them) were for the 2011 models. Maybe problem was fixed for later models?
I know not everyone who has had the problem complained about it on that site, but if the complains dropped off considerably in 2012 and going forward, I don't know how wide spread the problem was.
Plus, it's not like Honda doesn't have their fair share of problems : Honda Accord Problems | CarComplaints.com
Look at year 2008. 1,268 complaints for brake problems. 472 complaints for engine problems.
And let's not forget about the early 2000's and their transmission problems.
Yeah. Separating the brand should help with people associating the Genesis and Equus with Hyundai of the 80's and 90's
The majority of the engine problem complaints (142 of them) were for the 2011 models. Maybe problem was fixed for later models?
I know not everyone who has had the problem complained about it on that site, but if the complains dropped off considerably in 2012 and going forward, I don't know how wide spread the problem was.
Plus, it's not like Honda doesn't have their fair share of problems : Honda Accord Problems | CarComplaints.com
Look at year 2008. 1,268 complaints for brake problems. 472 complaints for engine problems.
And let's not forget about the early 2000's and their transmission problems.
Yeah. Separating the brand should help with people associating the Genesis and Equus with Hyundai of the 80's and 90's
NHTSA Recall Number: opens new window takes away from VIN lookup section> 15V569000 Recall Date: September 24, 2015
Manufacturer Recall Number: 132
SUMMARY:
HYUNDAI MOTOR AMERICA (HYUNDAI) IS RECALLING CERTAIN MODEL YEAR 2011-2012 SONATA VEHICLES MANUFACTURED DECEMBER 11, 2009, TO APRIL 12, 2012 AT HYUNDAI MOTOR MANUFACTURING ALABAMA AND EQUIPPED WITH EITHER A 2.0 LITER OR 2.4 LITER GASOLINE DIRECT INJECTION ENGINE. IN THE AFFECTED VEHICLES, METALLIC DEBRIS MAY NOT HAVE BEEN FULLY REMOVED DURING MANUFACTURING OF THE ENGINE CRANKSHAFT. IF THE DEBRIS WAS NOT COMPLETELY REMOVED, OIL FLOW MAY BE RESTRICTED THROUGH THE CONNECTING ROD BEARINGS, CAUSING CONNECTING ROD DAMAGE AND POSSIBLE ENGINE FAILURE. A WORN CONNECTING ROD BEARING WILL PRODUCE A METALLIC, CYCLIC KNOCKING NOISE FROM THE ENGINE AND POSSIBLE ENGINE FAILURE. SAFETY RISK:
ENGINE FAILURE WOULD RESULT IN A VEHICLE STALL, INCREASING THE RISK OF A CRASH. REMEDY:
REMEDY NOT YET AVAILABLE.
RECALL STATUS:
Recall INCOMPLETE
MANUFACTURER NOTES:
OWNERS MAY ALSO CONTACT THE NAT'L HIGHWAY TRAFFIC SAFETY ADMIN VEHICLE SAFETY HOTLINE AT 1-888-327-4236(TTY 1-800-424-9153), OR GO TO Home | Safercar -- National Highway Traffic Safety Administration (NHTSA)
-----------
It was pushed by enthusiast on a sonata forum(s). I'm glad they owned up to it. As for the KIA Optima (uses the same engines 2.0T or 2.4L), it was assembled in a different plant. Thus, saving them from the same faith. My wife owns a 2011 Optima and knock on wood, it's been solid. It has a lot of bang for buck. She loves the new Genesis sedan and wouldn't mind upgrading to the AWD version. Hyundai and KIA is turning around and progressing through the years. A lot of consumers today, aren't as brand loyal. Many shop for all sorts of reasons (economical, fuel efficient, bang for buck ect).
11-07-2015, 02:20 AM
#344
Hyundai Press Release
Hyundai Motor Launches New Global Luxury Brand, 'Genesis'
- New 'Genesis' brand will compete with the world's leading luxury car brands
- Six-model line-up begins roll-out from December catering for 'new luxury'
customers, delivering personalized and human-centered experiences
- Refined performance, athletic elegance in design and human-focused innovation
will elevate the Genesis brand
November 4, 2015 - Hyundai Motor has announced an all-new global luxury brand – Genesis – that will deliver 'human-centered' luxury through a range of new models that feature the highest standards of performance, design and innovation.
Created for a new generation of discerning consumers, Genesis will be a stand-alone brand that operates alongside the company's popular Hyundai marque. Capitalizing on its success in the fast-growing global car market, Hyundai Motor will launch six new Genesis models by 2020 and will compete with the world's most renowned luxury car brands.
The Genesis brand seeks to create a new definition of luxury, one that will provide a new platform for future mobility centered on people. By anticipating human needs at every touch point, Genesis models will embody four key aspects: Human-focused innovation, refined and balanced performance, athletic elegance in design and hassle-free customer experience.
"We have created this new Genesis brand with a complete focus on our customers who want smart ownership experiences that save time and effort, with practical innovations that enhance satisfaction. The Genesis brand will fulfill these expectations, becoming a market leader through our human-centered brand strategy," said Euisun Chung, Hyundai Motor Company Vice Chairman.
Genesis models will boast outstanding driving dynamics and design, with innovations tailored to closely-meet the needs of customers. The new model line-up will distance itself from the traditional technological overload of brand-focused competitors, concentrating instead on a personalized, hassle-free customer experience. Continuing the customer-oriented approach that flows through every Genesis model, sales and service staff will provide rapid and attentive service to customer's requests.
To elevate and differentiate the Genesis brand from Hyundai, a distinct design identity, emblem, naming structure and customer service offering is being established.
Genesis models will be badged with a new wing-type emblem, redesigned from the version used on the current Genesis model to create an even more luxurious look. This emblem firmly cements the Genesis models as a collective family of luxury models under the Genesis nameplate.
The Genesis brand will also adopt a new alphanumeric naming structure. Future models will be named by combining the letter 'G' for Genesis with a number, 90, 80 or 70 etc., representing the segment.
Woong-Chul Yang, Head of Hyundai Motor R&D Center and Vice Chairman of Hyundai Motor said, "The Genesis models will provide technological innovation, excellent driving performance and luxury to customers. Every Genesis model will be created with the needs of our customers in mind, so the resulting car will perfectly meet their needs without any unnecessary burden or excess."
Fitted with the latest proactive safety technologies, intuitive convenience features and IT connectivity, Genesis models are engineered to provide excellent ride comfort while retaining confident sportiness.
