REPORT: Hyundai may extend Assurance program, go after fuel economy crown
If you haven't noticed, Hyundai's been on a multifaceted tear lately. Earlier this year, Hyundai came out with its Hyundai Assurance Program, letting customers return their cars if they suffered a loss of employment. CEO John Krafcik confirms that Hyundai Assurance is staying until the end of 2009, and its future beyond that is under serious scrutiny. Aside from its new models, the innovative car-return initiative was probably the biggest news to come out of Hyundai all year, and other automakers have followed suit with similar plans of their own. While everyone else is down and the overall market has taken a 30% whack, Hyundai's U.S. sales are up 2% for the first nine months of this year.
Rather than rest on its laurels, Hyundai wants to further increase its sales. Turning over the cars it has to offer has made the Korean automaker's model mix relatively fresh, and word is they are going after America's fuel-economy crown, as well. While there is a hybrid Sonata on the way, the new model is probably not going to move Hyundai up from #3 in fuel efficiency all on its own (the automaker trails Toyota and Honda), so the rest of its fleet is reportedly getting a fine-toothed once over.
[Source: Automotive News - sub. req.]
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Reader Comments (Page 1 of 1)
The Other Bob 11:16AM (10/22/2009)
This is not meant to be snark, but an honest question: What is the big deal about Hyundai that generates so much positve press?
They really only recently have built competitive models, and those are limited to only a part of their line up. Really, isn't their sucess limited to the Genesis, which doesn't sell in large numbers, plus the Sonata and maybe the Santa Fe? The rest of the lineup doesn't seem that stellar.
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jaywispas 11:51AM (10/22/2009)
No their succes came prior to that in form of the sonata, accent, sante fe and elantra which is their whole line up.. coming from sales experience in Honda, Nissan and Hyundai by far hyundai packages their cars smarter next to Honda (Nissan just doesnt package their cars well at all)....Many standard features less options = more value less monthly payment and better bottom line.... which of late became alot more important.... And ill be honest when i first worked for hyundai coming from a nissan dealer i was a little skeptical but after a few months i realized most complaints came from people who never owned a hyundai and were more concerned about the fact that it was a "hyundai" than the value the car contained but i found those who owned hyundais generally owned more than one and reccomends them highly so take the blinders off my friend and look at this company with an open mind their no joke at all..
The Other Bob 12:01PM (10/22/2009)
jaywispas:
Thank you for the thoughtful response. My main experience with a Hyundai Elantra was from a rental and I could not see it as a great car. (That said, rentals are NOT a good way to evaluate a car.)
Thanks again for the response, I appreciate your perspective.
ConceptVBS 2:00PM (10/24/2009)
I agree with Jay. Both of my neighbors were Toyota fans for the past 10 years. Until a few years ago, one of my neighbors switched to Hyundai and got an '06 Sonata. Now he's got an '09 Santa Fe and just recently bought his daughter a '10 Genesis coupe.
My other neighbor after talking to the first neighbor got himself an '08 Elantra and now is about to purchase a '10 Genesis Sedan for his wife.
They both highly recommend Hyundai to everyone that they see.
Hyundai's quality has been increasing ever since 1999 when they focused completely on quality as the #1 priority. Not until the redesigned '06 Sonata that my neighbor got did I start to change my perspective of Hyundai once an for all as a legitimate auto company. Now, I'm a fan of their cars and their business practices. They seem to have the smart people with brains in their upper management and can read the market very quickly. Its a large company that acts more like a start-up entrepreneur company.
Brandon 11:33AM (10/22/2009)
To me Hyundai is the smart mans Honda. After driving and owning both, Honda has nothing on Hyundai other than a few thousand dollars (and the Crossturd). I see no reason to justify the price premium of Hondas over Hyundais, the interior and exterior quality and styling seem comparable. I've been more happy with Hyundais service than Honda, especially the fact that I can get all the TSBs, service manuals, and recall information direct from Hyundai right on my computer for free.
