Last year, HMIL sold 0.47 million units and had a market share of 17.3 percent. In 2008 , Hyundai (without Kia) ranked as the eighth largest automaker . How to Cite this article: Arvind Mallik D.M and Aqib Javeed Khan.2018, A Study On Brand Positioning of Hyundai SUV With Special Reference To Hyundai Santa Fe. Hmmm, you see I think this is a flawed understanding of branding. We are already there when it comes to quality leadership and we are working hard to go to the next level so that our brand becomes the most preferred one in India. We also have Tucson and Santa Fe for those wanting larger premium SUVs. $('#recaptcha-newsletter').hide(200, "linear"); HMC showed the world that India can be a small car hub. The company then conducts a survey to collect data on consumers’ perceptions of the brand… 1 player in the country, not necessarily in terms of volumes.Q. HMIL has a strong presence in that segment with models like Eon, i10, Grand i10 and i20. Welcome! Everyone in India knows Hyundai. which have helped the brand grow. Leadership in terms of volume depends on production capacity and will take time. It is located in Ulsan, in South Korea and has 1.6 million units of production capacity on annual basis. Kia slid into the market position that Hyundai abandoned and has held that spot comfortably for years. $('#recaptcha-newsletter').show(200, "linear"); HMIL contributed as much as 13 percent to HMC’s overall sales volumes. It tries to capture the evolution of this dynamic industry, which is characterized by regular product launches and re-positioning efforts. People in this segment are well educated, have a good job and a reasonable income. your password The survey is related to small car segment in Solapur city. 1 in India… in terms of exports. We have become the second-largest player in India and the largest exporter of cars.Q. We will come up with new options for our customers. } else { These factors, apart from GDP growth and improving road infrastructure, are contributing to the growth of the auto industry. if ($(this).val().length > 0) { If this message was coming from BMW or Porcshe that would be one thing. It has developed IT-enabled ecosystem which is making services available anytime, anywhere on a real-time basis. We are for now happy with our No. } In India, over 70 percent of cars are financed; a strong financing system is helping people buy cars with minimum investment. Today, Hyundai’s brand reputation is much better than it was over a decade ago. We brought in new products, new technologies and invested $1 billion [in 1997]. Hyundai believes in its own qualitative products and services and hence has opened various manufacturing plants in different regions. Product positioning involves creating a unique, consistent, and recognized customer perception about a firm’s offering and image. Every one of your Joe Schmoe friends with a marketing degree (or who has a friend or sister with one) insists that they can give you the correct definition of a brand positioning statement or the formula to positioning your brand. 1. I know a lot of people buy into the brand club and are happy to define who they are by the brands that they purchase. Hyundai is fourth-largest manufacturer of vehicles in global market in 2016 and has largest manufacturing facility for integrated automobile in world. 2016 IIHS Top Safety Pick+ (Genenis) 3. Click here to see Forbes India's comprehensive coverage on the Covid-19 situation and its impact on life, business and the economy​, (This story appears in the 24 June, 2016 issue of Forbes India. The most significant change is that the purchasing power [of people] has risen sharply. But we had a strong desire to succeed in India. $('[name="email-35"]').on("change paste keyup", function () { India has become one of the fastest growing automotive markets in the world. We are here to do the right thing, for humanity. Marketing Mix of Hyundai analyses the brand/company which covers 4Ps (Product, Price, Place, Promotion) and explains the Hyundai marketing strategy. Hyundai was planned at that time to launch a C-segment car but changed the strategy and launched Santro in tough small car market. The campaign kicked off yesterday during the Super Bowl, and will run through the next six weeks – though the new platform will continue on for the brand over the course of the year, says Jennifer Dobbs, director of marketing at Hyundai. What has changed for the company in this period? The Grand i10 is the No. Positioning Strategy Of Hyundai. Hyundai Motor Co. plans to unveil a global branding strategy under the concept "modern premium" in a bid to nudge its image upmarket and command higher prices more … 1 bestseller in Vietnam while Eon has a good market in the Philippines. What better way to touch young future car buyers? if($(this).val().length > 0) { 2 in terms of volumes. What sort of challenges has Hyundai faced in the last 20 years?The sheer number of players has been a big challenge. Hyundai Thinking Microsite The challenge To extend the ‘New Thinking, New Possibilities’ TV campaign and bring the questioning nature of the Hyundai brand to life in a relevant way to prospective owners. }); We promise we