Is Hyundai Doing So Well Because Their Products Are So Good Or Is It The Kick Ass Warranty/Pricing That Is Creating The Sales Magic?

Disagree.

I think it's a little of both. Maybe it's the warranty & pricing that gets customers in the door. Once they see what they get (test drive, styling, interior content, etc), the pricing seems to make more sense, trying them out doesn't seem like such a big deal.

Why does it have to be "either A or B", as opposed to a number of things done right?

The Elantra is good-looking vehicle that steals heavily from the European designs of Ford and others. By US standards the Elantra is fresh and challenges the staid and aged look of the Honda Civic and Toyota Corolla.

The Sonata is a highly polarizing design, but that means some love it. Personally I hate it, but I love the fact that the Sonata is successful because just maybe it will shake up other manufacturers to try less boring designs.

So why is Hyundai particularly successful:
i. Hyundai has managed to create vehicles that are expressive, fuel efficient, get good safety ratings and are reliable
ii. Toyota and Honda have been lazy and playing too safe in redesigns in the last couple of years and
their vehicles don't necessarily match up in terms of perceived safety and observed reliability
iii. Japanese badged vehicles have had reduced supply due to the Earthquake

In my opinion there are two other factors, but I don't have the facts on these:
i. Brand perceptions - Toyota and Honda buyers may be older and wiser, and they may in this recession be holding on to their vehicles longer thus temporarily reducing demand for these venerable nameplates
ii. I suspect that Saturn, Pontiac and Mercury small and medium car owners may be searching for a new brand and may have a preference for fresh and expressive designs, thus they are moving to Hyundai and Ford.

This is a good question 00R, I would say it is a strong combination of both factors but if I have to choose one it has to be the price/warranty cuz of recession etc and then the competition has some very strong products as well with the Americans punching back as well. Obviously, a lot of 11 year old kids on here will disagree and start flame wars against each other.

I agree with Steve. Their recent success can be attributed to multiple reasons... Hyundai studied the market and created the ultimate checklist for the Sonata and Elantra. Not to say the cars are perfect, they just beat Honda and Toyota at all checklist items. I'm trying to figure out how Honda or Toyota can add all glass panoramic moonroof, proximity entry, push start to the Accord or Camry. Oh... my bad they already did with the ES350 and not really with the Acura TL. Hyundai vehicles are pratically in a, You can't mess with these options/design/warranty/dependability? @ this price point.

"Equus sells 200-250 a month
Genesis sedan 15k a year
Let's calm down......."

Ignroing the fact that the Genesis is outselling the TL and Chyrlser 300 that's been around much longer than the Genesis which has got to be more than 3000 units a month.

"they are selling the Equus only because the economy is down"
Ignoring the fact that Audi and BMW have been seeing sales increases the last few months.

The "Genesis" is two completely different cars, so it doesn't really outsell the TL and 300.

Thank autospies 2 for telling for telling Joe which Genesis I was refering too.

Hyundai models offer great value. I don't think Hyundai and Kia have same profit margins as rivals but at the moment they are developing, improving in all areas and also their image and making a strong base. They need another few years and judging by their pace of improvement, i would be surprised if by then they don't have 2-3 class leaders. Unfortunately they will raise prices then. Look at the success of Samsung and LG.

Hey Autospies 2. Here is info on the Candaian Hyundai Rohen coupe sales. Since you can't seem get the job done. I couldn't find any info on how many RWD hyuundai coupes sell alone. But if the Genesis coupe is selling pretty well..... at least compared to other coupes sold in Canada. http://www.goodcarbadcar.net/2011_07_17_archive.html Wow in Canada it's doing 3rd best after the Camero.

"Plus Americans have no idea what Ford Europe designs are so that's why they're so impressed with Hyundai clones."

Clones? Like the 2012 Nissan Versa hatch and Mazda 3's side?
Or the Mazda 3 sedan and Nissan Sentra's greenhouse?
And last like the 2009 Subaru Impressa hatch, Infinti EX and Mazda CX-5.

Hey huu76: Nissan Murano, and Chysler Delta hint sides but only the Tuscon is the copy since it's Korean.

"Cheap ass Americans would buy a Russian car if it was priced low enough, just like they'll buy Chinese cars at Walmart and complain about how Japan is stealing their jobs and how the YEN is so undervalued."

Ignoring why Suzuki, and Mitsubishi ain't no where near Kia's sales in the states. Plus ignoring why Saturn died and Iszuzu.

Saturn died because it was a SHITTY product compared to both the imports and other domestics.

Isuzu died because they stopped selling cars that looked decent, drove well and were cheap to concentrate on selling poorly built, high profit margin SUV's that had questionable safety.

"BTW, when those 8 speed Chrysler 300's and Chargers shortly start rolling off assembly lines, Korean fanbois won't have so much to talk about. "

Don't worry their is a RWD Kia sedan ready to tackle that.

Oh yeah and the Kia will also have an 8 speed in side that bad boy too.

Oh yeah. Massimo Frascella, an Italian car designer who’s had a hand in designing cars for Ford, Land Rover, Jaguar and even Aston Martin.

