Hyundai Motor Co. Tunaround

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all its competitors since it was offering customers with great quality at a lower price. But a concern arose when a woman commented on Hyundai’s new brand strategy, “Wow, I just love that vehicle, but I’ve worked too hard to drive a Hyundai.” The woman saw the Hyundai Genesis as an inferior means of demonstrating success to her peers as compared to a Mercedes-Benz or Lexus. She noticed that with her hard work and just an extra amount of money she could purchase a well-known luxury brand car. I believe this woman belongs to the Achievers VALS segment because their social lives reflect a goal-oriented lifestyle in which they prefer premium products that demonstrate success to their peers just like the woman in the Hyundai case. Achievers are motivated by the desire for achievement therefore; they have many wants and needs that make them active in the consumer marketplace. They are mostly concerned with Image because of their busy lives; they are interested in different types of time saving devices.

If Hyundai sticks to its current positioning efforts, this lady and others like her will never change their mind as the company has made no effort to change consumers’ perception. Hyundai will need to implement a new brand strategy such as the Toyota with Lexus in order to change Achievers conception.

5. (Lian)

Customers had their own motivation to buy products, as humans our first motivation is the one that shows himself. “Consumers are inspired by one of three primary motivations: ideals, achievement, and self-expression.” Hyundai has a specific market to target. It doesn’t matter how you call it soccer, football or futbol, with a million of fans that watch this sport it can be the perfect target. Also this sport will have quadrennial frenzy when the FIFA World Cup starts next month, this may double the amount of viewers. With this enormous amount of viewers, Hyundai will advertise their vehicles. This shows that Hyundai is targeting soccer’s fans, but also the Hispanic community which is one of the fastest growing portion of the United States auto market. “Steve Shannon, vice president of marketing for Hyundai Motor America, says the brand has committed to its largest-ever Spanish-language national TV buy as part of the launch campaign for the re-engineered 2015 Sonata mid-sized sedan.”

Research shows that Hyundai’s key target customers place a high value on living an “authentic lifestyle.” The VALS (values, attitudes and lifestyles), the primary motivation is thinkers are mature, satisfied, comfortable, and reflective people who value order knowledge, and responsibility. If a product is not too expensive, excellent quality, long warranty package, and a gas saver, makes a Hyundai an excellent product for thinkers.

7. (Pablo.E)

Hyundai continuously looks for growth opportunities. With the release of the new Genesis, Hyundai had two options on which approach to take. The first option was to release the Genesis as a model for Hyundai; basically this would mean the Genesis would be entering the luxury market with this new model as a Hyundai. The second option was to use “New Brand Strategy” in which a new brand name separate from Hyundai is created for the new brand.

Hyundai decided to go with option one, which basically kept the new Genesis as a Hyundai. This would mean that the new Genesis would enter the luxury car market at a lower price than its competitors. This approach that Hyundai took, gave them the advantage of having less cost, as well as less legal matters due to Hyundai being an established Brand. Also it helps the brand name as a whole, meaning it would increase its current models status. For example, the Hyundai Sonata, which is a very cheap car, will now become the far cousin of the luxurious Hyundai Genesis. The biggest risk with taking this approach is that the Genesis is still a Hyundai, and it is entering the Luxury car market with just another Hyundai. One big concern comes from a focus group done to see what the opinion about the new Genesis was; where a lady stated, “ It is a very nice car, but I worked way to hard to be driving a Hyundai.

The second approach of going with New Brand Strategy, would give the Genesis the opportunity to enter the luxury car market with a new brand name, which could specialize in Luxury cars. Another reason why this would have been a good approach is because Hyundai is already know as an inexpensive non-luxury car, therefore a new brand could give the Genesis a better chance of entering the Market in a successful way. A perfect example of this is what Toyota did with Lexus. And we could also add Tesla, which started the car industry with a Luxurious car, and it worked out great.

In conclusion, I believe the New Brand Strategy would have been a better approach, therefore I don’t agree with Hyundai. As I previously stated, the new brand strategy would enter the market as a luxury car from the start, also eliminating the risk of entering a luxury car market with a “Hyundai”(Which is already seen as a non-luxury brand) For example What Toyota did with Lexus which worked perfectly.