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Hyundai only major automaker to sell more in 2009 than 2008

12/21/2009, 4:23 PM

By Mark Kleis

Despite a dismal year resulting in a 23.9 percent decline in sales industry-wide for the U.S. market, Hyundai and Kia are reporting an annual growth in sales and market share. Hyundai Motor Company’s success in 2009 makes them the only major automaker to sell more cars in 2009 than 2008.

Hyundai is currently reporting a 4.3 percent market share in the U.S., an increase of 38 percent from only a 3.1 percent share through November 2008.

“In 2009, we learned to never let a crisis go to waste,” said John Krafcik, Hyundai U.S. president, paraphrasing White House Chief of Staff Rahm Emanuel.

What Krafcik was likely referring to was Hyundai’s Assurance Program, launched in the middle of serious economic uncertainty in the U.S. The Assurance Program guaranteed buyers that if they lost their source of income after buying a Hyundai that the automaker would buy the car back with no ding to their credit. This risky program helped not only to move some cars at the time, but proved to gain a fair amount of media attention and generate healthy brand exposure for Hyundai’s new and improved product offerings.

An IHS Global Insight analyst, Aaron Bragman, told Automotive News, “Hyundai was selling peace of mind during an uncertain time.”

“Hyundai has a lot of momentum going for it right now, ” Bragman said.

Hyundai has recently expanded its lineup to include more upscale vehicles, such as the critically acclaimed Hyundai Genesis sedan and its smaller, more sport-oriented Genesis coupe variant. Until recently Hyundai was known as the brand that heavily borrowed designs from other automakers and produced inexpensive and lower quality vehicles, said Krafcik.

Hyundai announced that it intends to expand the Assurance Program in the coming months, with less than 100 vehicles being bought back by Hyundai so far.

In addition to major automaker Hyundai and its subsidiary Kia brand posting market share increases, it is worth mentioning that Subaru has posted record sales several months this year – including its best ever November sales with a 24 percent year-over-year increase. Subaru is expected is to post an all-time sales record for 2009, with market share consistently above 2 percent this year.

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12/21, 4:29 PM

posted by:

CarResearcher

Great cars great company. They will eventually will have the same sales numbers as Toyota.

12/21, 4:38 PM

posted by:

PerformanceGuy

That is because we are in a horrible recession. In a recession, people buy what they need, not what they want. So of course cheaper products are going to do well. This also explains why SPAM sales have gone up, it is not because all of a sudden people love SPAM, it is because that is all that a lot of people can afford.

12/21, 4:38 PM

posted by:

sundi

straight kush

12/21, 4:38 PM

posted by:

Dingleberry Divas of Dallas

Way to go Hyundai!

12/21, 4:41 PM

posted by:

leftwingagenda

if hyundai’s were the cheapest cars on the market you might have a point, PG, but they’re not…and hyundai is not simply selling boatloads of their cheapest model…they’re doing well across a wide price range…if your theory was right, chevy aveo sales would be through the roof…

and nobody warranties a can of spam for 10 years…

12/21, 4:58 PM

posted by:

splunked

considering in 2008 more F-150’s were sold than all Hyundais in total, im not too excited. now that Hyundai is at a full 4% of market share… well also not too exciting

12/21, 5:00 PM

posted by:

bigdawg

Honda & Toyota have something to be worried about with Hyundai. I have driven Honda products for the last 15 years & am seriously consdering either a new Tucson or Sonata as a replacement for my Honda Civic EX-L.

12/21, 5:01 PM

posted by:

NRG

Kudos to Hyundai. I think it is pretty obvious that they are on a roll. I saw this coming 2-3 yrs ago. It’s about time they start getting some respect.

12/21, 5:02 PM

posted by:

JusDubn

So the title states that Hyundai was the only automaker to sell more in 2009 than in 2008 but the last sentence states that Subaru is posting their best sales year ever. Wouldn’t that mean that Subaru sold more in 2009 than in 2008 as well?

12/21, 5:37 PM

posted by:

CarResearcher

PerformanceGuy; Cheaper products….I don’t think so. The more expensive models have spiked their sales numbers…..Genesis, Santa-Fe, Sonata…etc.

12/21, 5:39 PM

posted by:

CarResearcher

Subaru is expecting a sales increase this year also and their cars are not “cheap” either.