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Rar 12:58PM (10/22/2009)
@Orion
OK. I understand your logic.
'Hyundai is a serious big player. but i am not like them. I want depict hyundai as inferior manufacturer. Even if i never got a hyundai, I just want depict Hyundai as inferior cars. this 2000 3.5l v6 hyundai, 2004 kia are only exist in my brain. I did not know hyundai did not sell 3.5l v6 car before 2002. Whatever... who care my comments?
Even if I have no proven evidence, I scream loud enough and post everywhere on the internet that Hyundai is inferior cars, then that's all I need to do. No need to have to go through the trouble of having to provide this stupid thing called "evidence"! Whatever, I say is automatically true!'
I know, i know... I fully understand your logic.
chconline 1:58PM (10/22/2009)
Tell me how much your Hyundai is worth after 5 years, and I'll tell you how much my Honda is worth after 5 years.
In all honesty, the biggest challenge right now is that Hyundai and Kia is selling very significant amounts in terms of fleets (Like in the range of 30% if I remember correctly) whereas Honda is less than 1%, and this drives down the resale price significantly. They sell more than GM and Ford in terms of percentage.
I've personally found Hondas to be more refined in unwritten specs, but that does not mean I don't keep an open mind either.
Rick 2:27PM (10/22/2009)
chconline- If you keep a car longer than 5 years, resale value gaps are smaller less important. You'd also have to factor in the Hyundai cost you a few grand less up front, so of course it will be slightly cheaper on the backend. If you keep a car more than 5 years then you aren't worries about resale value because you're done with car payments and just want a car that works and you'll probably drive it til it dies.
Resale value is only important if you want to trade it in within 3-5 years. Beyond that, only reliability is important.
jaywispas 2:43PM (10/22/2009)
@chconline:
First off.... EVERYONE LOSES MONEY ON A CAR PURCHASE..... If you purchae your vehicles to make money.. i would suggest you invest in stock instead because i guaruntee you will lose money regardless.... and to correct you honda doesnt fleet any vehicles whatsoever and is the main (not the only) reason they have a high resale value....second reason is probably their engines and transmissions which are excellent.... I dont think its the fact that people think hyundai is better than honda or any other company i think its the fact that people are finding it harder to justify paying that much more for a product when the diffrence in specifications are minimal .. and most of the time are in hyundai's favor ( like standard usb/ipod ports and tpms)
Most people dont purchase a car every 5 years most people loans aren't even 5 years.... 36 to 48 is for leasing or people who hate interest .... if you plan to keep your car for 5 years or more the diffrence betwen values you speak of are from 700 to 1500 dollars which is about 15 to 25 off monthly your next purchase if you have the honda liek you speak of or maybe hyundai will have a program to match the resale diffrence so i dont see point as a major one
Brandon 5:14PM (10/22/2009)
@Rick
Exactly. My Hyundai Elantra is a 2003. I don't plan on getting rid of it for at least another 2-3 years. It doesn't matter if its a 10 year old Elantra or a 10 year old Civic, the resale will be within a couple hundred dollars. The original purchase price difference to get a Civic equiped the same as my Elantra GS would have been several thousand. Now if the Civic was significantly nicer inside like a Jetta or a Mazda 3 I would consider paying more. But the Civic has the same bland hard plastic and vinyl interior as an Elantra. They are both boring looking Asian cars. Why should I pay 30% more for a Civic vs. an Elantra? The same goes for Toyota in my opinion. Honda and Toyota are brands that demand a premium price for a non-premium product. They cost more because of their name as simple as that.
Orian 12:14PM (10/22/2009)
After owning a 2000 Hyundai and a 2004 Kia I'll never buy another. Service is so-so and both vehicles were in the shop WAY more often than any vehicle should be, especially once you break the 50,000 mile mark. The 2000 Hyundai had to have the transmission rebuilt, the alternator bracket broke, the exhaust manifold and catalytic converter had to be replaced shortly after 65k.
