Flagship sedan called ‘G90 (Name in South Korea: EQ900), which is Hyundai Motor Company’s luxury brand called ‘Genesis’, surpassed Lexus ‘LS’ and rose to third place in American markets for full-sized luxury vehicles. It was also the only vehicle that is growing in such markets that are being reduced this year. Hyundai Motor Company is planning to have Genesis as a luxury brand in American markets by releasing up to Genesis G70 by second half of this year.
According to Hyundai Motor Company, it sold 1,203 Genesis G90 in American markets which placed Genesis G90 on third place followed by Mercedes Benz ‘S Class (3,648)’ and BMW ‘7 Series (2,103)’. Genesis has made such performance in just 7 months since being released in American markets.
Genesis G90 entered American markets at the end of September of last year. Hyundai Motor Company is hoping to surpass Lexus ‘LS’ and Jaguar ‘XJ’ by selling about 5,000 Genesis G90 in American markets per year. In a long term, it is hoping to surpass German premium full-sized sedans such as Mercedes-Benz S Class, BMW 7 Series, and Audi A8.
American markets for full-sized luxury vehicles can be seen as ‘barometer’ that can estimate value of a brand. Currently S Class is in the driver seat followed by 7 Series. Although Lexus LS and Audi A8 had been competing each other for the third place, Genesis 90 was able to surpass LS (944) and A8 (793) and rose to third place in this first quarter. Sales volumes of LS and A8 have been reduced significantly as they are facing full changes.
Experts analyze that popularity of G90 is not simply due to aging of its competitions. Recently American markets for luxury vehicles are being reorganized with RV at the center. Markets for luxury cars in this first quarter have been reduced by about 12.3% compared to first quarter of last year. Even sales volume of S Class, which is in the driver seat in these markets, has been reduced by about 12.5% compared to first quarter of last year. However sales volume of G90 is increased by 95% compared to sales volume of EQUUS (617) during a same period of last year and G90 was the only one to record growth in corresponding markets.
“It is encouraging to see that sales volume of G90 has increased while sales volumes of most of other vehicles such as S Class and 7 Series and other older models such as Lexus LS, Audi A8, and Jaguar XJ have been reduced.” said a representative for Hyundai Motor Company. “G90 is presenting new luxury standards with competitive price and high-tech safety and convenient specifications.
Starting prices for 3.3T premium model, which is the lowest model of Genesis G90, and 5.0 model are $68,100 and $69,700 respectively. Although these prices are higher than price of old EQUUS by about $6,500, they are up to $20,000 cheaper than their competitions such as S Class ($96,575) and BMW 7 Series ($82,295).
G90 also has variety of safety and convenient specifications. It has ‘HDA (Highway Driving Assist’ function that allows G90 to self-drive for about 17 seconds at maximum of 100km/h on a highway and provides connected function by being the America’s first car to have Amazon’s artificial intelligence (AI) personal assistant called Alexa.
Because G90 has home wireless recognition service, one can control G90’s lock and air conditioning systems at home through Echo and start and stop a car. One can also turn on music, order items from Amazon, and read weather or news.
It is expected that Genesis brand will be able to surpass 10% in yearly shares of American markets for mid and full-sized luxury vehicles for the first time since 6 years ago.
Looking at the trend of market shares of Genesis brand, its market shares had continue to decline after 1st generation Genesis reached the highest point of Genesis brand’s market shares at 11.3% in 2011 when 1st generation Genesis brought sensation. Its market shares recorded 9% again in 2015 when 2nd generation Genesis had shown positive performance in sales and recorded 9.6% in 2016 when Genesis brand was established in American market.
Staff Reporter Ryu, Jongeun | firstname.lastname@example.org
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