- Fewer than 100 people turned in vehicles because of job losses under Hyundai's vehicle return program.
- The program, which was introduced in January 2009, lets customers return their vehicle if they unexpectedly lose their income.
- Hyundai is looking into whether to continue the program.
SUPERIOR TOWNSHIP, Michigan — Fewer than 100 people turned in vehicles because of job losses under Hyundai's pioneering vehicle return program, said John Krafcik, president and CEO of Hyundai Motor America, on Thursday in a meeting with reporters here. So there is some question whether the Korean automaker will continue the program as the recession seems to ebb.
"We're surprised it still has resonance," Krafcik said, adding that the automaker is looking into whether to continue the program. Hyundai sold 435,000 cars in the U.S. last year.
The vehicle return program, which was introduced in January 2009 and lets customers return their vehicle if they unexpectedly lose their income, falls under the umbrella of the Hyundai Assurance program, which includes the automaker's warranty program and 24-hour roadside assistance.
Krafcik said that Hyundai's American arm is focusing on improving showrooms this year and beefing up the customer's "retail experience."
"We're nowhere near where we want to be," he said. "This is the No. 1 priority for us this year."
The wide-ranging conversation with reporters included a look at the launch of seven models in the next 24 months in the U.S., including the 2011 Hyundai Equus. Pricing on Equus is expected to be announced in a few weeks. The 2011 calendar year will see the debuted of the redesigned Hyundai Elantra, Hyundai Accent, an unnamed sporty coupe and the Hyundai Santa Fe.
He said the 2011 Hyundai Sonata has had a quick start out of the gate since going on sale in February. Krafcik said the automaker expects to sell 12,000-15,000 Sonatas in March. "Sixty to 70 percent are the new model," Krafcik said.
Krafcik described the launch of the 2011 Sonata as "the single most important launch for the Hyundai brand." The automaker plans to spend about $160 million on advertising for the car's launch versus about $120 million for the launch of the 2006 Sonata and $80 million for the launch of the Genesis.
Inside Line says: We'll know the recession is over when Hyundai pulls the plug on the vehicle return program. — Anita Lienert, Correspondent
Add A Comment »
johnferinal says:
10:39 PM, 03/23/2010
To all the wannabe economists, stop shitting on this blog and start resolving american recession.
tbone85 says:
03:34 PM, 03/22/2010
That may be the single most illogical argument I've ever read on the internet, making you a person of enourmous "talent". Your economic analysis is nonsensical, and your insult to American workers is distateful. It's logical that the foreign owned factories exist here given how many of our dollars are poured into these vehicles. However, sending our wealth overseas in a massive imbalance of trade is markedly bad for our econonmy and national self-determination.
Where a company is headquarters matters because that's where many additional non-factory jobs are located. Coprporate HQs are also contributors of large amounts of disposable income into local economies (you looked around Detroit latelye?). Local charitable and community contributions are always higher in HQ versus regional offices. If there were sufficient "Ipods and Microsoft" being sold to offset autos, consumer electronics, and other categories, then we would not have a negative balance of trade with Japan. Don't drink the Kool Aid.
mungmibear says:
03:00 PM, 03/22/2010
Hey 94 accord lover.
Money goes around and comes around.
If you buy a Honda accord which is made in Japan, those dollars you spent will comeback when Japanese people buy Ipod or Microsoft okay?
So, if Americans suddenly decide they will only buy domestic goods, you are only helping domestic firms; not consumers. When 3 big automakers' sales go up, you think it is going to better for American people? nonono my friend.
what is more, Hyundai/Kia are made in American factories.
I'd love to see those 10% of Americans go back to work and they will in about couple of years but half of them never will because they are not willing to.
tbone85 says:
07:51 PM, 03/19/2010
I drove the 2009, and I was very impressed. It's not as nice looking as the 2011, and there are probably a number of other improvements, but the previous generation Sonata is what convinced me that Hyundai could compete toe to toe with the best in the mid size sedan segment. For the right price, I'd certainly take one as an everyday car.
94accord_lover says:
07:28 PM, 03/19/2010
The recession is over because Hyundai is contemplating dropping the return program? Oh thank God, I can spend money again and buy new stuff. Wait, no I can't because I don't have a job. Sorry, but the recession isn't over until things are made in American factories again, and Americans go back to work.
tmanz says:
12:22 PM, 03/19/2010
nah, the cash for gold ads will run as long as there are people that want to unload stolen jewelry without the risk of someone local recognizing it or asking questions :)
With the sonata, can you imagine the conversation
"I just bought a new Hyundai Sonata"
"really? The new cool looking one that gets all the great reviews"
"No, the old 2010 ones they are trying to get rid of."
"oh"
awkward silence.
dg0472 says:
11:09 AM, 03/19/2010
I think if I were in charge, I'd see about negotiating new rates with the company that underwrites this and keep it going.
tbone85 says:
11:08 AM, 03/19/2010
Now THAT was funny! :-)
thejohnp says:
10:20 AM, 03/19/2010
You'll know the recession is over when you stop seeing "Cash for Gold" commercials on TV.