Genesis sold over 400,000 units, only 3 service centers

Input 2021.02.09 06:00

Sales exhibition hall and service center, integrated operation with Hyundai
Response to “Service level, not suitable for high-end brands”

With the success of the new sports utility vehicle (SUV) models GV80 and GV70, which were launched last year by Genesis, it is evaluated that Hyundai Motor’s brand luxury strategy is making significant results. However, it is pointed out that the level of service of Genesis is not suitable for the status of high-end brands, as Hyundai Motor and Genesis are still integrated in the sales exhibition hall and service center sector.

According to Hyundai Motor Company, Genesis sold a total of 108384 units last year, the highest sales volume in five years since it was launched as an independent brand in November 2015. It was the first in Korea to overtake Mercedes-Benz and took the top spot in the luxury brand market. In January of this year, Genesis sold 11,497 units, and sales volume surged by more than 283% from the same period last year. Hyundai Motor Company has set a target of 200,000 Genesis sales in domestic and overseas markets this year. It is predicted that domestic sales are showing good performance both inside and outside of Hyundai Motor Company.

Over 400,000 Genesis vehicles have been sold over the past five years since the brand was launched, but it is pointed out that the service level is not keeping up with the market size. In particular, there is a lot of dissatisfaction with the need to share infrastructure with Hyundai Motors because there is no exhibition hall or service center for Genesis. In order to receive A/S service, consumers with Genesis vehicles need to visit Hyundai Motor’s direct service center or repair shop affiliated brand Blue Hands. Hyundai Motor Company is operating 22 directly-managed service centers nationwide and 1369 Blue Hands affiliate brands in maintenance offices.

Some Hyundai Motor Company’s direct-managed service centers operate premium service centers exclusively for Genesis, but there are only three locations across the country, including eastern and southern Seoul and Goyang. There are dedicated counters in charge of Genesis only in 450 out of 1369 Blue Hands nationwide, but there is no unified management policy.

For this reason, when Hyundai Motor Group Chairman Eui-sun Eui-sun declared the launch of the Genesis brand in 2015, ▲ innovation based on safety, convenience, and connectivity ▲ comfortable and dynamic driving performance ▲ elegant design ▲ convenient customer experience as the four core attributes. In the’convenient customer experience’ category, the Genesis strategy is still insufficient.

Kim Mo, an office worker who purchased the Genesis G80 last year, said, “When I bought the Genesis, I expected a premium service different from that of Hyundai, but when I searched the Genesis service center, only Blue Hands came out.” said.

The satisfaction of consumers using the Genesis dedicated service center is very high. Concierge services such as a dedicated maintenance group exclusively for Genesis and a lounge for Genesis customers are also operated separately in three locations in eastern and southern Seoul, and Goyang. In particular, the experienced service manager provides professional management and maintenance services here, and the service manager plays the same role as the’advisor’ of the imported car brand service center.

Hyundai Motor Company plans to expand its dedicated infrastructure in the future in line with the growing market share of Genesis, but it is difficult to significantly expand the exclusive space right away, so the structure that Genesis and Hyundai should receive services together is expected to remain for some time. A Hyundai Motor Company official said, “We are considering a plan to expand premium services for Genesis.”