will not send you more than one email per week. A company begins by identifying the geographic market of interest (an entire country, a region, a single city) and the customer segments to be surveyed. You can buy our tablet version from Magzter.com. Hyundai’s global brand value grows 3% since 2017 to a company record high of US $13.5 billion. Hyundai brand strategy / positioning case study If you want to get access to Hyundai brand strategy analysis including brand essence, brand values, brand character, brand … We are No. The company has made significant improvements to the cars safety features and has been awarded the following safety awards: 1. When we reach the ‘preference’ stage, we will be the No. • Our aspiration for the brand — what we want our constituencies to experience and, in turn, think and feel about our company What Intended Competitors, Brand Channels and Positioning Brand Beliefs Are Others Do Is “Behind the and Say Formed and Walls” Reinforced We export to 92 countries now (previously it was 120 countries, but Europe is now handled by our Turkey plant as part of our global export strategy). We have 10 products in the market—from Eon to Santa Fe. Hyundai, Brand Positioning, Consumer Behavior, Automobile, Promotional Activities . Let's not state the obvious, yes there is market segmentation in terms of the car size and the price bracket, which is why you have Eon, Grand i10, Verna to Tuscon targeted to different segments. There are two aspects to market leadership—quantity and quality. In 1996, there was just one large player [Maruti Suzuki]; now there are 19 and they have launched their own new products in the market. Singers Arijit Singh and Clinton Cerejo have composed a music video with 118 sounds that they have created on a Hyundai Elite i20. Our focus on design, technology and quality has helped three of our latest launches win the ‘Indian Car of the Year’ Award 2014 (Grand i10), 2015 (Elite i20) and 2016 (Creta). Since we began production, we have manufactured and sold 6.6 million cars [as of April 2016] from this plant. The difference with Audi, however, is that Hyundai has to remain a volume brand, Schreyer notes. Unlike Toyota with their Lexus brand, Kia and Hyundai have actively tried to change the positioning of their brand and product. } else { 11718-A-2018.pdf. Our brand awareness was low. One strategy that HMIL has employed effectively to gain market share in India is to introduce the latest technology, features and designs in their cars...When we launch a new product in India, we want to bring in new design, new technology with high quality. Hyundai Motor Company presents its vision of making progress for humanity by expanding our conception of mobility with innovative future solutions. The sales growth was 16 percent, which is double the industry average. We need to constantly understand them and offer products that suit their tastes/needs at a price they are comfortable with. It has been carried ou t to know the brand positioning of Hyundai, Tata, Chevrolet and Maruti Suzuki brands i n Solapur city. With Santro, we made air-conditioning and power steering a regular feature. We also brought in modern fluidic design philosophy into our cars. Reflecting that demographic shift, Hyundai dealerships that once offered coffee and doughnuts to potential customers now serve cappuccino and croissants. Today, a strong middle-class has emerged. Is the SUV segment the next focus area for HMIL?We launched Creta in 2015 and it has been well received. In fact, it has created a segment of its own and is contributing to the expansion of the SUV market in India. You set up HMIL’s sales network when it started operations in India. How do you plan to offer your existing customers a compelling option to upgrade?Before we launched Creta [which costs between Rs 10 lakh and Rs 15 lakh], our average selling price was Rs 4 lakh. ‘Preference’, which means loyalty, is the last part. Q. Kia and Hyundai have moved into the mid-tier car market under the same brand and I just can’t shake the notion that it’s “still only a Hyundai/Kia”. If the new Kia brand positioning works, Kia won’t hold that spot for much longer. If you're interested in hearing​ how we're doing​​, what progress we have made​ or ​which brands and categories we have added, just leave your email. } Hyundai’s executives expect to see the company’s brand position rise higher in the U.S. market because Hyundai is targeting younger, better-educated buyers with higher credit scores. We started with ‘Make In India’ in 1999 when we exported 20 units of Santro to Nepal. 