Official: 2014 Hyundai Equus
#46
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The Equus is nice and all but the reason it sells low is because it lacks the brand, as discussed earlier. We know it hit sales targets, but that doesn't mean it is a great asset to have.
Honestly, there are too many premium cars in Hyundai's stable at the moment. The Azera, Genesis, and Equus all are fighting for sales. This is also the same brand that sells 14.5k Accents. This is the same problem that cursed the US Phaeton. It is a little wierd to be a Phaeton (Equus) shopper who is looking at cars inside the same dealer building as the shopper who is looking at a Golf (Accent).
Those who can afford the nice cars want to feel "a cut above".
Hyundai should rethink their lineup strategy, axe the Equus, and focus on improving their Accent to Azera (maybe Genesis) stable. They are doing pretty good at improving already. It's all about that money. Take a look at the big boys of Toyota vs. the big boys of Jaguar. One is non luxury, the other isn't. One is wildly successfuly, the other is not so much.
Honestly, there are too many premium cars in Hyundai's stable at the moment. The Azera, Genesis, and Equus all are fighting for sales. This is also the same brand that sells 14.5k Accents. This is the same problem that cursed the US Phaeton. It is a little wierd to be a Phaeton (Equus) shopper who is looking at cars inside the same dealer building as the shopper who is looking at a Golf (Accent).
Those who can afford the nice cars want to feel "a cut above".
Hyundai should rethink their lineup strategy, axe the Equus, and focus on improving their Accent to Azera (maybe Genesis) stable. They are doing pretty good at improving already. It's all about that money. Take a look at the big boys of Toyota vs. the big boys of Jaguar. One is non luxury, the other isn't. One is wildly successfuly, the other is not so much.
I do agree that selling a Full Size Premium Luxury Sedan under the name "Hyundai" is a bad idea in the long run, but we do not know what plans Hyundai may have for the future. What they should do in my opinion is build up their quality, have the Equus become a solid staple in their Hyundai lineup, and at some point in the future launch a separate brand under the name EQUUS. At that point, they will have built up their reputation as being capable of building solid Tier 1 vehicles and perhaps at that point can steal some customers away from the big players and other Tier 2 makes (Acura, Lincoln, Volvo, etc). Baby steps.
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#47
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Originally Posted by sens4
Why would a brand want to axe the best it can offer? Like it or not, the Equus is the flagship of Hyundai. It is the absolute best vehicle they offer at this time. To axe it, when sales are only increasing, would be ridiculous.
In my personal opinion, i think they would be better off taking a chance to just create an upstart brand. THAT is where Hyundai has an advantage. Let's say that Hyundai spins off the brand Skorea. If Skorea is a complete turd and sells way under expectations, axe it ad continue on with Hyundai's mad profits (a few years ago they were the automaker with the highest profits). No big deal for such a big company. If Skorea is successful, good on them. This is Hyundai's advantage because they already have a brand established in selling cars. Other upstarts were not so successful. Alfa Romeo tried sellling in the US, then it figured it was not worth it (though rumors are they are coming back). Same thing happened with Suzuki. Now that they dont sell in the US, they have virtually no income from us.
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#48
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If Hyundai would expand its availability (currently the Equus is sold only at selected Hyundai shops) and give it a real exterior paint-color choice, I think we'd see those numbers go up some.
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#49
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I find it kind of silly for you to be trying to inform me about buyers who are spending $50k+ when I am that buyer.
The Touareg does NOT start at 65k. Explorer does NOT start at 55k. You are using loaded cars to compare to the base price of other cars, that is a little unfair. Let me option out an Avalon to 48K and laugh in the face of those poor people who spend 47k on a base BMW 5.
I assume you live in America.
Ever see those big honking F350s/Silverado HD 3500s? Those big boys cost 65k fully loaded. And I am probably understating it too.
Unfortunately, Hyundai also has a mainstream badge. Few will justify paying a big premium for a massive Accent. Some will. Most wont.
Calling it a massive Accent proves you don't know anything about the car.
