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G70 Won’t Be Limited To Genesis Dealerships



Hyundai originally wanted to distance the Genesis brand from its more affordable sibling by building standalone dealerships for its winged brand, and they have made some progress with the opening of a flagship showroom based in Seoul, South Korea. Now Hyundai seems to have changed their mind by allowing existing dealerships the option to apply for franchise licenses, reports AutoBlog.

Last year, we were made aware of Hyundai’s plans to separate their luxury vehicles from the more affordable models, similar to what Toyota did with Lexus and that endeavour proved successful. The Korean automaker found that while buyers do like the G90, they weren’t willing to enter a Hyundai store to buy it. Thus the standalone dealership solution.

Now Genesis sales are open to all Hyundai dealerships that apply to become Genesis dealers, though there are certain restrictions. New applicants will only receive 2019 models while dealerships that already sell the G80 and G90 sedans can continue to do so. Old or new, all dealers will have to sign new or revised franchise agreements before the month ends. If neither options are taken, there’s always the settlement money Hyundai is offering.

Of course, Hyundai is still moving forward with their plans to open standalone stores and service facilities.
 

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That's great news considering how scarce the Genesis dealerships will be even a few years down the road. Maybe it'll be better Hyundai dealerships to update their stores instead of outright taking the brand away from them.
 

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Glad to hear they've finally reversed, which was imo a stupid idea to begin with. If you're trying to push a new brand don't make availability so exclusive. Really all they have to do is step up their offered services at dealerships that opt for the licenses. A huge part of being a premium brand is excellent customer service and convenience.
 

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I think that pretty much nails it. More dealerships is certainly a plus as long as the dealership experience is commensurate with the premium experience that Genesis is shooting for. The idea of Genesis-only dealerships would have made more sense if they'd begun the process 18 months earlier. Trying to get enough dealerships up and running for the G70 intro was not going to work on the time frame they attempted.


As enthusiastic as I am about this car, Genesis USA has really done a terrible job of bringing it to the US. Apparently, they have cars already in the US port for which they face expensive storage charges. But they really haven't prepped dealers to receive them. Some dealerships are talking about July as an availability date. But we're yet to see any ads for the car and we still don't know prices. And apparently, no US automotive journalists have gotten a chance to do complete road tests. They're going to need a whole lot more visibility fairly quickly.



One could make a case that the whole future of Genesis depends on this car succeeding and keeping the company afloat until the SUVs become available. G80 and G90 sales are down this year, relative to last year. The G70 will be competing in a crowded segment with declining demand for sedans. It should really be trying to get everything right but hasn't met that goal so far. If pricing is too high, I fear that it may be the kiss of death. Hopefully, they'll have the good sense to price aggressively enough to woo potential buyers from their competition. Those initial buyers can then essentially become spokespeople for the brand and model.


Those of us here and on other Genesis forums know about this car but the larger world of potential customers mostly doesn't. That needs to get fixed. And the car needs to represent a significantly better value than the competition. I guess we'll soon find out whether Genesis realizes all of this.
 
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