To develop a distinctive and differentiated design for the new Genesis brand vehicles, Hyundai Motor has created a Prestige Design Division. From mid-2016 Luc Donckerwolke, who was previously responsible for the design of Audi, Bentley, Lamborghini, SEAT and Skoda models at the Volkswagen Group, will lead this new division alongside his role as Head of the Hyundai Motor Design Center. The work of the new Prestige Design Division will be overseen by Peter Schreyer, as part of his group-wide design responsibilities as President and Chief Design Officer (CDO) of Hyundai Motor Group.
Peter Schreyer commented, "In creating the design signature of Genesis brand cars, we set out to display confidence and originality, creating highly desirable products that present new charm through innovative styling and proportions."
The name 'Genesis', which also means new beginnings, hints at the new values and standards that the brand will bring to the global luxury car market. Initially on sale in the Korean, Chinese, North American and Middle Eastern luxury car markets, the Genesis brand will expand its reach to Europe and other parts of Asia as the model range grows to full strength.
Setting the brand's cars apart from competitors, innovation will begin with the consumer, with customer requirements directing development. This philosophy echoes the vision of Hyundai Motor to be a 'lifetime partner in automobiles and beyond', with the 'Modern Premium' brand direction of Hyundai reinterpreted for the new Genesis marque.
Since the launch of its first cars in 1967, Hyundai Motor has grown quickly to become one of the world's leading automakers. The strategic decision to create an all-new luxury car brand is recognition of the company's strengths and its global ambitions. By introducing new customers to Hyundai Motor and elevating its competitiveness, the new Genesis brand will enable more people to experience the premium value of Hyundai Motor.
- New 'Genesis' brand will compete with the world's leading luxury car brands
- Six-model line-up begins roll-out from December catering for 'new luxury'
customers, delivering personalized and human-centered experiences
- Refined performance, athletic elegance in design and human-focused innovation
will elevate the Genesis brand
November 4, 2015 - Hyundai Motor has announced an all-new global luxury brand – Genesis – that will deliver 'human-centered' luxury through a range of new models that feature the highest standards of performance, design and innovation.
Created for a new generation of discerning consumers, Genesis will be a stand-alone brand that operates alongside the company's popular Hyundai marque. Capitalizing on its success in the fast-growing global car market, Hyundai Motor will launch six new Genesis models by 2020 and will compete with the world's most renowned luxury car brands.
The Genesis brand seeks to create a new definition of luxury, one that will provide a new platform for future mobility centered on people. By anticipating human needs at every touch point, Genesis models will embody four key aspects: Human-focused innovation, refined and balanced performance, athletic elegance in design and hassle-free customer experience.
"We have created this new Genesis brand with a complete focus on our customers who want smart ownership experiences that save time and effort, with practical innovations that enhance satisfaction. The Genesis brand will fulfill these expectations, becoming a market leader through our human-centered brand strategy," said Euisun Chung, Hyundai Motor Company Vice Chairman.
Genesis models will boast outstanding driving dynamics and design, with innovations tailored to closely-meet the needs of customers. The new model line-up will distance itself from the traditional technological overload of brand-focused competitors, concentrating instead on a personalized, hassle-free customer experience. Continuing the customer-oriented approach that flows through every Genesis model, sales and service staff will provide rapid and attentive service to customer's requests.
To elevate and differentiate the Genesis brand from Hyundai, a distinct design identity, emblem, naming structure and customer service offering is being established.
Genesis models will be badged with a new wing-type emblem, redesigned from the version used on the current Genesis model to create an even more luxurious look. This emblem firmly cements the Genesis models as a collective family of luxury models under the Genesis nameplate.
The Genesis brand will also adopt a new alphanumeric naming structure. Future models will be named by combining the letter 'G' for Genesis with a number, 90, 80 or 70 etc., representing the segment.
Woong-Chul Yang, Head of Hyundai Motor R&D Center and Vice Chairman of Hyundai Motor said, "The Genesis models will provide technological innovation, excellent driving performance and luxury to customers. Every Genesis model will be created with the needs of our customers in mind, so the resulting car will perfectly meet their needs without any unnecessary burden or excess."
Fitted with the latest proactive safety technologies, intuitive convenience features and IT connectivity, Genesis models are engineered to provide excellent ride comfort while retaining confident sportiness.
To develop a distinctive and differentiated design for the new Genesis brand vehicles, Hyundai Motor has created a Prestige Design Division. From mid-2016 Luc Donckerwolke, who was previously responsible for the design of Audi, Bentley, Lamborghini, SEAT and Skoda models at the Volkswagen Group, will lead this new division alongside his role as Head of the Hyundai Motor Design Center. The work of the new Prestige Design Division will be overseen by Peter Schreyer, as part of his group-wide design responsibilities as President and Chief Design Officer (CDO) of Hyundai Motor Group.
Peter Schreyer commented, "In creating the design signature of Genesis brand cars, we set out to display confidence and originality, creating highly desirable products that present new charm through innovative styling and proportions."
The name 'Genesis', which also means new beginnings, hints at the new values and standards that the brand will bring to the global luxury car market. Initially on sale in the Korean, Chinese, North American and Middle Eastern luxury car markets, the Genesis brand will expand its reach to Europe and other parts of Asia as the model range grows to full strength.
Setting the brand's cars apart from competitors, innovation will begin with the consumer, with customer requirements directing development. This philosophy echoes the vision of Hyundai Motor to be a 'lifetime partner in automobiles and beyond', with the 'Modern Premium' brand direction of Hyundai reinterpreted for the new Genesis marque.
Since the launch of its first cars in 1967, Hyundai Motor has grown quickly to become one of the world's leading automakers. The strategic decision to create an all-new luxury car brand is recognition of the company's strengths and its global ambitions. By introducing new customers to Hyundai Motor and elevating its competitiveness, the new Genesis brand will enable more people to experience the premium value of Hyundai Motor.
11-10-2015, 10:53 AM
#345
Team Owner
Wifey drives a 2012 Sonata 2.0T limited. 106k, not a single problem, besides a 15 minute visit to the dealership, about 2.5 years ago, to reprogram the electronic waste gate (under a TSB).
12-22-2016, 07:28 AM
#346
Safety Car
AutoNews
http://www.autonews.com/article/2016...hief-zuchowski
Hyundai fires U.S. chief Zuchowski
General Counsel Jerry Flannery named interim CEO
December 21, 2016 @ 11:50 am
The decision is effective immediately. Jerry Flannery, 59, general counsel and an executive vice president, will be the interim CEO until a successor is chosen. Hyundai said it will begin its search immediately.
Hyundai’s dealer body was informed Tuesday night of the decision.
