G70 US Availability?

[devellis]

That's a shame if it's true. The release has drifted considerably, with early information suggesting a March release and now things have shifted as far back as September. Well, they're calling it a 2019 model. I think originally that was supposed to be to create a sense of newness well before other makers were introducing their 2019 models -- something manufacturers often do with a new model. But now, it appears it may not hit the streets much or any sooner than everyone else's 2019 models, which will further reduce its distinctiveness when it does finally appear. A never-seen-before model that appears in April gets a lot more attention than one that appears in September amidst all of the new model year releases from other companies. Oh well. Not really surprising in light of how this whole roll-out has gone for the US.

 

[AnyVare]

I went out yesterday in the northern Virginia area and visited two different Hyundai/Genesis dealerships. The first one told me months ago they would no longer be a Genesis dealer due to the new requirements, yesterday they continued that story and said I would need to visit dealer X. The second was dealer X, where the salesperson told me "Yes" they were going to continue selling Genesis, but they had no new information on the G70 (other than sometime this year). When asked if they were building a new dealership, the salesman had no information.

It's nearly June with no news, and no ads in the USA. Things are not looking good for a July launch. If I worked at Genesis NMA, I'd fire whoever was responsible for this debacle. Launching a car like this at the end of summer or in the fall is going to kill their revenue for 2018.

 

[Mcc]

It's nearly June with no news, and no ads in the USA. Things are not looking good for a July launch. If I worked at Genesis NMA, I'd fire whoever was responsible for this debacle. Launching a car like this at the end of summer or in the fall is going to kill their revenue for 2018.

Did Genesis ever announce a July date? I missed that. What they did say in print is that Genesis is more interested in is establishing Genesis as a proper premium brand than revenue and had made parent Hyundai aware of this strategy from the start.

 

[Mark_888]

Did Genesis ever announce a July date? I missed that. What they did say in print is that Genesis is more interested in is establishing Genesis as a proper premium brand than revenue and had made parent Hyundai aware of this strategy from the start.

The delay is due to the unplanned debacle in choosing the Genesis dealers in the USA who can sell the 2019 models, including the G70. Even though it is now open to all 350 dealers now selling Genesis (instead of the 100 dealers originally planned), the delay is apparently (according to a dealer quoted elsewhere in this forum) related to finalizing the list of those willing to build a brand new dealership in the future.

Any dealer now selling a 2018 Genesis can continue to sell them until they are no longer available or they are out of stock.

 

[Mcc]

The sooner the two sides can come to agreement the sooner the G70 will likely to be released. Of course there could also be other complications that I am not aware of.

 

[EdP]

If I worked at Genesis NMA, I'd fire whoever was responsible for this debacle. Launching a car like this at the end of summer or in the fall is going to kill their revenue for 2018.

1. We don't know for sure who is responsible. It could be the person you want to do the firing should fire himself.

2. I'm not a Hyundai or Genesis stockholder so it will have no affect on me. If it affects your fiscal well being, (such as a dealer) I understand your frustration.

3. For the sake of discussion, the following is a list of how my life is affected by the delivery date: . . . .

 

[Windchaser]

3. For the sake of discussion, the following is a list of how my life is affected by the delivery date: . . . .

The only area that it would affect me would be the health and survival of Genesis as a company. I would like to have the support for my vehicle that I did purchase to remain in place. I am not really too concerned about this as I believe Genesis will be successful, but poor execution could affect Genesis becoming established. Otherwise, I do agree with you.

 

[Mark_888]

The sooner the two sides can come to agreement the sooner the G70 will likely to be released. Of course there could also be other complications that I am not aware of.

I think the two sides agreed a couple of weeks ago that any of the existing 350 G80/G90 dealers can apply for a franchise.

But now, a bunch of dealers have to decide whether to invest $10 million or so in a new dealership, and that takes a little time to sort out, and get the franchise agreements signed. They are dealing with a lot of dealers, and even the dealers who think they want a franchise, need to know how many other dealers there will be in their market (and what specific locations within that market). It just takes time, although they didn't plan on this happening, as the original plan was for Genesis to pick the 100 dealers.

 

[Mark_888]

1. We don't know for sure who is responsible. It could be the person you want to do the firing should fire himself.

Too bad for him that Genesis HQ is not at the Hyundai manufacturing location in Alabama. I think firing yourself is illegal there.

 

[Mark_888]

The only area that it would affect me would be the health and survival of Genesis as a company. I would like to have the support for my vehicle that I did purchase to remain in place. I am not really too concerned about this as I believe Genesis will be successful, but poor execution could affect Genesis becoming established. Otherwise, I do agree with you.

Genesis Motors America is a marketing company that is a division of Hyundai Motor America. The people who design and manufacture the Genesis are not affected by this fiasco so much.

Most people know what I think is a bigger problem for Genesis (so I won't repeat that).

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[KDX]

Genesis Motors America is a marketing company that is a division of Hyundai Motor America. The people who design and manufacture the Genesis are not affected by this fiasco so much.

Most people know what I think is a bigger problem for Genesis (so I won't repeat that).

I'm new here. Please enlighten me.

