Is There Room in the Luxury Market for Hyundai?

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Comments

  • captain2captain2 Member Posts: 3,971
    perhaps - a corollary of Murphy's Law - the more complicated something is, the more likely it is to break! Of course, an economy car would be more 'reliable' than a luxury car.
  • tjc78tjc78 Member Posts: 17,061
    I don't think there are unnecessarily high prices for any car that sells. An S-class is expensive, but my local dealer hasn't had any screamer ads or sweetheart lease deals to clear out the last of the 09s, so the market must accept the prices - and in that they are correct. It may be a certain someone's opinion that prices are too high...but a Genesis isn't cheap either. If it sells, it's OK.

    I see a lot more S-class Mercedes than I do Genesis. Being a Genesis owner I do look for them.

    A quick example of how a lux buyer thinks with this quick little story: The owner of the company I work for raved about my new Genesis. He thought it was a new Infiniti or something along those lines. I knew he was in the market for a new car so, I jokingly said go grab a Genesis and save some money. Did he? Of course not....a 7 series Bimmer. I complimented him on his car and never asked why.... but I am sure he didn't want to go from a Mercedes SL to a Hyundai. No matter how nice it is.

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  • fintailfintail Member Posts: 58,500
    There have been western automotive joint ventures in China for what, 15 years now? Albeit most of the cars made there under these schemes weren't cutting edge technology, but they were worlds better than the existing technology. The Chinese auto scene isn't exactly 100% homebuilt, and it would be a lot lower without western influence. It's easier to copy a look than a technology. Hiowever, with the west willing to sell itself out in the name of short term profits, China could embrace first world technology without a huge hassle. Then via use of a serfdom labor market, actual cars could be built cheaply....but at what price.
  • fintailfintail Member Posts: 58,500
    Although the Genesis has been a success, the swoopy H hasn't endeared it to every demographic. I don't know if that will ever change, until the model becomes a brand.

    I have nothing against the car, but I still like some sport with my luxury, and I don't think they are tuned for that yet :shades:
  • tjc78tjc78 Member Posts: 17,061
    but I still like some sport with my luxury

    That is my biggest complaint with the car. The suspension is too much of a compromise. Not enough plushness in ride (think Avalon, ES350 etc) and OTOH not enough firmness to call it a sports sedan. They really should tweak the suspension for a soft compliant ride (my choice) and offer an all out sports suspension for the BMW/Infiniti crowd.

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  • fintailfintail Member Posts: 58,500
    You're exactly right. It shouldn't be a huge hassle to offer different suspension packages - maybe that's just an area H doesn't have much experience in yet.

    My E55 has a ridiculously harsh ride for something of its size - but it sure handles well, and it's smooth as glass on the highway. I'm still liking this kind of setup, although in time I know I will want something softer.
  • ateixeiraateixeira Member Posts: 72,587
    I remember the Mazda Millenia. My friend owned one.

    Originally they were supposed to create a division called Amati, IIRC, but it never materialized.
  • ateixeiraateixeira Member Posts: 72,587
    Right now the Indians make a marginally competitive tiny car that would never catch on in NA

    The Nano gets all the headlines but Tata also makes big SUVs, about the size of a Trooper or the old Montero.

    The kind of truck people traded in during the Cash for Clunkers program. :D
  • fintailfintail Member Posts: 58,500
    Maybe they could sell it as a "retro SUV" :P
  • houdini1houdini1 Member Posts: 8,356
    The Acura RL thru model year 2004 was a really nice car that I would take over a comparable Mercedes or BMW any day.

    For whatever reason whoever does the design work for Acura apparently lost their minds starting in 2005. Now they have gone all out with "the beak" and quasi futuristic styling that just looks horrible. Most people run screaming from the Acura dealers when they see one.

    2013 LX 570 2016 LS 460

  • backybacky Member Posts: 18,949
    ...as it would be today spending the extra money on one of those real luxury cars

    Ah, but in order to be comfortable spending the extra money on a "real" luxury car, as you say, I would have to be convinced that the difference in the cars was worth the extra money, to me. That was clearly the case between the 1988 Excel and 1988 Civic LX. Today, Hyundai has narrowed the gap with the J3 et. al. so much that it would not be worth it, to me, to pay the "brand" premium for something else compared to the Genesis, if that is the kind of car I was looking to buy. And the long warranty would be just gravy.
  • backybacky Member Posts: 18,949
    perhaps - a corollary of Murphy's Law - the more complicated something is, the more likely it is to break! Of course, an economy car would be more 'reliable' than a luxury car.