“We appreciate Dave’s decade of service to Hyundai, especially his leadership as president and CEO, which has made us a stronger organization,” Flannery said in a statement. “I look forward to working closely with our dealers, affiliates, senior management and our talented and hard-working employees across the country to realize Hyundai’s full potential.”
Zuchowski, 58, who joined Hyundai as U.S. sales chief in 2007 and was widely respected in the dealer body, took the CEO position at the start of 2014, succeeding John Krafcik, just as Hyundai’s growth was beginning to slow.
While the brand survived and even thrived early in his tenure as sales boss following the Great Recession, it struggled to maintain its pace as falling gasoline prices led the U.S. market to shift away from Hyundai’s bread-and-butter small cars and toward crossovers and SUVs, segments where the brand is weak or nonexistent and where supply shortages have dented sales.
Hyundai’s U.S. sales through November were up 1.3 percent to 707,485 units, excluding the new Genesis luxury brand, which recorded 1,306 units. U.S. sales for the Hyundai make, including models that now fall under the Genesis umbrella, hit a record in 2015 of 761,710 units, up 5 percent from the previous year, but the growth rates are down from double-digit growth in 2010 and 2011.
Zuchowski, a 36-year veteran of the auto industry, joined Hyundai from Mazda North America, where he was vice president of sales and field operations.
Zuchowski’s ultimate successor will oversee the continued development of Genesis in the U.S. and Hyundai’s aggressive move into alternative-fuel vehicles in the U.S., including the launch of its Ioniq sub-brand. Hyundai plans to release 14 new alternative-fuel models in the U.S. by 2020.
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Dave Zuchowski, who joined Hyundai as U.S. sales chief in 2007 and was widely respected in the dealer body, took the CEO position at the start of 2014.
Send us a LetterLOS ANGELES -- Hyundai Motor America has fired CEO Dave Zuchowski for failing to meet internal sales objectives, multiple sources familiar with the situation told Automotive News.
The decision is effective immediately. Jerry Flannery, 59, general counsel and an executive vice president, will be the interim CEO until a successor is chosen. Hyundai said it will begin its search immediately.
Hyundai’s dealer body was informed Tuesday night of the decision.
“We appreciate Dave’s decade of service to Hyundai, especially his leadership as president and CEO, which has made us a stronger organization,” Flannery said in a statement. “I look forward to working closely with our dealers, affiliates, senior management and our talented and hard-working employees across the country to realize Hyundai’s full potential.”
Zuchowski, 58, who joined Hyundai as U.S. sales chief in 2007 and was widely respected in the dealer body, took the CEO position at the start of 2014, succeeding John Krafcik, just as Hyundai’s growth was beginning to slow.
While the brand survived and even thrived early in his tenure as sales boss following the Great Recession, it struggled to maintain its pace as falling gasoline prices led the U.S. market to shift away from Hyundai’s bread-and-butter small cars and toward crossovers and SUVs, segments where the brand is weak or nonexistent and where supply shortages have dented sales.
Hyundai’s U.S. sales through November were up 1.3 percent to 707,485 units, excluding the new Genesis luxury brand, which recorded 1,306 units. U.S. sales for the Hyundai make, including models that now fall under the Genesis umbrella, hit a record in 2015 of 761,710 units, up 5 percent from the previous year, but the growth rates are down from double-digit growth in 2010 and 2011.
Zuchowski, a 36-year veteran of the auto industry, joined Hyundai from Mazda North America, where he was vice president of sales and field operations.
Zuchowski’s ultimate successor will oversee the continued development of Genesis in the U.S. and Hyundai’s aggressive move into alternative-fuel vehicles in the U.S., including the launch of its Ioniq sub-brand. Hyundai plans to release 14 new alternative-fuel models in the U.S. by 2020.
04-07-2017, 01:27 PM
#347
You'll Never Walk Alone
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Hyundai, Kia recall 1.4M cars in Canada, U.S. for possible engine failure
DETROIT – Hyundai and Kia are recalling 1.4 million cars and SUVs in the U.S., Canada and South Korea because the engines can fail and stall, increasing the risk of a crash.
The recall covers some of the Korean automakers’ most popular models in the U.S. and Canada including 2013 and 2014 Hyundai Santa Fe Sport SUVs and Sonata midsize cars. Also covered are Kia Optima midsize cars from 2011 through 2014, Kia Sportage SUVs from 2011 through 2013 and Kia Sorento SUVs from 2012 through 2014.
The South Korean recall includes Hyundai’s Grandeur and Sonata sedans and Kia’s K5, K7 and Sportage with engines produced from 2009 to 2013.
All have either 2-Liter or 2.4-litre gasoline engines. The U.S. engines were made at the Hyundai’s engine plant in Alabama.
The companies say in documents posted Friday by the U.S. National Highway Traffic Safety Administration that debris left from manufacturing can restrict oil flow to connecting rod bearings. Since they are cooled by oil, the restriction can increase temperatures and cause the bearings to wear and fail, and the engines could stall.
Owners will hear a knocking sound from the engine that increases in frequency as the engine speed rises. They also could get engine warning lights on their dashboard, Hyundai spokesman Jim Trainor said. Those with problems should contact their dealers.
Hyundai and Kia will notify owners and dealers will inspect the engines. They’ll replace the block if needed at no cost to owners. The recall is scheduled to start on May 19.
Trainor said the company has no reports of any crashes or injuries.
The U.S. recall is the second in the past two years for the same engine problem. In September of 2015, Hyundai recalled 470,000 Sonata sedans from the 2011 and 2012 model years with the same engines.
Kia documents posted Friday by U.S. regulators show the company at first didn’t think the problem affected its engines because warranty claims and field reports were low. But claims started growing and by May 2016 the company extended warranties on the engines. Eventually it decided to do a recall because of the potential safety problem.
Kia is a smaller affiliate of Hyundai. Together they are the world’s fifth-largest automaker.
The recall covers some of the Korean automakers’ most popular models in the U.S. and Canada including 2013 and 2014 Hyundai Santa Fe Sport SUVs and Sonata midsize cars. Also covered are Kia Optima midsize cars from 2011 through 2014, Kia Sportage SUVs from 2011 through 2013 and Kia Sorento SUVs from 2012 through 2014.
The South Korean recall includes Hyundai’s Grandeur and Sonata sedans and Kia’s K5, K7 and Sportage with engines produced from 2009 to 2013.
All have either 2-Liter or 2.4-litre gasoline engines. The U.S. engines were made at the Hyundai’s engine plant in Alabama.
The companies say in documents posted Friday by the U.S. National Highway Traffic Safety Administration that debris left from manufacturing can restrict oil flow to connecting rod bearings. Since they are cooled by oil, the restriction can increase temperatures and cause the bearings to wear and fail, and the engines could stall.
