Guest Post: How Are Hyundai’s Strengths Transferring Across Vehicle Categories?
Written by Lincoln Merrihew (contact - e-mail) -- August 27th, 2008 |
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While Hyundai got its start in the US over 20 years ago with small vehicles, it has aggressively expanded its lineup upwards in size and price, including the just-launched Genesis luxury sedan. Like any brand expanding its portfolio, it is hoping positive consumer perceptions for the existing models carry over to the new ones.
But what are those strengths for Hyundai? Which ones are carrying over to the larger and luxury models? TNS Autos (a sister company of Compete, a unit of TNS Media) investigated in a recent survey.
What we found
- Price, Fuel Efficiency, and Warranty were reported as the greatest strengths for Hyundai’s small and mid-size models.
- These strengths have not translated to the large and luxury models, with the apparent exception of Warranty. However, Hyundai is currently publicizing that it has “America’s Best Warranty.” (The closeness of the results for warranty suggest the campaign has been effective across both vehicle sizes—a separate but important finding.)
- The attributes with the smallest difference are relatively weak for both vehicle size categories.
- The gap between Price and Value for small mid-size models may be explained by weaker results for Quality and Standard Equipment.
- Quality was near the bottom for both sets of vehicles despite quality gains reported in some syndicated automotive industry reports.
The lack of transference—at least to date—represents a challenge for Hyundai. And, the established models face some lingering obstacles. Logical next steps to influence consumer perceptions and behaviors on the road to driving sales include:
- Identify what is impeding perceptions of Hyundai vehicles in general and what is impeding transfer of the more positive perceptions to all models in the line-up
- Benchmark results for Hyundai models against target and in-market rivals (in-market rivals can be identified by Compete cross-shop data)
- Identify which attributes specifically drive or inhibit consideration
- Ensure that messaging effectively targets those through pre-launch ad testing, in-market ad tracking, changes in consideration, increase in in-market shoppers and changes in in-market cross-shopping behavior
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August 27th, 2008 at 1:51 pm
Interesting data… even more interesting that Hyundai came out with a luxury model!
August 27th, 2008 at 2:48 pm
Great post. I love what you guys do. And to prove it, i wanted to let you know about my AllBusiness.com post. Keep it up — i love the insights you guys share.
TJ McCue
Q4 Sales and Advisor at AllBusiness.com
http://www.allbusiness.com/marketing-advertising/marketing-advertising/11480393-1.html
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