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Is There Room in the Luxury Market for Hyundai?

4250 messages, Last post on Dec 04, 2009 at 6:46 AM
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Replying to: fintail (Jul 03, 2007 9:17 am) |
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1. Would the market support a Hyundai-badged luxury vehicle? 2. Would the market support a new luxury brand positioned under the Hyundai umbrella (ala Acura, Infiniti, Lexus)? IMO there's little if any doubt that a luxury (or "near-luxury") car such as the upcoming Genesis will be successful. I'm betting that demand will be such that it will be tough to get one for the first year of production, especially the V8 version. As for the addition of another brand, it would be a huge undertaking that would cost boatloads of $$$. To do it properly would require a new dealer network and an unsurpassed level of execution at all levels. With the enormous investment that would be required, I don't see it happening. |
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Replying to: fintail (Jul 03, 2007 9:17 am) Datsun changed to Nissan for a better perception. Toyota did well with lexus out of the gate. Infiniti didn't do so well until they got rid of the boring designs and got serious about competing. Back to the original question - what constitutes Luxury? If it is higher levels of construction, engineering, safety, comfort, convenience features and toys, then all todays modern cars could compete. But they wouldn't have the Cachet or Image that Merecdes, Jaguar, BMW , Volvo, Saab, Cadillac, Lincoln used to have. These brands are no longer so far out in front of the pack.(Jaguar and Saab have already gone the way of the Dodo, Cadillac kinda successfully revamped it's image). They were the brands considered the most expensive, sexiest, quietest, safest, most reliable and well built up to 100K miles - not any more. I remember seeing my first BMW in the early 70's and they looked horrible - weird rounded corner little things, with sparse interiors - "you paid how much for that?". They evolved into the cars they are today, just as Hyundai is evolving. If Hyundai was to re-brand and create a new image, then IMHO they have already shown they can compete with quality of build and design. If they continue to consistently win awards, then they will almost surely want to upgrade their vehicles- It's the way of Marketing spin and getting to the top of the food chain that counts in the financial world. As it stands now, They have more to gain while the others have more to lose. In any event, it ain't gonna happen soon - maybe 5 years? |
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Just did a Hyundai survey on a name for the "Genesis" model. My first choice was Geneva (Genesis was NOT an option). Others were Epsilon, Talus, Isis, and Zeta. As a VERY happy Azera owner, yes I would more than consider a Genesis in a couple of years. |
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Replying to: fintail (Jul 03, 2007 9:17 am) The Veracruz Limited with the Ultimate package had a window sticker price of $36k. It suffers from the same thing I found in the new MDX and Caddy SRX, rather hard uncomfortable seats. The 3rd row was roomier than most 7 passenger SUVs. Still just for kids. Just as a side note. The salesman at the VW/Hyundai dealership, told me he sells 3 Hyundais to every VW. The lot was filled with VWs of every model. One row of Hyundais. They just got this Veracruz Limited prepped this morning. I could live with it if it was a diesel. I am still leaning toward the ML or GL diesel. I took the Grand Cherokee Limited with diesel off my list after trying to get comfortable in the back seat. Unless the driver is a real short person you have very little leg room in the back seat.
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Replying to: gagrice (Jul 03, 2007 11:49 am)
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Replying to: carbuyer11 (Jul 03, 2007 4:03 pm) |
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Replying to: docrw (Jul 03, 2007 8:47 am) We get a smattering of highly optioned Mercedes diesels to buy in this country...a very small market for Mercedes here. This is because of American's dislike for diesel cars in general but also because diesel fuel is not priced advantageously here as it is in *most* of Europe. The diesel engine does not define luxury in Mercedes, or even support it I dont' think. It's just a practical solution to a market situation in Europe that we don't have here. Mercedes use of diesel goes back to the 1930s. Now if Lexus, Jaguar and Cadillac all came out with diesel cars in America (that'll be the day), then I might change my mind about Hyundai doing the same. As for VW, their reputation doesn't help the diesel cause at all. And Benz has been staggering around in the reliability department as well. If this keeps up, Americans may come to associate the diesel engine with problems not pleasure. I wouldn't go there if I was Hyundai. I'd keep diesels in cheap cars and compete with VW and kick their butts. And maybe a turbo diesel SUV in the mid-range, say $35K. But not into the luxury range.
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Replying to: Mr_Shiftright (Jul 03, 2007 6:59 pm) Americans associate diesels with loud and dirty engines, and most of those are in the past. More and more automakers are expected to release diesel variants of their cars, SUVs, and trucks, including Hyundai, by the end of the decade, despite tough emission laws. I recall Hyundai officials stating their diesels would be an $1,000 option (not sure which model it would apply), and if that's the case, the diesel option not only would work out the price difference upfront in a very short period of time, it would also provide savings much much faster than any current hybrid on the market. In short, I am all for diesel, from cars at the luxury level to the mainstream level.
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Replying to: joe97 (Jul 03, 2007 8:19 pm) That said after sitting in the Veracruz yesterday I would put it on my list if they were to come up with a diesel version. I will NEVER buy a new gas vehicle again. That 2005 GMC hybrid is the last gasp for gas power in my garage. |
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