Owners will hear a knocking sound from the engine that increases in frequency as the engine speed rises. They also could get engine warning lights on their dashboard, Hyundai spokesman Jim Trainor said. Those with problems should contact their dealers.
Hyundai and Kia will notify owners and dealers will inspect the engines. They’ll replace the block if needed at no cost to owners. The recall is scheduled to start on May 19.
Trainor said the company has no reports of any crashes or injuries.
The U.S. recall is the second in the past two years for the same engine problem. In September of 2015, Hyundai recalled 470,000 Sonata sedans from the 2011 and 2012 model years with the same engines.
Kia documents posted Friday by U.S. regulators show the company at first didn’t think the problem affected its engines because warranty claims and field reports were low. But claims started growing and by May 2016 the company extended warranties on the engines. Eventually it decided to do a recall because of the potential safety problem.
Kia is a smaller affiliate of Hyundai. Together they are the world’s fifth-largest automaker.
Hyundai, Kia recall 1.4M cars in Canada, U.S. for possible engine failure - National | Globalnews.ca
06-08-2017, 06:32 AM
#348
Safety Car
AutoNews
http://www.autonews.com/article/2017...gh-sales-month
Hyundai's U.S. sales chief Hatami is out after tough sales month
June 6, 2017 @ 3:04 pmHave an opinion about this story? Click here to submit a Letter to the Editor, and we may publish it in print.
LOS ANGELES -- Derrick Hatami, who rejoined Hyundai Motor America as its U.S. sales chief in 2015 after a brief stint at Nissan, is leaving the company, effective immediately.
His departure was announced to Hyundai employees and dealers on Tuesday. He will take a position at a different company.
Hatami's decision to depart follows the December 2016 firing of Hyundai's U.S. CEO, Dave Zuchowski, and comes on the heels of a tough May for the South Korean automaker, in which Hyundai brand sales dropped 18 percent to 58,259 units. For the year, sales are down 7.5 percent to 283,547 units. The brand's U.S. light-vehicle sales have dropped 6 straight months year over year. Those numbers exclude the new Genesis luxury division, which has sold 8,306 units this year. Hyundai's numbers have been hampered by a shift away from fleet sales, without an offsetting boost in incentive or marketing spending. Also weighing down Hyundai is a car-heavy product mix and tight production capacity for the Santa Fe and Santa Fe Sport crossovers.
Hyundai said it would begin a search for Hatami's successor immediately. In the interim, it said, Sam Brnovich, Hyundai's southern regional general manager, "will support the overall sales organization."
"Derrick served the company well during his time as head of sales and we wish him nothing but success," Hyundai said in a statement to Automotive News.
Hatami, who was selected as an Automotive News Rising Star last year, joined Hyundai in 2005 and worked his way up to general manager of the western region. He left in January 2014 to become Nissan's sales chief, a role he held until September 2015, when he returned to Hyundai to replace Bob Pradzinski as vice president of sales.
LOS ANGELES -- Derrick Hatami, who rejoined Hyundai Motor America as its U.S. sales chief in 2015 after a brief stint at Nissan, is leaving the company, effective immediately.
His departure was announced to Hyundai employees and dealers on Tuesday. He will take a position at a different company.
Hatami's decision to depart follows the December 2016 firing of Hyundai's U.S. CEO, Dave Zuchowski, and comes on the heels of a tough May for the South Korean automaker, in which Hyundai brand sales dropped 18 percent to 58,259 units. For the year, sales are down 7.5 percent to 283,547 units. The brand's U.S. light-vehicle sales have dropped 6 straight months year over year. Those numbers exclude the new Genesis luxury division, which has sold 8,306 units this year. Hyundai's numbers have been hampered by a shift away from fleet sales, without an offsetting boost in incentive or marketing spending. Also weighing down Hyundai is a car-heavy product mix and tight production capacity for the Santa Fe and Santa Fe Sport crossovers.
Hyundai said it would begin a search for Hatami's successor immediately. In the interim, it said, Sam Brnovich, Hyundai's southern regional general manager, "will support the overall sales organization."
"Derrick served the company well during his time as head of sales and we wish him nothing but success," Hyundai said in a statement to Automotive News.
Hatami, who was selected as an Automotive News Rising Star last year, joined Hyundai in 2005 and worked his way up to general manager of the western region. He left in January 2014 to become Nissan's sales chief, a role he held until September 2015, when he returned to Hyundai to replace Bob Pradzinski as vice president of sales.
08-01-2017, 07:01 AM
#349
Race Director
Genesis has suspended vehicle sales, service and marketing in Louisiana indefinitely, citing word from the state's Motor Vehicle Commission that Hyundai Motor America was not properly licensed to sell the luxury brand's vehicles in the state.
The move sets up a battle between Genesis and its Louisiana dealers over whether this amounts to a breach of contract by the automaker. It also could have nationwide implications if other states' licensing requirements trip up Genesis, which Hyundai created in 2015 as a separate luxury company and brand, without setting up a separate U.S. sales channel.
At least one dealer involved is concerned that Hyundai Motor America may welcome the news because the result could be advancing Genesis' goal of reducing its dealership count nationwide.
The problem arose in June when Genesis General Manager Erwin Raphael told Louisiana dealers during a conference call that Genesis' business model was changing and as a result, just two points in the state — reserved for Baton Rouge and New Orleans — would sell the brand, down from 13.
An account of the call was provided to Automotive News by Ryan Navarre, president of Billy Navarre Hyundai of Lake Charles, who was on the call, and Claude Reynaud, Louisiana Automobile Dealers Association general counsel, who was briefed by two other dealers on the call.Let us now quote from the Book of (Hyundai) Genesis: In the beginning, (like, in the ‘80s) there was The Hyundai and, frankly, it was initially bad, for the quality was nay onto not there. And ...
The move would have given the culled stores 30 days to remove signage, suspend marketing and sales and stop taking service orders from Genesis customers.
Dealers on the call balked at the idea, according to Navarre, having spent tens of thousands of dollars to improve sales and service areas to Genesis' standards — and previously to Equus standards to be eligible to sell what was then the Hyundai brand's top-line car — and because of customers who would be left in the lurch.
Besides, Reynaud said, the proposal wasn't legal.
Genesis could have wiped the slate clean and pulled out of Louisiana altogether, after settling with each affected dealer.
"The difference here is they're talking about retaining two dealers, so what they're doing is treating the dealers differently, and that is strictly forbidden by our law," Reynaud told Automotive News.