Originally Posted by ampipir0n
I've heard you make this claim before and have to say that I have seen the current generation Genesis, and while I'm obviously biased towards the ES, I do keep an open mind. Yes, there are more soft rubberized surfaces on the Genesis, the interior fit and trim seems solid and tight, but overall the interior is plain and cheap. lol, I don't know how anyone can read the interior as "first class luxury"... Maybe business class in some respects, but certainly not first.
I personally care more about quality than flash. 2013 ES interior is all flash and no quality, doesn't appeal to me. When you sit in a Genesis the quality is obvious, you can deny that if you want the reality is what the reality is.
Originally Posted by trexlexus
I suggested killing off the Equus because it is out of place for the brand. It is no different than Toyota selling the LS as the Celsior here. Very hard thing for US customers to justify, as shown from the VW Phaeton.
As for the Phaeton, that was 10 years ago, the world is different now. Do I think buyers are going to abandon Lexus and BMW and MB in droves for Hyundai? No. Do I think Hyundai can get enough appeal to sell maybe 40k Genesis sedans and maybe 10k Equus sedans a year? Yes. Their brand image has come so far in such a short time, its only going to get better.
Last edited by SW17LS; 03-29-13 at 09:08 AM.
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#50
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Originally Posted by sw10es
Remember...I am this buyer, so I know. Value is important at all price points, perhaps even moreso when you start talking about higher income higher wealth individuals.
I find it kind of silly for you to be trying to inform me about buyers who are spending $50k+ when I am that buyer.
I find it kind of silly for you to be trying to inform me about buyers who are spending $50k+ when I am that buyer.
Originally Posted by sw10es
You're not understating it, overstating it slightly.
Look at the F350 King Ranch. I admit that i was very surprised seeing those price tags, as I always associated trucks with lower prices. That article was the one that opened my eyes.
http://www.motortrend.com/oftheyear/...s/viewall.html
Originally Posted by sw10es
Calling it a massive Accent proves you don't know anything about the car.
Originally Posted by sw10es
Thats what you don't understand, they want to move their brand upmarket. Toyota decided to create a luxury brand for the LS, Hyundai did not. Different approaches, we will have to see how it turns out.
Last edited by trexlexus; 03-29-13 at 10:00 AM.
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#51
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I think Hyundai squeezing its way into the near-luxury and luxury space is a good thing (as competition always is) for average consumers. But, I don't think it will work as a long-term strategy without separating the brand into a mass-market and luxury nameplate. (I'll make sure to dig this post up 4 years from now if they decide to do that.) BUT, even if they did that, before any Korean brand is perceived with prestige, it will require a status upgrade for the entire country itself. It is way far off from this (lacking First World status, also see crazy dictator from the Northern half)
Luxury goods are tied to their countries of origin. Unless you're talking about food staples or minerals, if it's something that is manufactured, that country needs to be enviable which unfortunately "Korea" as whole, is not.
Blanket statements are funny
Last edited by amphipri0n; 03-29-13 at 10:31 AM.
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#52
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I don't know about your area, but here in NYC, 90% of all S Class, LS, 7 Series, etc are Black. The rest are a mix between Silver & White mostly. I seriously doubt Hyundai offering the Equus in Red, Blue, or Pink is going to bring them significant sales increases for that model. The reason why Hyundai is only offering the Equus in those 4 colors at this time is because those are the colors that sell. Those are the colors people shopping in this class want.
I've seen you beat this Equus lack of color choice horse time and time again, but I completely disagree that that is the reason why their sales numbers are lower than other premium luxury sedans. Maybe in time they will add more color choices, but for now it's completely unnecessary for them to do so.
As far as availability is concerned, it most likely has to do with the location of those Hyundai dealers and the income bracket demographics for those areas. I'm sure the select dealers where the Equus is available was done so based on solid statistics for those areas.
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#53
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Knowing where the selected Equus dealerships are located in my general area, I'd say they are properly located to hit the target market for this type of car. Probably no need to expand dealershipss at this point.
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#54
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Originally Posted by amphiprion
BUT, even if they did that, before any Korean brand is perceived with prestige, it will require a status upgrade for the entire country itself. It is way far off from this (lacking First World status, also see crazy dictator from the Northern half)
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#55
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I asked my Lexus sales person about LS colors. Virtually every one sold here in Tucson is either black, white, grey, or silver. They did have a Matador Red F Sport, but it sold only with a very large discount.