    Hogwash. The Elantra has a cruise control and ECU just like the Lexus does (in fact, for several years Lexus used the exact same cruise control switch on the steering column as did the Elantra). Are you saying Lexus should be excused for building a car that is less reliable in those respects than a Korean economy car?
  • backybacky Member Posts: 18,949
    ...only that it ("checkered history") is one of the reasons that Hyundai can never be a luxury brand.

    Never? That is a REAL long time. You know the, "I think, therefore I am" saying? How about, "They sell, therefore it is."?

    It's surprising that you have a real long memory regarding Korean cars from 15-20 years ago but then talk about the Chinese coming in and cleaning up on Hyundai. We know that you, for one, would never buy a Chinese car because you remember so well what happened when Hyundai entered the US market 23 years ago, and you haven't forgiven them for that. So you would never buy a car in a similar situation, right? And if you believe many people are like you and haven't forgiven Hyundai for their actions of 20 years ago, then the Chinese automakers are doomed to fail in the US.

    Unless... not that many people have such a long memory...
  • blckislandguyblckislandguy Member Posts: 1,150
    Substance? This the smoke and mirrors segment of the market. Everyone with any sense agrees that the German cars have lousy reliability and are over priced. On top of all that the S Class and 7 Series boards are full of people complaining about lousy customer service. Yet they sell.
  • fintailfintail Member Posts: 58,500
    What quantifies "lousy" reliability" As far as I know the current S and 7er have been fine. There are problems in the past, but both companies are learning their lessons.

    Drive one and find some substance. That's a huge reason why Lexus is invisible in Europe.

    Customer service is often subjective, and some people don't care if their butts aren't kissed...others get enraged if they don't get the red carpet treatment.
  • backybacky Member Posts: 18,949
    Let me give you an example of what I think "red carpet treatment" is.

    Took my Hyundai into my local dealer for its 45k service on Monday. I asked them to explain what services are included in their 45k service (wary of dealers who tack on unneeded services). The writer went through their list, which included tire rotation and a "throttle body service." I explained that the tires are rotated by the tire shop where I got them, and he said, "OK, I can take $20 off then." I asked him to explain what the "throttle body service" is, because I've heard it's not only not needed, but could damage the car. He said, no, it's a light cleaning after they take the air filter off, not a full cleaning like I was talking about. The price wasn't bad (they also took off $25 for the oil change because I have free oil changes for life from them), so I said go ahead. He asked me if I wanted to wait, as it would take only an hour. I replied that I had to get home, so he summoned a gopher who took me home in a new Santa Fe GLS (pretty nice ride). He asked me if I needed a ride back, and I said no. Later that day I picked up the car. There was an error on the bill (forgot to take off the $20 for rotation) which was quickly adjusted. I also noticed they repaired a leaking hose clamp "under warranty" (so it is apparently covered under the powertrain warranty), and even re-installed a tail lamp bulb that my son had installed incorrectly a couple weeks ago--for free. The car was ready on time. It was washed. Everything done as promised, and then some. Everyone was pleasant and professional.

    Now, this dealership's service area is nothing to write home about. It's clean, but cramped, and the waiting area (which I didn't use) is small and undergoing some kind of remodeling because I didn't see the HD TV they used to have in there. No cappuccino. The techs were wearing uniforms but not lab coats. I didn't see any red carpets.