Genesis' desire to reduce its 352-dealer count is no secret. "I definitely want to get below 300," Raphael told Automotive News in August 2016. The automaker cites Lexus, which has about 237, as an enviable target.
License issue
Several weeks after the conference call, the situation took another turn, one with a potentially far-reaching impact and cost for Genesis and Hyundai Motor America nationwide.
On July 20, Raphael sent a letter to Genesis stores in Louisiana notifying dealers that the automaker was immediately halting the shipment of Genesis vehicles to the state. The letter cited the company's lack of a license to sell Genesis vehicles in the state as the reason.
This was the result of Hyundai Motor America moving quickly to set up the brand, according to Genesis' global head, Manfred Fitzgerald."Everything happened at a fast pace," Fitzgerald told Automotive News. "I think it was an oversight."
Yet Hyundai Motor America has known of the situation for at least 10 months, according to a company spokesman. Genesis is looking into other states where it may also be improperly licensed to sell vehicles.
Hyundai Motor America didn't make Raphael or other executives available to comment last week. In a statement, the company said, "Genesis respects the concerns of the Louisiana Motor Vehicle Commission and is taking all necessary steps so Genesis sales can resume in the state."
In the July 20 letter, a copy of which Automotive News obtained, Raphael alerted the dealers that they would hear separately from the Motor Vehicle Commission about the dealerships' lack of an appropriate license. In Louisiana, automakers and dealers need state licenses to add a brand.
The Motor Vehicle Commission's letter went out a day later. It summoned dealers to an informal conference with the commission in September ahead of a formal hearing scheduled for November, and gave them 10 days to file a written reply and avoid a default judgment. The commission didn't respond to multiple requests for comment last week.
In the meantime, many affected Louisiana dealers are considering legal action against Genesis to recoup costs associated with floorplanning interest charges on the vehicles they are prohibited from selling as well as lost service income.
Raphael, in his letter to dealers, pledged to address the problem. "HMA recognizes its responsibilities in that regard and intends to address them," he wrote.
If the Motor Vehicle Commission "considers this an egregious action on the part of Hyundai, it could be a large fine in the realm of large fines," Reynaud said, adding that Genesis could be forced to pay from $10,000 to seven figures to the state.
Liability to dealers is another matter.
"Having said they're a manufacturer and not having their license, that's a breach of contract," Reynaud said.
"In addition to everything else, that could be a civil suit, not just an action before the Motor Vehicle Commission."
Navarre, for his part, sees a more sinister motive behind Genesis' actions. With dealers facing potential Motor Vehicle Commission fines and legal costs for challenging the Louisiana ruling and Hyundai Motor America, "my opinion is that dealers will start saying 'These legal bills are so high so I'm just going to back off,' " Navarre said.
'Mind-blowing'
The end result would be Genesis reducing its dealer network — just as it has wanted, Navarre said. "It's mind-blowing," he said. "I've never seen anything like this in 25 years."
Fitzgerald said, "Right now we are examining the dealer body with an eye toward optimizing it in the future," but said the licensing debacle was all a misunderstanding on Genesis' part.
"I don't think there was any intent behind it," he said.
Hyundai Motor America's statement called Genesis' store-within-a-store a "temporary arrangement," adding that a process to develop a distinct Genesis dealer body is "underway and will unfold in stages."
Read more: Genesis barred from selling in Louisiana
The move sets up a battle between Genesis and its Louisiana dealers over whether this amounts to a breach of contract by the automaker. It also could have nationwide implications if other states' licensing requirements trip up Genesis, which Hyundai created in 2015 as a separate luxury company and brand, without setting up a separate U.S. sales channel.
At least one dealer involved is concerned that Hyundai Motor America may welcome the news because the result could be advancing Genesis' goal of reducing its dealership count nationwide.
The problem arose in June when Genesis General Manager Erwin Raphael told Louisiana dealers during a conference call that Genesis' business model was changing and as a result, just two points in the state — reserved for Baton Rouge and New Orleans — would sell the brand, down from 13.
An account of the call was provided to Automotive News by Ryan Navarre, president of Billy Navarre Hyundai of Lake Charles, who was on the call, and Claude Reynaud, Louisiana Automobile Dealers Association general counsel, who was briefed by two other dealers on the call.Let us now quote from the Book of (Hyundai) Genesis: In the beginning, (like, in the ‘80s) there was The Hyundai and, frankly, it was initially bad, for the quality was nay onto not there. And ...
The move would have given the culled stores 30 days to remove signage, suspend marketing and sales and stop taking service orders from Genesis customers.
Dealers on the call balked at the idea, according to Navarre, having spent tens of thousands of dollars to improve sales and service areas to Genesis' standards — and previously to Equus standards to be eligible to sell what was then the Hyundai brand's top-line car — and because of customers who would be left in the lurch.
Besides, Reynaud said, the proposal wasn't legal.
Genesis could have wiped the slate clean and pulled out of Louisiana altogether, after settling with each affected dealer.
"The difference here is they're talking about retaining two dealers, so what they're doing is treating the dealers differently, and that is strictly forbidden by our law," Reynaud told Automotive News.
Genesis' desire to reduce its 352-dealer count is no secret. "I definitely want to get below 300," Raphael told Automotive News in August 2016. The automaker cites Lexus, which has about 237, as an enviable target.
Hyundai's M.O. -- building gas-sipping, affordable cars -- has served it well for 30-some years. Launching the Genesis sub-brand is a whole other kettle of fish, though, pitting the company ...
License issue
Several weeks after the conference call, the situation took another turn, one with a potentially far-reaching impact and cost for Genesis and Hyundai Motor America nationwide.
On July 20, Raphael sent a letter to Genesis stores in Louisiana notifying dealers that the automaker was immediately halting the shipment of Genesis vehicles to the state. The letter cited the company's lack of a license to sell Genesis vehicles in the state as the reason.
This was the result of Hyundai Motor America moving quickly to set up the brand, according to Genesis' global head, Manfred Fitzgerald."Everything happened at a fast pace," Fitzgerald told Automotive News. "I think it was an oversight."
Yet Hyundai Motor America has known of the situation for at least 10 months, according to a company spokesman. Genesis is looking into other states where it may also be improperly licensed to sell vehicles.
Hyundai Motor America didn't make Raphael or other executives available to comment last week. In a statement, the company said, "Genesis respects the concerns of the Louisiana Motor Vehicle Commission and is taking all necessary steps so Genesis sales can resume in the state."
In the July 20 letter, a copy of which Automotive News obtained, Raphael alerted the dealers that they would hear separately from the Motor Vehicle Commission about the dealerships' lack of an appropriate license. In Louisiana, automakers and dealers need state licenses to add a brand.