12/21, 5:54 PM

posted by:

DenverGuy217

All year long reporters have blabbed about how Subaru is selling more vehicles year over year…and now they are relegated to a final sentence in a Hyundai brag report. odd…

12/21, 5:59 PM

posted by:

johnnycanuck

As good as the current crop of Hyundai/Kia products are there probably still isn’t one I’d buy over everything else in the same class. I would still buy a Versa over an Accent, a Civic over a Forte, a Mustang over a Genesis Coupe and even a current 300C over the Genesis Sedan… but that’s not to say I wouldn’t give them a serious look. And that is something I would not have done even as little as 5 years ago.

12/21, 6:12 PM

posted by:

CarResearcher

DenverGuy; Facts are facts….

12/21, 6:17 PM

posted by:

Mark Kleis

Jusdubn- Hyundai is the only “major” automaker to do this (it’s in the title)… but as the article clarifies Kia and Subaru will be posting gains as well.

12/21, 6:35 PM

posted by:

Elvacano

Well how many units did they sell in 2008? How many more did they sell in 09 over 08? Maybe they didn’t sell that many units in 2008.

I’m not saying Toyota/Honda should not worry about them, but has anyone compared numbers before they talk about how well Huyndais are selling?

Month of December
Toyota 115,200; +9.8%
Ford 105,133; +2%
Chevrloet 100,023; +4.5%
Honda 65,235; +3.7%
Chrysler 63,560; -25%
Nissan 50,644 +29.9%
Hyundai 28,045
GMC 21,301; +5.4%
Kia 17,955
VW 16,250; +13.7%
Mazda 14,255; +0.9%
Pontiac 7,426; -38.8%
Saturn 3,737; -54%

Looks to me like Nissan is the one that should be worried

12/21, 6:47 PM

posted by:

Borat

Based on numbers posted by Elvacano, PerformanceGuy’s argument makes perfect sense. At least to me it does.

12/21, 7:59 PM

posted by:

DrFill

$0.99 stores are having a monster year too

CarResearcher
Have you seen Genesis and Santa Fe sales numbers
Nothing to crow about there

Between 8 models, the whole company can’t crack 500k units a year
Not even close, really
They had nothing to lose

When the economy picks up, their sales will remain in the crapper

They are the Mark Sanchez of the auto industry in the US
Have plenty of talent
But they make bonehead mistake after bonehead mistake
They’ve been here about 25 years
They should have learned somethings by now!

I’d get a Subaru LONG before a Hyundai
Hyundai is no better than Subaru or Mazda
DrFill

12/21, 8:49 PM

posted by:

CarResearcher

DrFill; I have seen the numbers and they are exceeding the expectations of the company. Of course the big 3 American and Japanese brands have more volume because they have more cars.

12/21, 9:12 PM

posted by:

DrFill

CR
3 years ago, they said they’d sell 550k for 2006
Then they lowered their goal to 500k
Now they won’t sell 450k
12k for Genesis sedan

That’s what I call regress

I take it you’re impressed
That makes one of us
DrFill

12/21, 10:17 PM

posted by:

85ZingoGTR

It’s because they are on top of their sh**. They no how to work with a falling market and they succeeded. They come out with programs like Hyundai Assurance and a 10 year 100,000 mile warranty and gets quality ratings matching Toyota but at a nice value. Something GM and Chrysler lacks or is too late in the game. Yes GM was smart in introducing their 5-year 100,000 mile warranty and a 60 money back guarantee. But they ALWAYS introduce them during desperate times.

12/21, 10:23 PM

posted by:

TOZO

There’s a strong correlation between the rise in Hyundai sales and the rise of the H1N1 Swine Flu. STRONG correlation! I don’t know what the masses see in Korean cars – I don’t see anything – but good job, Hyundai.

12/21, 10:33 PM

posted by:

Rafa LL

Elvacano, you Dominican?

It’s not only about getting better sales numbers but how better your sales are, Hyundai still has it’s reputation, they’re fighting against it with 10 year warranties and things alike, but it’s still there.

12/21, 10:59 PM

posted by:

Rover3500

I think its sad that an imagless and desire free company like Hyundai and Kia with their copycat designs and cruddy interiors are outselling so many other more attractive products and an ivocative and unique brand like SaaB is on deaths door. Sad times indeed.

12/21, 11:58 PM

posted by:

chevymanc6

Hyundais only sell because they are dirt cheap. Anything dirt cheap no matter how terrible always sells. But I will admit that they have improved and have better quality than its jap rivals.