The 2004 Kia with the Hyundai 3.5l V6 has been a total turd. Many mechanical issues - too many to list here without boring people to tears, and of course failed catalytic converters that did internal engine damage and they don't want to fix it, but they sure could replace the cats!
My advice - spend the extra on the Honda. You'll get more mileage with less issues overall and they tend to require less maintenance over all.
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jaywispas 12:24PM (10/22/2009)
whats todays date?
Rar 12:50PM (10/22/2009)
Again, Your comment is 'lie'.
Hyundai did not sell 3.5L V6 Hyundai until 2002.
Xg350 is a first 3.5L V6 hyundai. it sold 2002~2005.
Can you tell us what is model name of your '2000' Hyundai 3.5l V6?
Can you tell us what is the model name of your 2004 Kia?
(Maybe you are googling now. lol)
Rar 12:46PM (10/22/2009)
@Orian
I can't believe your claim.
1st, your comment is 'lie'.
2000 Hyundai 3.5l V6?
Hyundai did not sell 3.5L V6 Hyundai until 2002.
Xg350 is a first 3.5L V6 hyundai.
3rd, you made generalized mistake. Older Hyundai, before 2003, was not a good cars. but, newers are different. Consumer Reports and JD power, autobild...etc. never tell a lie than your comments.
In 2003, According to Consumer Reports, Hyundai’s reliability rankings tied Hondas.
http://www.usatoday.com/money/autos/2003-03-11-cr-picks_x.htm
Hyundai is the Highest Ranked Non-Premium Nameplate in the J.D. Power and Associates...
Mon Jun 22, 2009
http://www.reuters.com/article/pressRelease/idUS150892+22-Jun-2009+PRN20090622
Autobild 2008 Reliability Ratings
1. Toyota
2. Honda & Mazda
4. Opel
5. Hyundai
Jd power dependability. their long term qualty ranking is sharply increased.
I think your comment is ridiculous.
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Rar 1:17PM (10/22/2009)
@Orian
In 2000, There is NO hyundai V6 3.5L model in outside of Korea.
Before 2000, V6 3.5L hyundai existed. It was a Korea only model. It was a Second generation Hyundai Grandeur. it was a mechanical twin of Mitsubishi Debonair.
But, Your other comments show that you living in america. not Korea.
You said like this,
>>"especially once you break the 50,000 mile mark"
Only US use 'mile' as unit of length. Korea use 'Killo meter'. You are not living in Korea.
simple question,
"How can owning a 2000 3.5L V6 Hyundai in US? Even Hyundai did not sell 3.5L V6 in US in 2000?"
liar.
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z-man 1:38PM (10/22/2009)
I may be biased, because I own '10 Elantra Touring, but nothing can touch it in terms of features and the quality of it for the price I paid in this car segment. Just this past Sunday I packed a 124 inch molding inside of it. The ride is smoother and a lot quieter than our '06 Mazda 3 (sedan). Sure, I would've loved to have a 6 speed tranny instead of outdated 4 one, but it works and to me it's not lacking. I also find that the engine, even if underpowered by a modern day standards, has enough pep for my needs. I can't vouch for the long term reliability just yet, but by judging by the quality surveys and what others have commented on Hyundai's exponential improvement just in the past few years, somehow, gives me an assurance that I've got a pretty good deal, again, considering what I paid for the car.
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Phil 6:56PM (10/22/2009)
The Hyundai Assurance Program is really a marketing thing they hope folks won't have to use. For example, I have a 2009 Tucson and if I have to use the Assurance Program, Hyundai will send me a check for $7,500...the rest of the payment to close out the loan is my responsibility, or, I can use the cash to pay the monthly loan until I find employment etc. It's not a 100% buy back at all. The value they quoted on the letter they sent was wholesale value, which would vary by year and make.
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