The Motor Vehicle Commission's letter went out a day later. It summoned dealers to an informal conference with the commission in September ahead of a formal hearing scheduled for November, and gave them 10 days to file a written reply and avoid a default judgment. The commission didn't respond to multiple requests for comment last week.
In the meantime, many affected Louisiana dealers are considering legal action against Genesis to recoup costs associated with floorplanning interest charges on the vehicles they are prohibited from selling as well as lost service income.
Raphael, in his letter to dealers, pledged to address the problem. "HMA recognizes its responsibilities in that regard and intends to address them," he wrote.
Because Hyundai Motor America had been shipping vehicles to Louisiana and allowing them to be sold by dealers without proper licensing, the fallout could get costlier for the automaker.
If the Motor Vehicle Commission "considers this an egregious action on the part of Hyundai, it could be a large fine in the realm of large fines," Reynaud said, adding that Genesis could be forced to pay from $10,000 to seven figures to the state.
Liability to dealers is another matter.
"Having said they're a manufacturer and not having their license, that's a breach of contract," Reynaud said.
"In addition to everything else, that could be a civil suit, not just an action before the Motor Vehicle Commission."
Navarre, for his part, sees a more sinister motive behind Genesis' actions. With dealers facing potential Motor Vehicle Commission fines and legal costs for challenging the Louisiana ruling and Hyundai Motor America, "my opinion is that dealers will start saying 'These legal bills are so high so I'm just going to back off,' " Navarre said.
"They'll either take some small settlement [from Genesis] and lose money on it or just get tired of fighting it."
'Mind-blowing'
The end result would be Genesis reducing its dealer network — just as it has wanted, Navarre said. "It's mind-blowing," he said. "I've never seen anything like this in 25 years."
Fitzgerald said, "Right now we are examining the dealer body with an eye toward optimizing it in the future," but said the licensing debacle was all a misunderstanding on Genesis' part.
"I don't think there was any intent behind it," he said.
Hyundai Motor America's statement called Genesis' store-within-a-store a "temporary arrangement," adding that a process to develop a distinct Genesis dealer body is "underway and will unfold in stages."
Read more: Genesis barred from selling in Louisiana
08-01-2017, 07:49 AM
#350
Senior Moderator
Dumb, just plain Dumb.
08-01-2017, 07:04 PM
#351
Team Owner
don't they have a RA department that does just that.... to comply with local regulations? 
but you know... who knows if there is more to it than what we read. Maybe they did it on purpose.
but damn this will give SSFTSX fresh materials about how Hyundai is not as ethical as Honda.
but you know... who knows if there is more to it than what we read. Maybe they did it on purpose.
but damn this will give SSFTSX fresh materials about how Hyundai is not as ethical as Honda.
08-01-2017, 07:13 PM
#352
Honda profit last quarter almost three time H/K group and gross revenues were 50% higher and this despite much lower unit quantity sales and carrying Acura brand and much more R&D.
Agnes Yeh hello?
Agnes Yeh hello?
http://www.autonews.com/article/2017...-sales-decline
The Korean duo sold 110,466 vehicles, down 18 percent for the month and 10 percent for the year. And Hyundai-Kia is still looking for its first monthly sales gain of 2017.
The Korean duo sold 110,466 vehicles, down 18 percent for the month and 10 percent for the year. And Hyundai-Kia is still looking for its first monthly sales gain of 2017.
08-02-2017, 06:41 PM
#353
Team Owner
Are you saying Honda is ripping us off by making too much $$ per car sold or are you saying that H/K is too modest by making less $ per car, so their customer could afford more?
08-10-2017, 06:38 AM
#354
Race Director
Hyundai’s fledgling Genesis marque wants out of the nest — now.
This month, the brand plans to announce a new retail strategy for the U.S. that will accelerate its separation from the Hyundai marque and significantly cut the number of dealerships authorized to sell Genesis models.
The transition, which was supposed to be several years off, likely will be messy and costly for Hyundai and the culled Genesis dealers. It comes less than two years after Hyundai announced the creation of the Genesis brand, barely a year after it officially put the G80 and G90 sedans on sale and just ahead of the launch of a critical new vehicle, a BMW 3-series fighter called the G70.
And it will require a delicate dance by Hyundai Motor America to protect its relationships with castoff dealers, who will retain their Hyundai franchises after the dust settles.
“We don’t see a path forward without a good, strong dealer network that’s also profitable,” Genesis General Manager Erwin Raphael told Automotive News. “And we sometimes have to make very difficult decisions in the short run in order to ensure that we take care of our ... dealers in the long run.”
Genesis plans to have the framework in place by the middle of next year, it says.
The planned reset comes amid a debacle in Louisiana, where Hyundai Motor America last month grounded all sales of Genesis vehicles after allegations from the state’s Motor Vehicle Commission that the automaker and the dealers lacked proper licenses to sell vehicles under the new brand. A month earlier, dealers said, Hyundai had outlined plans to trim its Genesis network in the state to just two dealers from 13.
The automaker has nearly completed the paperwork to put it in good standing with the commission, Raphael said, attributing the problem to a hasty ramp-up.
Tangled web
Genesis’ retail network is a bit of a tangle, owing to its awkward start as a Hyundai nameplate and then a distinct brand that absorbed two Hyundai luxury models. Hyundai allows any of its 835 dealerships nationwide to sell the Genesis G80 sedan, which was formerly called the Hyundai Genesis. Of those stores, 352 also have opted to carry the larger G90 sedan, which requires them to create a showroom-within-a-showroom for the Genesis brand.
This select group emerged from Hyundai’s efforts to create a special retail environment for a top-of-the-line model that was called the Hyundai Equus before Genesis became its own marque.
Under the original plan, Genesis-only stores were to be phased in two to three years after Genesis started selling vehicles last August. Genesis planned to use them concurrently with the showroom-within-a-showroom setup, along with some dealerships that had separate sales facilities for Hyundai and Genesis but shared service centers. Those Hyundai dealers selling the G80 were then to be phased out when the next generation of the car arrived around 2019.The updated plan moves that timetable forward by one to two years and will focus solely on separating the two makes, though details haven’t yet been made available to dealers, Raphael said.
It will shift from the store-within-a-store approach to a distinct Genesis presence.
Hyundai dealers will be allowed to apply for Genesis franchises, with priority given to locations in and around urban areas.
Only full Genesis franchisees will be able to do warranty repairs on Genesis vehicles, a condition that’s certain to be a sticking point with dealers, who had expected to be able to do factory-paid warranty work on Genesis vehicles under the previous plan.