12/22, 1:22 AM

posted by:

snipsnorty

Facts dont lie. It’s a fact that the Genesis sedan won 2009 North American car of the Year, Hyundai won (3) Wheels Magazine Annual Gold Star Awards, Intellichoice 2008 Lowest repair cost, NADA Best Car Buy, JD Power and Associates Initial Quality Survey Award, U.S. News and Weekly Report’s best compact car for the money and countless AutoPacific Awards for vehicle satisfaction, Ideal Vehicle Award etc. etc. etc. blah blah blah. Actually I’ve just grown tired of listing all the Awards they’ve won lately. It’s an exhaustive list. Oh and not to mention they have an engine on Ward’s Acclaimed 10 best engines list for 2009. Come on guys, please do away with the cynicism and give Hyundai their kudos. Also Google Hyundai Awards and read them for yourselves.

12/22, 2:29 AM

posted by:

The Pill

Snipsnorty you are absolutely correct. Most people making disparaging comments know very little about Hyundai today except for what they have “heard” or “read†about in the past about the brand. I think for many of these neophytes it is just too hard for them to conceive that their vaulted auto brand “X” is not the big dogs riding herd over previously fledgling brands like Hyundai.

I say previously because Hyundai in 2010 will be heading into strong tail winds moving further up the automotive sales charts and yet still surprising many established brands like Nissan, Honda and Toyota, who for decades, have out distanced all comers in the Asian import segment. What is hard to believe for some is making reality in the market place in terms of sales gains for Hyundai.

Yes, I will agree with those who’ve posted other automakers with higher overall sales numbers than Hyundai, but what they don’t tell you in their post is that these higher sales numbers are driven by their larger distribution networks. However, the price they pay for this are higher per capita marketing dollars to promote the various models and brands, which by the way, does have an impact on their overall bottom line if they aren’t moving higher volume to match their factory output. The rise in sales at Hyundai has a correlative effect in the year-over-year declines reported by Nissan, Honda and Toyota combined.

2010 will deliver even higher sales gains for Hyundai in the foreseeable future as will the rise in their brand equity. Just consider that only a few short years ago, when in 2007, Hyundai had announced its intention to sell an upscale four door Sedan called Genesis in the U.S., the automotive skeptics, pundits and bloggers were ablaze with comments such as, “yeah right”, “no way”, “what a joke” and one of my all time fave comments that I still remember reading on a popular forum, “No one will pay 30 large for a Hyundai”.
Yeah, right.

12/22, 5:44 AM

posted by:

DrFill

Those people, namely me, were right!

They’re selling 12k Genesis sedans a year
In the car business, that is nobody
DrFill

12/22, 8:29 AM

posted by:

cshannon53

Fill,

By your logic that makes the LS460 a “nobody car” selling only 6093 units this year…

Infact one might say Genesis is TWICE as good as the LS460 since they sold nearly 2x as many. But I wont say that, because that would be something you’d do. Make some stupid conclusion based on a number that has way more meaning. Especially since the real comparison is what was Hyundai’s target sales for the Genesis. It happened to be 50,000 units. 30,000 in Korea, 10,000 in Europe, and 10,000 in USA. Looks like they made their goal. Good job Hyundai. You know what that means in the business world (regardless of which company)? The demand is greater than the supply which = PROFIT. Something many car companies havent seen this year.

I own a 15year old Camry with over 275,000miles and I drive it daily – infact I love it. However, I almost know for sure my next car will be a Hyundai and not a Toyota. This is enough to convince ME that Toyota is losing its customers and Hyundai is winning them.

12/22, 9:27 AM

posted by:

RaineMan

Good for Hyundai. These guys really have their shyte together. They could become a major thorn in the side of Toyota and Honda in a few more years.

12/22, 10:47 AM

posted by:

leftwingagenda

borat, how the hell do you agree with PG from elcavano’s numbers? those numbers don’t have a break down of what model is selling more, so how can you say it’s the cheaper models that account for the difference? sorry, man, but you’re just not making logical sense here…

12/22, 11:36 AM

posted by:

Elvacano

Rafa tu lo ‘abe!!