The large market for sedans over $60K are us senior citizens who have paid off our homes, have no children still in university, and lots of disposable funds. I want a car that rides smoothly, has a large luxurious interior, and is reliable. For me the LS is the car of choice over the S Class by a small margin. I am really considering the Equus as a replacement for my LS since the new LS is stiffer riding and noiser. The fact that it is $15K cheaper is gravy. I worked hard to get to my current status in life, and I don't like wasting money. I could care less about brand prestige. I don't need to impress anyone about how rich I am. That is childish and important to those who have not made it. I don't need to impress anyone but myself.
Steve
The large market for sedans over $60K are us senior citizens who have paid off our homes, have no children still in university, and lots of disposable funds. I want a car that rides smoothly, has a large luxurious interior, and is reliable. For me the LS is the car of choice over the S Class by a small margin. I am really considering the Equus as a replacement for my LS since the new LS is stiffer riding and noiser. The fact that it is $15K cheaper is gravy. I worked hard to get to my current status in life, and I don't like wasting money. I could care less about brand prestige. I don't need to impress anyone about how rich I am. That is childish and important to those who have not made it. I don't need to impress anyone but myself.
Steve
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#56
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I am really considering the Equus as a replacement for my LS since the new LS is stiffer riding and noiser. The fact that it is $15K cheaper is gravy. I worked hard to get to my current status in life, and I don't like wasting money. I could care less about brand prestige. I don't need to impress anyone about how rich I am. That is childish and important to those who have not made it. I don't need to impress anyone but myself.
Steve
Steve
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#57
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The large market for sedans over $60K are us senior citizens who have paid off our homes, have no children still in university, and lots of disposable funds.
I want a car that rides smoothly, has a large luxurious interior, and is reliable. For me the LS is the car of choice over the S Class by a small margin. I am really considering the Equus as a replacement for my LS since the new LS is stiffer riding and noiser. The fact that it is $15K cheaper is gravy. I worked hard to get to my current status in life, and I don't like wasting money. I could care less about brand prestige. I don't need to impress anyone about how rich I am. That is childish and important to those who have not made it. I don't need to impress anyone but myself.
Steve
Steve
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Last edited by mmarshall; 03-30-13 at 10:12 AM.
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#58
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I don't think that color was the main issue there. More likely, it is the LS F-Sport package itself. Most LS buyers want traditional LS ride-comfort/refinement, not quick steering response or a firm suspension over bumps. Same with the Mercedes S-class, which is why (also because of its stratospheric price) not many AMG S models are sold compared to other AMG versions.
AMG's aren't necessarily built for volume, but more for bragging rights of the AMG badge, and obviously the larger the price tag the fewer you'll sell.
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#59
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Hoovey, the F sport LS is outselling the normal one? Wow... That was unexpected. I would've thought that the F sport would be a small niche model.
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#60
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I don't know about your area, but here in NYC, 90% of all S Class, LS, 7 Series, etc are Black]. The rest are a mix between Silver & White mostly. I seriously doubt Hyundai offering the Equus in Red, Blue, or Pink is going to bring them significant sales increases for that model. The reason why Hyundai is only offering the Equus in those 4 colors at this time is because those are the colors that sell. Those are the colors people shopping in this class want.
BTW, where I live (and a lot of new cars are sold in this vast high-income D.C.-area) I see a lot of LS models in various colors. The Mercedes S-Class models in this area, like yours, are mostly black/silver/white, but that is because that is the way dealerships order them. I've had some people tell me that they wanted other colors, but that dealershps just weren't getting any....or that they were being allotted that way.
I've seen you beat this Equus lack of color choice horse time and time again, but I completely disagree that that is the reason why their sales numbers are lower than other premium luxury sedans. Maybe in time they will add more color choices, but for now it's completely unnecessary for them to do so.
As far as availability is concerned, it most likely has to do with the location of those Hyundai dealers and the income bracket demographics for those areas. I'm sure the select dealers where the Equus is available was done so based on solid statistics for those areas.
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Last edited by mmarshall; 03-30-13 at 10:34 AM.
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