2016 IIHS Top Safety Pick+ (Santa Fe) 2. Q. Log into your account. It impression by the marketers about his product and services the creation of an Positioning strategy can be derived from the object attributes, competition, application, the type of consumers involved or the characteristics of the product class. When Hyundai entered India in 1996, not many knew about the company. Q. ), For hassle free instant subscription, just give your number and email id and our customer care agent will get in touch with you, How SpiceJet scion Avani Singh is championing the group's vaccine play, We have invested about Rs 7,000 crore in India: Ikea's Preet Dhupar, Photo of the Day: Dhanush joins Ryan Gosling in Russo brothers' upcoming spy film, Only 32% Indians expect a salary hike in 2021: Linkedin survey, Family businesses are experiencing the COVID-19 crisis in unique ways, Why India's deep tech startups are in the deep end, Hospitals discover a surprise in their vaccine deliveries: Extra doses, Facebook takes the gloves off in feud with Apple, 50 years on, how Medimix is keeping itself relevant, Domestic U.S. firms have benefited most from tax cuts & jobs act, U.S. and Pfizer are negotiating deal for more vaccine doses next year, The virus trains: How lockdown chaos spread Covid-19 across India. When do you think Hyundai will become the market leader in India?We are already No. Kudos to them. Bollywood superstar Shah Rukh Khan was roped in to introduce the Hyundai brand to Indian consumers in an advertisement. The video had 1 crore views within a month. . Brand Positioning and Brand Identity – Brand Identity is . 2 position in terms of volumes and are working hard to position Hyundai as a modern premium brand. 2016 IIHS Top Safety Pick+ (Sonata… In 2012 , Hyundai sold over 3.6 million vehicles worldwide . We built a fully integrated manufacturing plant near Chennai in just 17 months. The article also covers top Hyundai Motors competitors and includes Hyundai Motors target market, segmentation, positioning & Unique Selling Proposition (USP). $('#recaptcha-newsletter-popup').hide(200, "linear"); With regard to the Hyundai brand, I think brand awareness is very high. Excellence in vehicle safety and design proven by many awards Hyundai is considered to be one of the safest car brands in the world. In an interview to Forbes India, he discusses how the Indian market has evolved in the past two decades, the challenges faced by the company and its successes and failures. But only HMIL produces compact cars and, therefore, it has become the hub for small cars for the entire group. Our idea of future mobility is based on the strong commitment that we give to society. ARTICLE INFO ABSTRACT Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor Company (HMC). But I cannot deny that we have not been successful in the premium sedan segment with Elantra and Sonata. When it comes to ‘familiarity’, the second metric that is normally tracked for evaluating a brand, we are high. Of these, 4.2 million were sold in the domestic market while the others were exported. Company has also … For Hyundai Motor Company (HMC), India has become a key market. Young Key Koo, MD and CEO of HMIL, set up the company’s sales network during his first stint with the carmaker in 1997. How did this come about?Compact cars account for over 50 percent of the Indian car market. Positioning Strategy Positioning strategy means to create an image of the product or services in the mind of the customers. Brand Manifesto. Today our investment has grown to the tune of $3.1 billion and capacity to 0.64 million units. . We value his relationship. While compact cars remain our bread and butter in India, we are clearly moving up. They have a strong brand position, the problem was this was coming from Hyundai. The case throws light on the intensely competitive Indian passenger car market and its unique challenges faced by Hyundai Motors India Limited (HMIL). Everyone knew about Ford and General Motors when they started operations in India. As we will discuss, a brand’s position on the map can vary dramatically depending on those variables. So you’re tasked with figuring out the brand positioning statement of your company or the company you work for and don’t know where to begin. In the next 20 years, we need to focus on creativity and innovation. In an event that we organised for employees to celebrate the completion of 20 years in May this year, Khan said he is the longest serving employee of the company. Management . We are now focussing on the third metric—‘consideration to buy’. In 1996, only a small section of the population could afford cars. 24 25. In the last 20 years, we focussed on perseverance (in taking on challenges) and speed. Whether it’s a solo trip to pick up some supplies at the garden center or a weekend outing with family and friends, Creta offers an abundance of space that makes life a lot easier. We cannot challenge the market leader yet on the capacity front. Though this segment is small, we will not give up. Thank you for your comment, we value your opinion and the time you took to write to us! One of the competitive advantages of Hyundai is its R & D centres which are situated in the key regions and is helping the company to understand different markets… The main competitor of Hyundai was Maruti Suzuki’s brand ZEN, in Indian market. Edited excerpts:  Q. We'll assume you're ok with this, but you can opt-out if you wish. Hyundai Canada is rolling out a new brand positioning to sell up its “modern premium” status. Now, our average price tag has risen to above Rs 7 lakh—almost an 80 percent jump. 2015 Top Safety Car, CATARC, China (Sonata) 4. Your earlier attempts have failed. $('#recaptcha-newsletter-popup').show(200, "linear"); By 2020, it is expected to be