Hyundai Genesis Sub-Brand Denied by CEO

Hyundai Genesis Sub-Brand Denied by CEO

Plans are currently not in place to implement a Hyundai luxury sub-brand running with the Genesis nameplate, Hyundai America CEO John Krafcik confirmed to Ward’s Auto.

Earlier this month we reported that Hyundai boss Dave Zuchowski confirmed the possibility that “there’s a conversation going on within the company that says, ‘Does having the Hyundai badge on the premium vehicles sell more vehicles, or does it restrict us from selling more vehicles?”

Despite that, it seems the most recent conversation in Las Vegas with Krafcik points to the contrary, that in fact there won’t be a separate brand.

“We have no plan to change our Equus and Genesis retail approach – it’s working,” he said to Ward’s Auto.

Despite not having plans to differentiate the premium line which has relatively sky-scraping prices like the Equus’ $59,00 MSRP in contrast to their $12,545 sub-compact Accent, Krafcik seemed more positive on the possibility of an all-wheel drive Genesis in the future. Offering such a car would further expand their top-tier line which otherwise might have served as another reason to split the products apart.

“We believe we should have AWD on the next Genesis platform,” Krafcik said.

[Source: Ward’s Auto]

  • Collision of Souls

    Hyundai’s brand image is very good in Canada. Wouldn’t this be a great test market to launch the Genesis luxury brand in North America?

  • Johnathan Lewis

    How about leaving the equus and the genesis as a hyundai brand and start planing for the premium brand genesis so that there won’t be any contemplating in changing the equus and the genesis as a premium brand.

  • Big Mistake

    As a past Lexus, BMW, Acura owner I have a 2011 Genesis4.6.. it will be the last one. Not because of the car but the dealers service departments and Hyundai Corp. don’t seem to understand when you pay $45K dollars for a car there is an expectation that goes with it.

    They are still in the low rent mine set. No attempts are made to find intermittent troubles which can only be addressed by component replacement. I have a problem with the radio turning on by itself and I was told Hyundai will not replace the radio… “we’re not going to replace a thousand dollar radio unless we can make it happen”. So I end up with the defective radio.

    The thought of even spending $59,000 for an Equus and get this kind of customer service make my blood pressure explode.

    Volkswagen made a similar mistake when the left the VW on the grill of there $80,000 Phaeton.

  • Syrup

    I agree the service dept. is lacking. I bought the top O’ the line Sante Fe. The transmission went out and they would not honor the warranty, stating that all Hyundai vehicles MUST follow severe service schedule to be eligible for warranty service. This was confrimed with 12 state regional manager. I had to buy $1000 worth of parts for tehm to honor warranty with a rebuilt transmission. Their famous 10yr/100k warranty does not exist.

  • Andrew

    I’ve had an XG-300 from 2001 to 2009, and now I have a 4.6 Genesis. I agree that the service at the dealer is lacking. If I have the Hyundai luxury car, I should see better service.

  • Jamie

    Service is not a Hyundai issue, it’s a dealership issue and it sounds like many of you have had bad experiences. I have dealt with 3 separate dealerships over the course of my Hyundai ownership and have always been satisfied with their service departments.

  • Rob

    @ Big Mistake: Interestingly enough, if you were to choose and Equus you use the complimentary iPad to set up ALL service, which is free for 5 yrs./60K miles, just keep tires and gas in it.

    Re: radio, the factory warranty is 3 yrs./36k miles, so if they won’t do something with it, find another dealership who will. They send off warrantied items to Hyundai so they can research the problem and rectify it in future products

    @ Syrup: Sounds like your dealer tries to get by with as little warranty work as possible. The place I use has covered things they technically did not have to, at their discretion. As owner of 3 Hyundais, yes the warranty is legit, it’s just the dealer who may be not upholding their end.

  • Eli Gaffke

    @Syrup I am not sure which tranny the Sante Fe has, but I know that my Veracruz has a sealed tranny, no dipstick. It is supposed to be 100k miles before you have to change fluid or filters. But most trannies you are supposed to change the filter and fluid. I had a 2000 Elantra the manual tranny went out at 95k miles completely covered. Had a wheel bearing go out shortly before that and it was covered. Figured that a wheel bearing wouldn’t be covered, but it was.

  • Troy Jollimore

    You get what you pay for. I’d buy a Hyundai with full confidence in it, but if issues arise, I won’t be surprised. But even those that pay for the premium marques have been shafted by the dealerships and companies.

    Back on topic, I think it would be a bad move to spin off the brand. Honda, Toyota and Nissan did it with Acura, Lexus and Infiniti, but it probably just cost them more money. Mazda figured that out when they aborted their proposed Amati brand line. If the car makers left the names intact, but gave us the same products, we’d still buy them, and attach the same value to them. There’s a few people that think a name is everything, but not too many.

    The VW Phaeton was just too early for it’s time, MUCH too complex, and only looked like a larger Passat. If people are going to spend extra for your premium product, they usually will be an easier sell if they know others will recognize it.