    But it was an excellent service experience. I wouldn't mind being treated that way even if I took a Genesis in there instead of an Elantra.
  • carolinabobcarolinabob Member Posts: 576
    Precisely. If they had a separate Genesis area or dealership and all the fancy things you find at Lexus, the cost would have been double, at least. My Hyundai dealer gives every 3rd oil/filter change for free and has never asked me to purchase what isn't in the manual. Least not yet, but only have 16,500 on the car.
    Interestingly I went into the MB dealership last week and while talking to the salesman had a deja vu feeling. Then I realized, it was the same show room where I purchased my 1987 Mazda RX-7 convertible. Service area and waiting room there were exactly the same, though new furniture, TV, etc.
    In 87, it was a Mazda, MB dealership in a two year old building, but it went belly up. Service manager took on Mazda and moved down the street and after some years, new MB owner came in and took over the building.
  • carolinabobcarolinabob Member Posts: 576
    Will be interesting to see what the Chinese do. They designed the interior of the Buick Lacross, so obviously already have a lot of input into "American" cars. Read an article where it might be possible that we will be seeing Buicks imported from China and sold in the US within the next 5-10 years. Buick is a luxury car.
    As for technology, it moves up lot quicker than in the past. Go look at where your home electronics come from, appliances, etc., etc. Even high quality furniture is being made in China now and imported to US with old firm US names on it.
    How many US, Japanese, European corporations are beating at the doors to get into China and build plants?
  • bobadbobad Member Posts: 1,587
    Agree!

    It's easy when the formula is given to you on a silver platter. That's what non-savvy car owners fail to understand.
  • fintailfintail Member Posts: 58,500
    Yes, that is much more service than what I would expect from a mass market volume maker.

    I patronize a local indy shop, so it has even fewer niceties...but that's kind of the point for me.
  • ateixeiraateixeira Member Posts: 72,587
    The RL didn't get the new beak until last year, IIRC.

    Styling was fine in 2005, it's just that the cheaper TL was bigger and cheaper, sportier too. Without a V8 the RL just doesn't have the prestige needed to command more money than a TL.

    Lately it did get the awful beak and now the styling alone would keep me away.

    A used 05 RL may actually be a good used car value, though, especially if you like AWD.
  • ateixeiraateixeira Member Posts: 72,587
    No cappuccino

    Heavens, Buffy! Let's take our business some place else! ;)
  • captain2captain2 Member Posts: 3,971
    I stand corrected! 'Never" is definitely a long time. Let me rephrase -
    only it is one of the reasons why Hyundai can not be a luxury brand that you or I will live long enough to see.... :P
    I have no problem 'forgiving' Hyundai for Excels, Scoupes and the like - and it is quite natural that any Company would improve its products to survive in the marketplace.
    That, however, is not what we are talking about here - it 's more like can Hyundai given that they still operate in the lower ends of the auto business and do have that rather unfortunate rep ever be considered a 'luxury' manufacturer?
    IMO, of course, the answer to that is plainly no - at least not the way they are currently trying to do it.
  • houdini1houdini1 Member Posts: 8,356
    Agreed. I could live with the RL up until the beak became too prominent.

    2013 LX 570 2016 LS 460

  • ateixeiraateixeira Member Posts: 72,587
    That may be an American point of view, though. In Europe Mercedes has the A-class and Audi sells an A3 small, naturally aspirated gas engines.

    given that they still operate in the lower ends of the auto business

    That is slowly changing.

    A few years ago, my next door neighbor's identical twins graduated from college, and he gave each of them a brand new Elantra.

    Out of curiosity, I went on-line to the local no-haggle dealer (Fitzmall - the license plate frames show he bought them there) and saw the prices for the Elantra started at $10,999, freight included. This is after discounts and rebates.

    Bargain, two graduation gifts, $22 grand for both.

    I went to look now, though, at the same dealer, mind you, and the cheapest 2010 Elantra today is priced at $15,899.

    That's quite a change. The same gifts would set my neighbor back $10 grand more today. They're in a whole different price class now.

    The Elantra Tourings actually cost more. Only the Accent falls in the econobox range now.

    Pricing falls more or less like this:

    Accent: $12-14k
    Elantra: $16-18k
    Elantra Touring: $16-19k
    Sonata: $18-25k
    Tucson: $19-20k
    Santa Fe: $20-28k
    Gen Coupe: $24-30k (one oddball at $17.8k, may be a typo, i.e. $27.8k?)
    Azera: $27-29k
    Veracruz: $29-34k
    Genesis: $32-39k

    None of those stands out as being particularly cheap.

    In a day and age where Aveo and Versa both start under $10 grand, and that's full MSRP, even the Accent is no longer at the bottom end.