“For this brand to really survive and thrive, and for us to develop the culture within ourselves and within our dealer network to support and take care of these customers, we do in fact have to expedite our process of separating our brands,” Raphael said.Genesis has sold 11,563 vehicles this year through July.
Raphael declined to say how many stores Genesis wanted, though the number is expected to be significantly smaller than the 352 that carry the G90, according to several Hyundai dealers.
Genesis has retained outside legal counsel — which it declined to identify — to help it extricate itself from agreements with dealers who invested considerable time and money in the Genesis brand. The automaker also has hired a trio of outside consulting agencies to help it properly set up the new dealer plan, a spokesman said.
Customers balk
Raphael said the decision to fast-track Genesis’ separation came after feedback from Genesis dealers indicated that a smaller retail network was necessary to maximize profits.
He also cited data from customer clinics showing that buyers disliked the idea of shopping for a $50,000 or $60,000 luxury vehicle at a Hyundai showroom amid Elantras and Accents.
That posed a sensitive problem as Genesis prepares to launch its first new vehicle, the G70 sedan, which is expected to debut this year and be on sale in the U.S. in early 2018. Raphael said the timing of the new strategy wasn’t tied to the G70 launch.
Trimming the dealer network has long been a goal of Genesis execs. The problem, Raphael said, is that while most Genesis dealers agree on the need for fewer storefronts, no one wants to give up the franchise.
That much was clear to execs even at the dawn of Genesis, which raises the question of why the company required retailers to spend thousands of dollars on dealership improvements, new hires and training, service and parts upgrades and marketing, only to have to scale them back later.
The answer, says Andrew DiFeo, chairman of the Hyundai National Dealer Council, was haste in getting the luxury brand off the ground.
“The directive to launch the brand trumped that,” said DiFeo, whose St. Augustine, Fla., Hyundai store carries Genesis vehicles. “At the time, this was maybe the easiest, least-painful route in the short term. But it affected the brand negatively in the long term.”
Read more: Genesis distancing itself from Hyundai even faster: Getting its own dealerships
This month, the brand plans to announce a new retail strategy for the U.S. that will accelerate its separation from the Hyundai marque and significantly cut the number of dealerships authorized to sell Genesis models.
The transition, which was supposed to be several years off, likely will be messy and costly for Hyundai and the culled Genesis dealers. It comes less than two years after Hyundai announced the creation of the Genesis brand, barely a year after it officially put the G80 and G90 sedans on sale and just ahead of the launch of a critical new vehicle, a BMW 3-series fighter called the G70.
And it will require a delicate dance by Hyundai Motor America to protect its relationships with castoff dealers, who will retain their Hyundai franchises after the dust settles.
“We don’t see a path forward without a good, strong dealer network that’s also profitable,” Genesis General Manager Erwin Raphael told Automotive News. “And we sometimes have to make very difficult decisions in the short run in order to ensure that we take care of our ... dealers in the long run.”
Genesis plans to have the framework in place by the middle of next year, it says.
The planned reset comes amid a debacle in Louisiana, where Hyundai Motor America last month grounded all sales of Genesis vehicles after allegations from the state’s Motor Vehicle Commission that the automaker and the dealers lacked proper licenses to sell vehicles under the new brand. A month earlier, dealers said, Hyundai had outlined plans to trim its Genesis network in the state to just two dealers from 13.
The automaker has nearly completed the paperwork to put it in good standing with the commission, Raphael said, attributing the problem to a hasty ramp-up.
Tangled web
Genesis’ retail network is a bit of a tangle, owing to its awkward start as a Hyundai nameplate and then a distinct brand that absorbed two Hyundai luxury models. Hyundai allows any of its 835 dealerships nationwide to sell the Genesis G80 sedan, which was formerly called the Hyundai Genesis. Of those stores, 352 also have opted to carry the larger G90 sedan, which requires them to create a showroom-within-a-showroom for the Genesis brand.
This select group emerged from Hyundai’s efforts to create a special retail environment for a top-of-the-line model that was called the Hyundai Equus before Genesis became its own marque.
Under the original plan, Genesis-only stores were to be phased in two to three years after Genesis started selling vehicles last August. Genesis planned to use them concurrently with the showroom-within-a-showroom setup, along with some dealerships that had separate sales facilities for Hyundai and Genesis but shared service centers. Those Hyundai dealers selling the G80 were then to be phased out when the next generation of the car arrived around 2019.The updated plan moves that timetable forward by one to two years and will focus solely on separating the two makes, though details haven’t yet been made available to dealers, Raphael said.
It will shift from the store-within-a-store approach to a distinct Genesis presence.
Hyundai dealers will be allowed to apply for Genesis franchises, with priority given to locations in and around urban areas.
Only full Genesis franchisees will be able to do warranty repairs on Genesis vehicles, a condition that’s certain to be a sticking point with dealers, who had expected to be able to do factory-paid warranty work on Genesis vehicles under the previous plan.
“For this brand to really survive and thrive, and for us to develop the culture within ourselves and within our dealer network to support and take care of these customers, we do in fact have to expedite our process of separating our brands,” Raphael said.Genesis has sold 11,563 vehicles this year through July.
Raphael declined to say how many stores Genesis wanted, though the number is expected to be significantly smaller than the 352 that carry the G90, according to several Hyundai dealers.
Genesis has retained outside legal counsel — which it declined to identify — to help it extricate itself from agreements with dealers who invested considerable time and money in the Genesis brand. The automaker also has hired a trio of outside consulting agencies to help it properly set up the new dealer plan, a spokesman said.
Customers balk
Raphael said the decision to fast-track Genesis’ separation came after feedback from Genesis dealers indicated that a smaller retail network was necessary to maximize profits.
He also cited data from customer clinics showing that buyers disliked the idea of shopping for a $50,000 or $60,000 luxury vehicle at a Hyundai showroom amid Elantras and Accents.
That posed a sensitive problem as Genesis prepares to launch its first new vehicle, the G70 sedan, which is expected to debut this year and be on sale in the U.S. in early 2018. Raphael said the timing of the new strategy wasn’t tied to the G70 launch.
Trimming the dealer network has long been a goal of Genesis execs. The problem, Raphael said, is that while most Genesis dealers agree on the need for fewer storefronts, no one wants to give up the franchise.
That much was clear to execs even at the dawn of Genesis, which raises the question of why the company required retailers to spend thousands of dollars on dealership improvements, new hires and training, service and parts upgrades and marketing, only to have to scale them back later.
The answer, says Andrew DiFeo, chairman of the Hyundai National Dealer Council, was haste in getting the luxury brand off the ground.
