Hyundai, Kia Remodel Their Image

[rickkapur]

Long-dominant Japanese automakers like Toyota and Honda got a splash of cold water in June when J.D. Power and Associates announced that their Korean competitors, Kia and Hyundai, dominated the latest Initial Quality Study - which measures defects and other problems with cars during their first three months on the road.

It wasn't all that long ago that Korean carmakers lagged at the back of the quality charts, content to sell basic economy models to buyers struggling to make their monthly payments. But these days, the Koreans have not only punched up their quality and reliability but have moved steadily upmarket. The Kia K900 and Hyundai Equus, for example, go head-to-head with large premium models such as the Lexus LS and Mercedes-Benz S-Class.

Power's IQS is just the latest in a series of recent studies showing a rapid improvement in Hyundai quality, something that has "really elevated us" in the eyes of consumers," says Dave Zuchowski, the CEO of Hyundai Motor America. And it validates the shift in strategy both Hyundai and Kia took when they realized "unless you can compete on quality you can't compete in this market."

Hyundai signaled that shift a decade ago when it launched what it called "America's best warranty." But Zuchowski says it was more than just a marketing ploy. Covering a vehicle for 10 years -- double the warranty of some competitors -- "would have bankrupted us…if we didn't fix our quality." Continue reading...

 

[SKM348]

http://www.nbcnews.com/business/autos/luxury-quality-hyundai-kia-remodel-their-image-n386771

Great article

 

[Monolith2001]

Great article and so true. Hyundai/Kia has been making pretty good cars for a while but was held back by their styling which was always a bit awkward or downmarket. I think the real turning point was 2004 Sonata. While very me-too, it wasn't the cheap-looking boxes or the over-styled cars of the past. Since then, they have been on a roll building cars that look unique and stylish, solid performing, pretty reliable and maintaining their "a lot for less" pricing.

The Genesis Coupe/Sedan is what made people take notice, the Sonata/Optima and Elantra made people come to showrooms in droves. I must say that I don't think Equus/K900 are really in the mix ultra luxury competitors but I think the next generation of those cars will be players.

 

[FastDEW1]

The Hyundai cars are coming along well. I'm even looking at a Santa Fe Sport now. Really nice small CUV.

The Equus is much nicer than the K900 overall - perhaps not exterior styling. But everywhere else it is.

 

[YEH]

Nice fluff piece.

As Hyundai enters its 3rd gen of models from the NF Sonata (starting w/ the LF Sonata), has been able to pretty much achieve pricing parity as quality and rep have improved.

But Hyundai management has made a no. of missteps lately, including being way to slow to expand their CUV lineup, much less capacity of the CUVs they currently offer.

The Santa Fe Sport is nice, but the new Tucson (a bit smaller) is that much nicer and I'd take the new Sorento over either the SF Sport or larger Santa Fe.

Frankly, the new Tucson and Sorento look so upscale, I'd pass on the luxury FWD-based CUVs (such as the RDX, MKC and NX) and just get a loaded Tucson and instead of the new RX or the MDX, I'd just get the Sorento in SX-L trim.

Maybe not quite as luxurious on the inside as the luxury models, but for what would serve primarily as kid-movers, don't see the point in going beyond what the Sorento SX-L has to offer (plenty of soft-touch surfaces, quilted Nappa leather - only real thing missing is open-pore wood trim, but kinda find that superfluous for this type of vehicle).

 

[RN2X]

I won't own another new car without the tech of the Genesis. I thought SCC and lane keep assist where kind of gimmicky, but as I put 40k miles per year on mine I have really become spoiled by them both.

 

[RickyBobby]

Nice fluff piece.

As Hyundai enters its 3rd gen of models from the NF Sonata (starting w/ the LF Sonata), has been able to pretty much achieve pricing parity as quality and rep have improved.

But Hyundai management has made a no. of missteps lately, including being way to slow to expand their CUV lineup, much less capacity of the CUVs they currently offer.

The Santa Fe Sport is nice, but the new Tucson (a bit smaller) is that much nicer and I'd take the new Sorento over either the SF Sport or larger Santa Fe.

Frankly, the new Tucson and Sorento look so upscale, I'd pass on the luxury FWD-based CUVs (such as the RDX, MKC and NX) and just get a loaded Tucson and instead of the new RX or the MDX, I'd just get the Sorento in SX-L trim.

Maybe not quite as luxurious on the inside as the luxury models, but for what would serve primarily as kid-movers, don't see the point in going beyond what the Sorento SX-L has to offer (plenty of soft-touch surfaces, quilted Nappa leather - only real thing missing is open-pore wood trim, but kinda find that superfluous for this type of vehicle).

MSRP parity is one thing but they still command quite a bit more rebates and incentives than the Japanese.