Here is a breakdown of some models;

Camry 27,385;
Accord 17,239;
Altima 15,490;
Fusion 13,774;
Malibu 11,113;
Sonata 8,178
The Accord usually does number in the high 20s or low 30s

Corolla 21,889;
Civic 13,652; -
Focus 10,196;
Elantra 6,127
Jetta 6,012;
3 5,923;
Sentra 5,210;
Once again, Civic usually sells in the 20s and trades places with the corolla for the first place

Versa 5,554;
Accent 3,831
Fit 3,570;
Yaris 3,557;
The fit has supposedly been low on inventory

Traverse 7,054;
Santa Fe 6,564
Pilot 6,502;
Edge 6,461; 2%
Highlander 6,213;
I don’t know if the Santa Fe belongs in here

Escape 15,149;
CR-V 13,955;
Rav4 11,512;
Rogue 5,101;
CX-7 2,209;
Tucson 888
The CRV gets bumped off the first place for the first time in many months

I think the Genesis sold over 1000 units and I don’t know what you want to compare it to

12/22, 2:17 PM

posted by:

Sanandraes2004

If they bring out more rear wheel drive cars like the Genesis Hyundai’s popularity will rise to an all new level. all they need now is to prepare their future line up for the new alternative fuels that will keep these cars gowing after the current petrol fuel becomes too expensive for the average customer.

12/22, 2:48 PM

posted by:

CP1

Reading comp people!

The article states “MAJOR” automaker (to have a rise in sales); Subaru isn’t exactly a major automaker (w/ regard to worldwide sales or US sales).

@PerformanceGuy

If the rise in sales was only due to being “cheap” – then automakers like Mitsubishi, Suzuki and even Chrysler/Dodge (due to all the heavy discounting) should have seen significant bumps – but they didn’t.

Much of the rise in sales has to do w/ new, very competitive models (regardless of price). In Kia’s case, the Forte, Koup and Soul have played a big part in increased sales for Kia.

@DR. FAIL

Once again, you FAIL!

The Genesis sedan is on track to sell about 17-18k units this year.

Considering that the Genesis sedan is selling at about 3X the monthly clip of both the Lexus GS and Infiniti M, I’d hardly say it’s a “nobody.”

If anything, the GS and M are currently nobodies in the auto market (and the Acura RL isn’t even a bleep on the radar).

12/22, 3:38 PM

posted by:

The Pill

Genesis year-to-date sales are 19,535 units combined. The estimated number of sedans sold is somewhere around 15k units with the coupe rounding out the remaining total. July 2008 marked the beginning of sales for the Genesis sedan.

Hyundai’s sales are definitely building strong momentum. The point being, Honda, Toyota and Nissan have a larger dealer network. For example, Toyota alone has over 1400 U.S. dealers compared to just 695 for Hyundai.

Hyundai is actually closer to meeting their sales goal with the Genesis when you factor in a down economy. Hyundai’s November 2009 sales were up by 46 percentage points compared to same sales in November 2008. Their sales are up 6.2 percent overall for 2009 when total sales are factored. December’s numbers, which won’t be reported until the end of this month. But when contrasted against Honda, Nissan and Toyota, their combined sales are off roughly 23%. (source: wsj.com/2009autosalesdata.htm).

Sources – cars.com; edmunds.com; autodeadline.com

12/22, 7:59 PM

posted by:

DrFill

CS
I was hoping you’d be smart enough to keep Lexus out of Hyundai conversations
Guess that makes you about as bright as Hyundai’s marketing dept………..
Bang-up job

CP1
Nice job on the research
Thanks for removing the Genesis coupe sales

That’s what turns me on about you
Your attention to detail
DrFill

12/22, 8:03 PM

posted by:

DrFill

Pill
If Hyundai has only sold 4k Genesis coupes since the Spring
Than the coupe is an epic failure!

I’d bet good money genesis sales this year are split sedan/coupe 50/50

Not long ago, Hyundai thought they’d reach 500k sales annually
They aren’t even close to that

If 10-12k Genesis sedan sales gets you wet…………..
DrFill

12/23, 1:34 PM

posted by:

CP1

@Dr FAIL

It has become WAY TOO EASY to poke enormous holes thru your usual erroneous assertions.

Note that I stated that the Genesis sedan was on track to sell 17-18k units this year – which comes out to about 14,500 per month (the Genesis sedan was selling at about a 1,400 monthly clip prior to the launch of the coupe).

Total Genesis sales for the year (including the coupe should be around 21-22K (and yes, the coupe, unlike the sedan, has been a flop since Hyundai made the mistake of detuning the 2.0T too much).

So as you can see, once again, YOU have made boneheaded comments and LACK ATTENTION to DETAIL (but then again, that makes debunking your assertions and making you look like a FOOL way too EASY).

And I don’t need to mention Lexus (glorified Toyota) w/ regard to the Genesis – many auto publications have already done so (not to mention most posters at the main Lexus forum giving the Genesis respect).

12/23, 5:36 PM

posted by:

Elvacano

Cp1 says:
Note that I stated that the Genesis sedan was on track to sell 17-18k units this year – which comes out to about 14,500 per month.

You wanna clarify that?

 
 
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