    The same dealer has a Nissan franchise and Nissans are as cheap or cheaper pretty much across the board.

    We'll see if these prices hold up in the long term, but the days of two-for-one bargain pricing is gone for now.
  • blckislandguyblckislandguy Member Posts: 1,150
    At your request let me "quantify" what I mean by "lousy reliability". Rather than a tedious recitation of CR stats, referencing messages on other Edmunds Boards discussing German reliability and longevity, referring you to Roundel, the official publication of the BMWCCA , where they discuss the high mortality plastic components including water pump impellers in 7 Series cooling systems, ad nauseum, I have a better idea. An idea rooted in real world experience, not statistics.

    Lets just weld shut the front hood on a sample of HELC German cars as well as those from the US, Japan and the UK. Now, try to drive each of them 100,000 without opening the hood for any reason. Does anyone really think that an 7 Class or an S Series would make it?
  • fintailfintail Member Posts: 58,500
    Yes, older 7ers especially are ridiculously high maintenance items. This is no secret - and it doesn't seem to have hurt the sales of modern ones, which don't seem to have similar afflictions. Same for 10 year old S-class having well known fault areas - but these areas aren't the same in new models and aren't really relevant to current cars. The "real world" works in that way...and highline cars with unmatchable heritage seem to be easily forgiven for past faults.

    I wouldn't bet on any of them making it 100K without an oil change or transmission service - probably living on luck if that mark is reached.
  • fintailfintail Member Posts: 58,500
    Those things have to be several notches below the most base Hyundai.

    BYD F3 = previous generation Corolla copy.
  • m4d_cowm4d_cow Member Posts: 1,491
    How many US, Japanese, European corporations are beating at the doors to get into China and build plants?

    Dozens, except perhaps GM, which is actually looking for a way to produce cars in US then ship them to China (obviously to keep jobs open at home). Only to get shot down by the chinese government who said that all manufacturers doing business in China must build a plant and produce there. I heard they're gonna try again with WTO as backup. :P
  • fintailfintail Member Posts: 58,500
    New Sonata isn't as daring as the computer generated images suggested....probably not luxurious either, although the somewhat Audi-like greenhouse and some details might help with brand perception. And those headlights...in the next one, the clusters will just wrap around the front end.
  • fintailfintail Member Posts: 58,500
    It sure is great the west worked so hard to open up that land of justice and reason! :sick:
  • ateixeiraateixeira Member Posts: 72,587
    BYD, copy? Can't be....

    image

    :D
  • ateixeiraateixeira Member Posts: 72,587
    Of course the sketches were exaggerated...but they came a lot closer than, say, Honda/Acura. Plus it still looks great.

    Interior reminds me of Lexus models, especially those vertical vents.

    They have an engine partnership with Mitsubishi and Chrysler, right? They should work out a deal with Infiniti sound and get the MyGig and HD-based nav from the Grand Caravan.
  • bobadbobad Member Posts: 1,587
    Still no decent pics. The pics I have seen were taken in harsh studio light with weird reflections. I want to see some pics taken outdoors.
  • ateixeiraateixeira Member Posts: 72,587
    I wonder if those power folding mirrors (with turn signals) will make it here.

    Funny thing is that in another thread we were talking about how other manufacturers are cutting costs, and new mirrors don't even fold at all on the new Camry hybrid, Altima, and Legacy.

    Backup cam had trajectory lines, also nice. Some do, but most still don't.
  • backybacky Member Posts: 18,949
    They have an engine partnership with Mitsubishi and Chrysler, right?

    Not anymore--not with Chrysler, anyway. Chrysler just bailed out of the GEMA partnership, and bought the rights to the Michgan factory, ostensibly to use it to build Fiat-designed engines as well as the GEMA engines.
  • backybacky Member Posts: 18,949
    I wonder if those power folding mirrors (with turn signals) will make it here.

