10 years ago, Hyundai launched a new brand and called it Genesis. That name was close at hand, of course, given that the Korean automaker had in its lineup a premium sedan bearing that nameplate. In fact it was at the launch of that model’s 2015 edition that it became clear something more was brewing behind the scenes.
Sure enough, the Genesis brand was officially introduced a few weeks later, on November 4, 2015. The first models under the new banner arrived in the fall of 2016, as 2017 vintages. First up was the full-size G90 sedan; it was followed by the midsize G80 sedan. In 2018 came another sedan, the smaller G70.
There were skeptics at the time - hardly surprising, that. Creating a new brand is never an easy undertaking, and this is especially true in the luxury vehicle sector, populated by established brands with very loyal customers.
Yet here we are, a decade on, and the brand is still here, and stronger than ever. What’s been its secret? Well, to use a golf term, it’s hit a bunch of birdies.
The allusion to golf is no accident. There’s a special link between the brand and the sport (we'll come back to it), and anyways golf is in the air this week as the Masters Tournament is about to kick off in Georgia.
The strategy
In any case, hitting those birdies required a strategy, and Genesis had one, which it has stuck to faithfully. It’s a strategy built on the idea of small steps. Building its roster first with the introduction of three sedans was not happenstance; it gave the company time to build itself a dealer network, a distribution chain and the production capacity to meet demand. SUVs were going to wait a bit.
The SUVs did follow, when the company was ready. First came the GV80, and then the GV70, which quickly became and remains the brand's best-seller. Electrified models also came, when the company was ready: the GV60, and the battery-powered variants of the GV70 and G80 models.
And while the steps were incremental, it all happened in less than 10 years.
The one-million mark
A look at the brand's results shows that its approach has paid off. In 2023, Genesis sold its one-millionth vehicle worldwide. In the U.S., an important market, growth has been gradual, with new states welcoming dealerships each year.
Further north, 2024 was the best year in the brand's history in Canada with 7,040 units sold, a gain of 6.4 percent compared to 2023. That continued through into the new year, with Genesis recording its best January ever with 452 sales, a 12-percent increase compared to January 2024. In total, the company has sold some 30,000 vehicles in Canada since its founding.
Other key moves
There are other factors behind the company’s progress, of course. First, there’s the quality of the products, which is undeniable. But not to be underestimated is Genesis’ simplified selling strategy that starts with all-inclusive pricing, to the delight of the many consumers who don’t like negotiating. Surprises are rare at Genesis.
Perhaps even more important, for customers, is the way they are treated by the brand. That’s something we can attest to, having been told just that by customers over the years. For too many car shoppers, the dealership experience can be a stressful, frustrating one. Genesis set out from the start to deliver a customer-focused experience. A dealer confided to us that their income is based on the feedback that customers give to the brand regarding their experience.
In other words, poor quality service translates into less income. Offering quality service is good business.
Coincidentally, this way of engaging with customers is part of the brand's DNA. Korean executives often speak of guests rather than customers. That might make us North Americans smile, but there is something worth exploring about this fundamentally different approach.
And that in part explains Genesis’ singular focus on ensuring customer satisfaction. That can take the form of offering a valet service with at-home pickup and courtesy vehicles when vehicles are in for service, regular maintenance free for five years, and with certain models, premium attention with winter/summer tire changes and storage for a period of five years.
In short, doing more to stand out, but also to show the customer that they are important.
It's in the DNA, as we mentioned, but it must also be recognized that the company has no choice but to act this way. To establish itself against those big, established players, it must act differently and make an impression with the clientele.
Golf
Which brings us to talk about golf a little. Last September, the brand invited automotive and sports journalists to Montreal for the Presidents Cup, an event held alternately in Canada and the United States every two years, in even years, and which pits an American team against an international team, excluding European players (the Ryder Cup pits Europe against the U.S., also every two years, in odd years).
Why is this relevant? Because Genesis was the official automotive sponsor of the 2024 Presidents Cup. Naturally, three of its vehicles were displayed on site, and company representatives were on hand to answer any questions. The brand also had a hospitality suite. Let's just say it was difficult to walk the fairways of the Royal Montreal Golf Club without seeing a brand logo somewhere.
Which prompted a few questions to executives regarding the brand's association with golf. We know that Genesis supports other tournaments and is even the official sponsor of its own tournament, the Genesis Invitational, held every year in February at the Riviera Country Club in the Los Angeles area.
As it happened, we were scheduled to attend that tournament, but that fell through due to the fires that ravaged the Los Angeles area at the beginning of the year.
Still, we were able to chat with Éric Marshall, the Director of the Genesis brand in Canada, to see how the company viewed its commitment to golf. First question: By the way, why golf?
"Golf is a growing and evolving sport. Before, it was more difficult for individuals to access, but we feel things changing. For Genesis, this represents an interesting opportunity, as we are associating ourselves with a sport that is seen as more modern, cooler," explained Marshall.
He added that the company's guest-focused philosophy is very well-suited to the golf environment. In the tournaments where the company is involved, it maintains, thanks to an agreement with the PGA (Professional Golfer's Association), the Genesis Club in which visitors are welcomed and treated with great care, which makes them want to associate with the brand, talk about it with their friends, etc. Inside the Genesis Club, there’s even a section featuring some of the items found in Genesis boutiques, to provide guests with a glimpse of what the brand offers.
“We mustn’t forget that we are still a young brand,” added Marshall. “Participating in this kind of event gives us the chance to make ourselves known. At the Presidents Cup in Montreal, we had a hundred vehicles on site as courtesy cars, which represents incredible visibility. In fact, it helps with brand recognition and gives people the chance to discover our vehicles.”
“And what we have also understood is that with a sport like golf, people who play it tend to support the brands that associate with it, which is excellent for Genesis.”
The Presidents Cup was the biggest event in which Genesis has participated in Canada. And in the U.S., the Genesis Invitational is an even larger affair since the company is the main driver behind the event. Marshall explained that the company paid for part of the food and drinks for spectators - a sure way to be appreciated, it goes without saying. And this brings us back once again to the brand's philosophy; treat your guests well, show that they are important.
And Genesis has further plans. Those who follow golf a little more closely will have witnessed at the beginning of this year a competition of the new TGL (Tomorrow's Golf League), which was held indoors. We'll let you discover the format, but what's relevant here is that Genesis was involved.
Another great way to be seen and to make oneself known to a new clientele.
Clearly, Genesis' first decade in the market has seen it innovate and progress. And if the trend continues, the second will seen it do even more.