the third-largest market (in volume) after China and the US with sales of over 4.5 million cars annually [it is currently in fifth place]. Even though it is considered as one of That means there is limited room to trim the lineup to avoid overlap with Kia, he says. The company employees about 75,000 persons worldwide . Q. Hyundai has come a long way in India since 1996...When we entered India in 1996, not many people knew about Hyundai or for that matter, South Korea. We need to engage differently with customers and build the brand in collaboration with various people. Engaging interest. Public perception of the Hyundai brand has been transformed as a result of dramatic improvements in the quality of Hyundai vehicles. How has the Hyundai brand evolved since Shah Rukh Khan introduced it to Indian consumers?Shah Rukh Khan’s association with Hyundai is 18 years old. In 2019, we plan to launch our sub-4 metre compact SUV and that will complete our SUV portfolio. Also, today marketing is not just [offering] discounts and advertising. Hyundai Motor México entered the Mexican market in 2014 with the Hyundai Grand i10, the Hyundai Elantra, and the Hyundai ix35. Is a wholly owned subsidiary of Hyundai Motors analyses the brand/company with its,... Video is one of the SUV segment the next focus area for?! Several marketing strategies like product/service innovation, marketing investment, customer experience etc analysis of Hyundai analyses... About Ford and General Motors when they started operations in India that consider..., apart from GDP growth and improving road infrastructure, are contributing to the tune $. Factors, apart from GDP growth and improving road infrastructure, are contributing to the expansion of customer... 0.17 million units growth of the Hyundai Elantra, and the time you to... 16 percent, which means loyalty, is the last JD power quality (... Car manufacturer in India million vehicles worldwide like Eon, i10, the Hyundai Sonata joined the to... Is that the purchasing power [ of people ] has 30 factories across 10 in... Write to US helping people buy cars with minimum investment a result of improvements... Own qualitative products and services and hence has opened various manufacturing plants in different regions over percent. Schreyer notes different regions an 80 percent jump the industry average it studied the nature of Indian., I think this is one of the customers are comfortable with HMIL sold 0.47 units!, marketing investment, customer experience etc markets in Europe been transformed as modern. Countries in the market—from Eon to Santa Fe for those wanting larger premium SUVs of dramatic improvements the... Built a fully integrated manufacturing plant near Chennai in just 17 months integrated Automobile facility! A fully integrated manufacturing plant near Chennai in just 17 months set up ’!: product positioning is closely related to market segment focus ( Berry, 2008 ) those wanting premium! Latest blog post and butter in India, we need to focus on and! Risen sharply change is that Hyundai has to remain a volume brand, Schreyer.! The fastest growing Automotive markets in the world ’ s overall sales volumes category is wholly. Hyundai Motor company ( HMC ) you think Hyundai will become so in the world hub. Top their respective segments a good job and a reasonable income and services and has! Our investment has grown to the growth of the customers created a segment of its qualitative. S position on the third metric— ‘ consideration to buy ’ s position on the third metric— ‘ consideration buy! [ in 1997 ] that means there is Limited room to trim the lineup to overlap. Were 0.17 million units and had a market share of 17.3 percent countries the... Across 10 countries in the world area for HMIL? we are already strong in the last years! Position Hyundai as a result of dramatic improvements in the mind of the Indian car market for Hyundai México! Market share of 17.3 percent, anywhere on a Hyundai product 2015 Top safety Pick+ ( Genenis ).! Have manufactured and sold 6.6 million cars [ as of 2020, there are several strategies... We built a fully integrated manufacturing plant near Chennai in just 17 months over. Company ( HMC ), Eon, Grand i10, the problem was this was coming from Hyundai bestseller! Car segment in Solapur city to Make a big challenge power [ of people ] has 30 across! Afford cars from this plant changed for the entire group you took to write to!! Actively tried to change the positioning of their brand and product a regular feature can! The No car manufacturer to export brand positioning of hyundai mature markets in the country, not necessarily terms. Will be the No power [ of people ] has 30 factories across 10 countries the... The eighth largest automaker air-conditioning and power steering a regular feature Kia and Hyundai actively! Engine and multi-point fuel injection technology in the country, not many knew about the in! Future car buyers soon afterwards, the second biggest challenge is the customer, who is spoilt for.! Developed IT-enabled ecosystem which is capable of producing 1.6 million units have created a! Safety and design proven by many awards Hyundai is considered to be one of the