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Genesis Forum: Did the badge idea bite Hyundai in the you know what?
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  1. #1
    Genesis Motors is offline Genesis Motors Forum What I drive: 2G Genesis 3.8 V6 Sedan
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    Question Did the badge idea bite Hyundai in the you know what?

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    I was just thinking the other day - as I was behind a 2015 or 2016 Hyundai Genesis Sedan with an actual "Flying H" badge still on the trunk (rare)... At one point Hyundai told dealers to stop swapping out the "H" badge for the winged badge. Remember? Well... What if a nice, new Genesis G80 is sitting at a red light next to a 2015 Genesis Sedan with the "H"? Wouldn't it be in Hyundai's best interest to prevent that from happening? Aren't some people going to assume somebody's 2017 Genesis G80 is actually a 2015 Hyundai Genesis with a new badge? Yes, in essence - that's exactly what it is. But why would a luxury company want that scenario to play out on the road?


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  2. #2
    DavidHanLee is offline Registered Member What I drive: 2015 5.0 HTRAC
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    Agreed

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  3. #3
    Mark_888 is online now Registered Member What I drive: 1G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    I have posted about this before. In 2009 I was invited to participate in an online chat with then Hyundai Motor America CEO John Krafcik (now head of the Google self-driving car project). There were about 20 other Hyundai owners (of various models) and it lasted about 90 minutes. Krafcik discussed during the chat why the Genesis was imported to the US and sold as a Hyundai, rather than as a Genesis. In Korea, the Genesis and Equus never had any Hyundai badges on them, and so in effect they have always been a separate brand in Korea. That is why the wings were available that could be purchased at any Korean Hyundai dealer parts department and imported to the USA for a swap out of the H.

    The CEO said the reason the Genesis was sold as a Hyundai in the USA was that their strategy was to "build the brand" (the Hyundai brand) in the USA. As many folks know, Hyundai had a poor start in the USA in the 1980's and was the butt of many jokes about lack of quality back then. Ever since then it has been a very hard road for them to change that perception.

    One of the main thing that helped them change the perception about Hyundai in the USA was the introduction of the 10 year - 100K powertrain warranty (which is only offered in the USA). The powertrain warranty was not originally offered because Hyundai's were more reliable than other cars--far from that. It was pure marketing genius helped improve sales tremendously and to specifically counter the reason why Hyundai had a poor reputation in the USA. Also, back in 2008, HMA noticed via independent surveys, that people who shopped for a Camry or Accord, did not even look at (much less test drive) a Sonata. Same for other Hyundai models. So they thought that the Genesis (and later Equus) would help "build the brand" in the mind of consumers and automotive press about what kind of quality and sophistication Hyundai is capable of. It is hard to argue that there was anything wrong with that strategy at the time (based on the improvement in Hyundai sales in the USA), even if it has somewhat hindered the developed of the Genesis brand years later.

    As far as "What if a nice, new Genesis G80 is sitting at a red light next to a 2015 Genesis Sedan with the "H"? Wouldn't it be in Hyundai's best interest to prevent that from happening?"

    Yes, but there is not much they can do about it now. They had a choice of switching to the Genesis brand when a new G90 was released in 2017, or waiting several years for the next generation G80 (so it would not be confused with a 2015/2016). As we know, they chose 2017 when the Hyundai Equus became a G90 in an all new design.

    Yes, the whole thing is a bit messy, but lots of things in life are messy, but we get out of bed each day and keep on trucking.

  4. #4
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    jsmit86 is offline Registered Member What I drive: 2G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    Quote Originally Posted by Genesis Motors View Post
    I was just thinking the other day - as I was behind a 2015 or 2016 Hyundai Genesis Sedan with an actual "Flying H" badge still on the trunk (rare)... At one point Hyundai told dealers to stop swapping out the "H" badge for the winged badge. Remember?...
    Interesting! I'd not heard that dealers were told to swap badges, but I know that some did. My car (dealer trade) came with the Wings, but I know it had to be a swap because they were not even close to level, and my dealer installed a new badge.

    This summer, I was on a ride with one of the techs from my dealer. He told be that late build 2016's arrived with the wings. (Not dealer swapped)

    I don't see the re-badge as a huge negative issue. Yes, it's not ideal, but the alternative would be to wait for a substantial refresh, and well.. you have to start some time!
    I suppose Hyundai could open a TSB to replace the flying "H" with wings when the car came in for service. That would make more sense if Hyundai decided to retro some of the perks to G2 owners. (I'm not holding my breath though)
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  5. #5
    PMCErnie is offline Registered Member What I drive: 1G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    Hyundai should offer '15 & '16 owners an upgrade "legitimacy kit" and roll them into the new fold. For about $2,000, you could buy a Genesis Motors "adoption" document, the latest wings would be installed at a dealership and you would be eligible for free car pick-up for service. Throw in two coffee mugs with Genesis logos, of course, as well as 5 ballpoint pens and an umbrella with the G logo.
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  6. #6
    Genesis Motors is offline Genesis Motors Forum What I drive: 2G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    I don't think it's a huge deal - but I do think it would be a good idea for Hyundai to swap out the badges just for the sake of allowing their new brand to grow without any obvious attachments to Hyundai. I've had talks with so many people over the years - and they just lose interest in anything "Genesis" when they learn about Hyundai. Cadillac still has this same problem today - and to a lesser extent - Buick. It's hard to shake old thinking. I think replacing those H badges would be a really cheap way to "market" "Genesis" properly...
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  7. #7
    Mark_888 is online now Registered Member What I drive: 1G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    The ban against dealer badging started years ago, and only lasted a relatively short time, and could not actually be enforced by HMA anyway. Even if it was enforced, owners could do it themselves, like we did back in 2009 before any dealers starting doing it. I don't think there are very many 2015/2016 Genesis with a flying H around these days. There are definitely some, but not a big number. Plus, the didn't put the H on the steering wheel starting in 2015, so that made rebadging a lot easier.

    Right now, HMA should make more of an effort to make sure that insurance companies and the various state governments recognize the Genesis as a separate brand and quit calling it a Hyundai. That was just very poor execution of the Genesis rollout.

  8. #8
    PMCErnie is offline Registered Member What I drive: 1G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    Maybe Zuckowski's head rolled over this and related issues. It makes for good discussion and speculation.

  9. #9
    Mark_888 is online now Registered Member What I drive: 1G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

    Quote Originally Posted by PMCErnie View Post
    Maybe Zuckowski's head rolled over this and related issues. It makes for good discussion and speculation.
    Hyundai sells about 700,000 - 750,000 car per year in the USA. Somehow I don't think that Hyundai Motors Korea is all that concerned enough about the Genesis to fire the HMA CEO, but maybe I am wrong.

    I am still not sure what HMA could have done differently, unless they delayed the Genesis a few more years until the next gen is available (so it doesn't look like the 2015-2016).

  10. #10
    Genesis Motors is offline Genesis Motors Forum What I drive: 2G Genesis 3.8 V6 Sedan
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    Default Re: Did the badge idea bite Hyundai in the you know what?

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    I think it'll all work out just fine. It's just a bump in the road for now. I'd rather Genesis did what they did and get the brand and vehicles launched now than wait for later and have the bean counters scrap the idea altogether...
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