“The directive to launch the brand trumped that,” said DiFeo, whose St. Augustine, Fla., Hyundai store carries Genesis vehicles. “At the time, this was maybe the easiest, least-painful route in the short term. But it affected the brand negatively in the long term.”
Read more: Genesis distancing itself from Hyundai even faster: Getting its own dealerships
02-04-2020, 10:00 AM
#355
Moderator
https://www.autoblog.com/2020/02/03/...e-maintenance/
Hyundai used the Super Bowl spotlight to show off its “Smaht Pahk” feature on the 2020 Hyundai Sonata, but there was one other commercial that ran before the game even started. This one highlighted Hyundai’s new complimentary maintenance program, good for three years or 36,000 miles.
Luxury automakers are typically the only ones to offer free maintenance programs that are this extensive, and in many cases they don’t even last as long as Hyundai’s now does. So long as you purchase a 2020 model year Hyundai, and it was done after February 1 this year, you’ll be able to take advantage of the program. It covers oil changes, filter changes and tire rotations in that timespan — the program applies to both purchased and leased vehicles. The commercial that introduced the program ran during pregame, but it wasn’t anywhere near as entertaining as the Smaht Pahk feature we got to watch during the Super Bowl.
We took a lap around the industry to see how this perk compared to other brands. As we suspected, Hyundai is looking mighty impressive for a non-luxury brand now. The three-year plan length is matched by BMW, Genesis and Volvo. Jaguar has an impressive five-year/50,000-mile program, and Lincoln’s Black Label vehicles are nearly as good with a four-year/50,000-mile plan. Beyond those programs, not much else can compete. Some manufacturers offer two-year programs like Toyota, Lexus, and Subaru. Meanwhile, others only give you one free maintenance visit like Chevy, GMC, Buick, Cadillac and Alfa Romeo.
As of now, there’s still no news on whether or not Kia will introduce the same maintenance program as Hyundai for all of its vehicles. The K900 has previously come with a complimentary three-year plan, but that hasn’t been applied to the rest of the lineup. As Kia continues to ship more premium vehicles like the Stinger and Telluride, we wouldn’t be surprised if it adopts the same program.
Luxury automakers are typically the only ones to offer free maintenance programs that are this extensive, and in many cases they don’t even last as long as Hyundai’s now does. So long as you purchase a 2020 model year Hyundai, and it was done after February 1 this year, you’ll be able to take advantage of the program. It covers oil changes, filter changes and tire rotations in that timespan — the program applies to both purchased and leased vehicles. The commercial that introduced the program ran during pregame, but it wasn’t anywhere near as entertaining as the Smaht Pahk feature we got to watch during the Super Bowl.
We took a lap around the industry to see how this perk compared to other brands. As we suspected, Hyundai is looking mighty impressive for a non-luxury brand now. The three-year plan length is matched by BMW, Genesis and Volvo. Jaguar has an impressive five-year/50,000-mile program, and Lincoln’s Black Label vehicles are nearly as good with a four-year/50,000-mile plan. Beyond those programs, not much else can compete. Some manufacturers offer two-year programs like Toyota, Lexus, and Subaru. Meanwhile, others only give you one free maintenance visit like Chevy, GMC, Buick, Cadillac and Alfa Romeo.
As of now, there’s still no news on whether or not Kia will introduce the same maintenance program as Hyundai for all of its vehicles. The K900 has previously come with a complimentary three-year plan, but that hasn’t been applied to the rest of the lineup. As Kia continues to ship more premium vehicles like the Stinger and Telluride, we wouldn’t be surprised if it adopts the same program.
02-04-2020, 11:11 AM
#356
Clearly the Koreans are much better at reading the writing on the wall as compared to Japanese.
Free oil changes are going to be the norm going forward until the world of fossil fuel technology collapses.
That’ll give some time for dealerships to adapt to the new world (if they exist at all).
Free oil changes are going to be the norm going forward until the world of fossil fuel technology collapses.
That’ll give some time for dealerships to adapt to the new world (if they exist at all).
The following users liked this post:
Comfy (02-04-2020)
02-04-2020, 12:54 PM
#358
Moderator
AFAIK, MBZ has always been an extra cost pkg for pre-paid maintenance.
At $3-700 (location depending) for an A/B svc, I can see why people pre-pay it.
At $3-700 (location depending) for an A/B svc, I can see why people pre-pay it.
The following 2 users liked this post by 00TL-P3.2:
charliemike (02-04-2020),
Comfy (02-04-2020)
02-10-2020, 04:26 PM
#359
Intermediate
Clearly the Koreans are much better at reading the writing on the wall as compared to Japanese.
Free oil changes are going to be the norm going forward until the world of fossil fuel technology collapses.
That’ll give some time for dealerships to adapt to the new world (if they exist at all).
Free oil changes are going to be the norm going forward until the world of fossil fuel technology collapses.
That’ll give some time for dealerships to adapt to the new world (if they exist at all).
12-10-2020, 01:35 PM
#360
Moderator
https://www.cnet.com/roadshow/news/h...pot-dog-robot/
Hey, remember those deeply unsettling robot dogs that have been creeping out the internet for years and recently went into production? Well, the company that makes them is called Boston Dynamics, and according to a report published Wednesday by The Korea Economic Daily, it just got bought by Hyundai for around $921 million.
Yes, the very same Hyundai that's hammering out eye-catching and affordable automobiles for you to buy will now be getting deeper into the robot business with an eye on future mobility. Does this mean we'll get self-driving cars sooner, or will we get a robot to help us pedal our tandem bikes? Who knows?
In reality, this will probably be a leg up for the company in designing industrial robots or robots meant for use in logistics -- as we've seen from Boston Dynamics' non-techno-canine offerings, Handle and Atlas.
This acquisition is the first to be helmed by Hyundai's new chairperson Chung Euisun since he took the job back in October, and rumors of the buyout have been circulating since early November.
Hyundai didn't respond to Roadshow's request for comment in time for publication.
Yes, the very same Hyundai that's hammering out eye-catching and affordable automobiles for you to buy will now be getting deeper into the robot business with an eye on future mobility. Does this mean we'll get self-driving cars sooner, or will we get a robot to help us pedal our tandem bikes? Who knows?
In reality, this will probably be a leg up for the company in designing industrial robots or robots meant for use in logistics -- as we've seen from Boston Dynamics' non-techno-canine offerings, Handle and Atlas.
This acquisition is the first to be helmed by Hyundai's new chairperson Chung Euisun since he took the job back in October, and rumors of the buyout have been circulating since early November.
Hyundai didn't respond to Roadshow's request for comment in time for publication.