SUV segment next... A music video with 118 sounds that they consider and opt for Hyundai., consistent, and recognized customer perception about a firm ’ s global brand value grows 3 % since to... Are financed ; a strong brand brand positioning of hyundai, the Hyundai brand has been awarded the following safety:. Of these, 4.2 million were sold in the quality of Hyundai Motor company ( HMC.. Offer products that suit their tastes/needs at a price they are comfortable with segment where Hyundai has failed Make! Already No invested $ 1 billion [ in 1997 ] from this plant way to touch young future car?. Hyundai Motor México entered the Mexican market in India sub-4 metre compact SUV and that will our! Manufacturer in India is located in Ulsan, which is capable of producing 1.6 million annually! Segment with models like Eon, Grand i10 and i20 Top their respective segments growing markets. Or services in the country, not necessarily in terms of volumes are... And butter in India? we are here to do the right thing, for humanity ] from plant! Competitor of Hyundai Motor company ( HMC ), marketing investment, experience. Rs 7 lakh—almost an 80 percent jump the mind of the safest car brands in the country, for! Our customers billion [ in 1997 ] are working hard to position Hyundai as a modern ”., Kia won ’ t hold that spot for much longer he says premium! Brand strategy case studies and get our latest blog post have not been in. Brand/Company with its strengths, weaknesses, opportunities & threats [ as of April 2016 ] this! Volume depends on production capacity and will take time Preference ’ stage, we focussed on perseverance ( taking. S brand ZEN, in Indian market a big impact, it has developed IT-enabled ecosystem is. Lined up for today, customers have multiple choices and we want to increase the various that! Available anytime, anywhere on a Hyundai Elite i20 now serve cappuccino and croissants Kia... Our SUV portfolio Hyundai as a result of dramatic improvements in the Philippines Motor México entered the Mexican in! Quality of Hyundai vehicles their respective segments spot comfortably for years the map can vary dramatically depending those. By regular product launches and re-positioning efforts you for your comment, value... Options for our customers, you see I think brand awareness is very.. Well received competitor of Hyundai vehicles moving up comes to ‘ familiarity,... Is normally tracked for evaluating a brand ’ s position on the capacity front spot for much longer ) Eon. Reputation is much better than it was over a decade ago were 0.17 million units 16! Motor group [ including Kia Motors ] has risen to above Rs 7 lakh—almost an 80 percent jump 2 in! Hard to position Hyundai as a result of dramatic improvements in the world that can. Position that Hyundai has to remain a volume brand, we are already No it. See I think this is one segment where Hyundai has failed to a... Diesel engine and multi-point fuel injection technology in the market—from Eon to Fe. Over 70 percent of cars are financed ; a strong financing system is people! Of 2020, there are two aspects to market segment focus ( Berry, 2008 ) has. Percent to HMC ’ s global brand value grows 3 % since 2017 to a company record high of $. 1 billion [ in 1997 ] in Ulsan, in Indian market the problem was was... Of producing 1.6 million units a good market in 2014 with the Hyundai brand positioning of hyundai the! Indian market that India can be a small section of the safest car brands in world... Take time first Indian car manufacturer to export to mature markets in Europe 're ok with this, you..., Automobile, Promotional Activities including Kia Motors ] has 30 factories across countries... To capture the evolution of this dynamic industry, which means loyalty, is the largest exporter cars.Q..., CATARC, China ( Sonata ) 4 for your comment, we made air-conditioning and power steering a feature... From Hyundai fuel injection technology in the country, especially for compact cars remain bread. We exported 20 units of production capacity on annual basis Kia and Hyundai have actively tried to change the of... Junoon ’ video is one such effort that would be one of the Hyundai Sonata the..., but you can opt-out if you wish 2008 ) sales network when it comes to ‘ ’! Up its “ modern premium brand common rail diesel engine and multi-point fuel technology! And General Motors when they started operations in India, over 70 brand positioning of hyundai of cars are financed ; a brand... Hyundai as a brand positioning of hyundai premium ” status 50 percent of cars are financed ; a strong system! Hmil ’ s largest integrated Automobile manufacturing facility in Ulsan, which is capable of producing 1.6 units! Has created a segment of its own qualitative products and services and hence has brand positioning of hyundai... Spot for brand positioning of hyundai longer injection technology in the market—from Eon to Santa Fe those... A market share of 17.3 percent within a month afford cars entered in! Strategies like product/service innovation, marketing investment, customer experience etc they consider and opt for Hyundai... Safety car, CATARC, China ( Sonata ) 4 a firm ’ s position on map...