    I'd doubt it. Sonatas in the ROK have folding mirrors, but not here because there's no need to put the cars on a ship since they're built in Alabama. But I am holding out hope that the new Sonata will get folding mirrors in the US. Fewer mid-sizers have these and they come in real handy in tight parking spaces.
  • ateixeiraateixeira Member Posts: 72,587
    Bummer. They should still try to get that system, which is hard-drive based, so it's nice and quick and matches or beats pricier systems.
  • dean3927dean3927 Member Posts: 80
    Here's another Sonata unveiling article with pictures better grouped together:

    http://carscoop.blogspot.com/2009/09/2011-hyundai-sonata-officially-revealed.htm- - - l

    Hyundai has formally stated that "fluidic sculpture" will be the theme throughout the lineup. This is proven in the heavily disguised upcoming Elantra as well (you can see the pictures here on Edmunds.com).

    Now, Kia, if you recall, is also adopting a consistent "design lineage" for the entire future Kia lineup, headed by Peter Schreyer (new Beetle and Audi TT). In other words, akin to how a BMW 1-series is clearly the little brother of the 3-series, so each Kia will give clues that it is related to and is of one model lineage.

    I wonder: will Hyundai incorporate this fluidic sculpture theme in the Genesis line? If no, then the delineation between Hyundais and Genesises, the setting apart of the Genesis as a brand in the minds of the car-buying public, has officially begun - Hyundai fluidic, Genesis more angular and classic.
  • fintailfintail Member Posts: 58,500
    I'll give the swoopy H credit where it is due - this is more original than their previous designs. Much moreso than the BMW-themed Genesis sedan.

    The Elantra could use a styling renovation too. Somehow the current one seems odd looking to me, the greenhouse reminds me of an egg.

    Maybe weird grilles will become a H hallmark too :shades:
  • backybacky Member Posts: 18,949
    No, Acura and Honda already have the trademark on weird grilles. ;)
  • tjc78tjc78 Member Posts: 17,061
    Acura for sure... what is up with the new TL? :sick:

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  • fintailfintail Member Posts: 58,500
    The Genesis weird Star Trek character grille is worlds better looking than the recent direction undertaken by Acura, that's for sure. Actually, the entire Genesis itself is so much nicer looking than the TL.
  • backybacky Member Posts: 18,949
    There is a subliminal message in that Genesis grille:

    "Today IS a good day to drive... a Genesis!!" :)
  • tjc78tjc78 Member Posts: 17,061
    the entire Genesis itself is so much nicer looking than the TL

    I agree.... I may be a bit biased though! :shades:

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  • ateixeiraateixeira Member Posts: 72,587
    Tell you what - I wouldn't mind seeing the Equus move in that direction in terms of design. The current one has more Elantra/Azera styling cues.

    image

    Check out the creases on the side, very Elantra-like. The C-pillar draws from the Azera. The front end is way overdone and doesn't match the conservative rear end at all. It's like it was styled by two different people who never once met.

    The Sonata is more consistent front to rear. The sharp crease on the hood echoes the one in the profile view. The A-pillar and C-pillar show a symmetry. That grille is nicer and has a family resemblance to the Genesis.

    [Edit: wrong pic removed]
  • fintailfintail Member Posts: 58,500
    I think the Equus is weird looking, to match the name. Supersized Azera greenhouse, big toothy maw of a grille, pointlessly gigantic headlight clusters, and the hood ornament makes me laugh every time I see it. Styled by committee, I fear. It's going to need some clean up work.

    The actual Sonata has a lot of detail differences from that photochop version:

    image

    I think odd grilles might become a Hyundai theme.
  • ateixeiraateixeira Member Posts: 72,587
    6 speed auto across the board for the new Sonata. Not bad.

    I like the front grille detail, matching up with the creases on the hood. Interesting effect.

    Also neat is the glass roof.

    The two-tone steerig wheel is a bit busy, and I prefer 3 spokes over the 4 it has.

    There's a lot of wheel gap on that white one but it may be up on jack stands, I can't quite tell.

    I see about 30 buttons on that center console. They should have just used a touch screen instead of that knob.

    Tiptronic shifter is down on the shift knob rather than paddle shifters. Probably OK for this target demographic, though.

    Like the perforated leather on the seats. Plus the doors match.

    Don't like the dual rings around the speedo and tach. Chrome on the housing, painted fake pluminum at the tips of the needles. Thing is, the colors mismatch. Overdone.

    Legroom looks good but those photos can be massively deceiving. The interior shot of the Kia Rondo makes it look 3 times as big as it really is.
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