 

[Beefer]

I think the two sides agreed a couple of weeks ago that any of the existing 350 G80/G90 dealers can apply for a franchise.

But now, a bunch of dealers have to decide whether to invest $10 million or so in a new dealership, and that takes a little time to sort out, and get the franchise agreements signed. They are dealing with a lot of dealers, and even the dealers who think they want a franchise, need to know how many other dealers there will be in their market (and what specific locations within that market). It just takes time, although they didn't plan on this happening, as the original plan was for Genesis to pick the 100 dealers.

Actually worse than that. Genesis is requiring a 35k sq.ft. building.

Up in the D.C. market...cost is ~$50M !!! In Williamsburg, VA...~$20M.

So HUGE investments folks aren’t willing to put up. Or...quite frankly...cannot do it.

 

[EdP]

Actually worse than that. Genesis is requiring a 35k sq.ft. building.

Up in the D.C. market...cost is ~$50M !!! In Williamsburg, VA...~$20M.

So HUGE investments folks aren’t willing to put up. Or...quite frankly...cannot do it.

Easy to solve. Put us a billboard and a sign "visit our showroom in North Dakota"

I would think that area would be a good market for Genesis, but given the real estate prices, very difficult for a dealer to make a profit even at sticker prices. Would make more sense to have a boutique like Canada is doing and do service at a Hyundai dealer 30 miles away. Metropolitan areas can be expensive but given the diversity in real estate prices of a country this size it is impossible to make a singular space demand and make it work.

 

[Windchaser]

I'm not sure about other areas but in the Chicago area there are still some empty dealerships after GM and Chrysler closed down dealers during the great recession. It would seem that would be a more cost effective way of opening a new dealership if you could pick up one that has already been built.

 

[Mark_888]

Easy to solve. Put us a billboard and a sign "visit our showroom in North Dakota"

I would think that area would be a good market for Genesis, but given the real estate prices, very difficult for a dealer to make a profit even at sticker prices. Would make more sense to have a boutique like Canada is doing and do service at a Hyundai dealer 30 miles away. Metropolitan areas can be expensive but given the diversity in real estate prices of a country this size it is impossible to make a singular space demand and make it work.

I think the boutique model involves the manufacturer, and if so, that would be illegal in most USA states. The car dealership model in the USA is geared toward having the sales and service owned by the same company, which would make things more difficult to implement as you suggest, even if it does make more sense.

 

[EdP]

I think the boutique model involves the manufacturer, and if so, that would be illegal in most USA states. The car dealership model in the USA is geared toward having the sales and service owned by the same company, which would make things more difficult to implement as you suggest, even if it does make more sense.

Sure, in Canada, but an individual dealer here can do the same thing. Not much different that what they do at a mall on occasion. Display a car but you have to go to the dealer to buy. This would be similar, but the dealer could take your order. In compliance, it would be dealer sold and serviced.

 

[YEH]

^ Kia has adopted the mall boutique model for the Stinger in select locations (called Stinger Salons).

Interested buyers are then referred to a Kia dealership.

 

[Edmguy]

I would personally be happy to see the day where there are no more dealerships. Buy direct from manufacturer for the car (like Tesla or Genesis Canada has done) as the dealerships to me all just seem so greedy and add very little value. They are more interested in making money off your financing, and selling (and overcharging) you for things you don't need like mud flaps, block heaters, undercoating, etc.

The buying experience was excellent for me with the G70 and I would be happy to never have to use a dealership again.

I hope the US gets things worked out soon, but I just think the whole thing would run smoother if they just dropped the dealers altogether.

 

[Mark_888]

I would personally be happy to see the day where there are no more dealerships. Buy direct from manufacturer for the car (like Tesla or Genesis Canada has done) as the dealerships to me all just seem so greedy and add very little value. They are more interested in making money off your financing, and selling (and overcharging) you for things you don't need like mud flaps, block heaters, undercoating, etc.

The buying experience was excellent for me with the G70 and I would be happy to never have to use a dealership again.

I hope the US gets things worked out soon, but I just think the whole thing would run smoother if they just dropped the dealers altogether.

There are laws in most US states to prohibit manufacturer's from owning dealerships. I don't believe there is any federal restriction.

Tesla got an exception in many states, because they were so small, and because there were no existing Tesla dealerships. They still cannot sell in some states.
Where you can buy a Tesla - CNNMoney

I don't think most states will allow a manufacturer with existing dealers to withdraw the right to sell the cars at dealerships and let the manufacturer start selling them at their own stores (boutique stores, malls, or whatever), unless they can get the dealers to agree via some kind of buyout. This is what the whole recent Genesis USA dealership fiasco was about, when Genesis tried to cut down to 100 dealers starting with the 2019 models, and they finally realized that there were state laws that would not allow that.

 

[g70manual]

At least you guys are hearing something about a pending launch in the US. We here in Australia are being given the mushroom treatment.
First a Feb launch. Then an April launch. Then a May launch and still nothing. I hope their lack of organisation doesn't follow on to the manufacturing of their cars.
I might have to buy a C43 instead.

It appears that the US is not alone in launch delays...

Genesis: Oz launch pushed back to Q4 | CarAdvice