Well guess what? That Massimo Frascella who worked with Aston Matin designed that RWD Kia Sedan concept that's arriving to Frankfurt. So go ahead say, "Kia copied Aston Martin" and ignoring that that's Massimo's on design and he's with Kia. Personally, it makes more since why a Kia looks like an Audi because of Peter. But why does the Tundra, Lancer, Citron DS4, and Chevy Sonic have audi like grilles?

Correction I got so excited in finding out about the Hyundai Rohen and found info about Massimo Frascella designing a Kia I made an error up there.

Well guess what? That Massimo Frascella who designed the Aston Matin 77 also designed that RWD Kia Sedan concept that's arriving to Frankfurt. You know like how the Chyrsler 300 copied Rolls Royce?

I'm jtz have a nice day!!!

That's right that right!!! Hurry up and deboost me!!! Oh yeah, I just saw spy shots of the 2013 Kia Forte. Let's just say you Huh-da fan boys can keep those Civic headlights to yourselfs now.

"So how is Hyundia going to improve the pathetic Genesis Coupe sales. Go even cheaper?"

Why you so concerned about the Hyundai Rohen or Genesis coupe, why don't you find me a hyperlink of how many coupes went on sale alone. Personally I don't give a damn about the Genesis coupe at all since Kia is arriving with one that will be wayyyy better. I just thought it was so annoying you posting about Hyundai selling 39 coupes ytd with no hyperlink to back you up.

"The Mopars get the same transmission that's in a Rolls Royce or a BMW, the Korean Government Motors entry will have a transmission from........ Hyundai."

Did you know that the 2.4L engine transmission in the Chrysler 200 or Sebring came from Hyundai? Just like the Mitsubishi Lancer's?

What billfrombuckhead said, "Sorry japanese and Mullaly, your cars are now outclassed."

Bill are you trying to out deboost me? Lol.

Hey Billfrombuckhead, did you know that Mercedes asked for Hyundai's engines and transmissions to be put into some of their cars like 2 years ago, but Hyundai turned them down? Now what's your story on that one?

"Hyundai transmission was more than likely copied right out of a Toyota, its just Toyota refuses to sell transmissions for $1.99 each."

Hyundai builds their own transmissions, and engines and hybrids. From Hyundai Mobis Unlike Nissan, Ford and soon to be Mazda borrowing off Toyota hybrids.

"Hyundai/KIA don't have to worry about margins, the gov't will pick up the tab if they sell at a loss. China does the same thing. Any moron can run a business if they don't have to worry about losing money."

Ignoring that Chyrsler and GM had to get a bailout 3 years ago

"Did you know Hyundai tried to buy rebadged Ram trucks and Marchionne turned them down?"

That's good, there is no way the Kia Borrego could get up to 22mpg with a V8 in no rebadged Dodge back in 2009. It only died because of bad timing. If it arrived in 2005 it would have been great like the Sorento.

"I tried googling your assertion but couldn't find any proof Mercedes wants Hyundai engines. Do you have any links? "
Yup, I'm not autospies 2. Ask and it shall be received. http://www.autoblog.com/2008/05/09/hyundai-exec-talks-engine-sharing-with-mercedes-benz/

I'm jtz have a nice day!!!

"The irony at the table was richer than the cream of mushroom soup. Here was the man who developed a simple, four-cylinder engine to relieve his company of its reliance on one of Japan's second-tier automakers, now able to entertain offers from the world's most prestigious automaker for an engine-sharing deal. How quickly things change in the automotive world. And how quickly one realizes that Hyundai is a force to be reckoned with."

Source: http://www.automobilemag.com/features/news/0805_hyundai_engines/index.html

That's right Mercedes came to Hyundai.

"And Hyundai got that motor from Mitsubushi"

Now Mitsubishi uses Hyundai's 2.4 engines. Unless you got a hyperlink to find a fact. You know like how I proved the Genesis coupe is doing well in Canada?

"Mercedes didn't go to Hyundai, ex failed Mercedes big shot Dieter Zetsche was just shooting his mouth off."

That's BS. Bill. Remeber you said you couldn't find that information so you asked me to post it and I did? If you already heard of Mercedes wanting to partner with Hyundai, why you have me post a source (which you failed to bring a source to prove Mercedes was running its mouth)?
I have my back up, where's yours?

Back in December 2010 I looked at a Hyundai Elantra Limited with my wife. It had all the bells and whistles at a price I could afford which was approximately $21,500. That price included a jack, a full size spare tire and alloy wheel to match the four on the ground. That was a prerequisite for the deal. Fortunately the dealer wanted the sale. Today I would have to pay for that tire etc. and full MSRP. Long story short. She loved it then. She still loves it. I like it too. I would have loved to compare it to the new Ford Focus but Ford, as usual, didn't bring the new Focus out until this summer. And I'll bet if I go look at a Focus with all the bells and whistles that the Elantra has, it will cost $30K. And the Focus is made in Mexico. What else is made in Mexico? Hint, the initials are VW. ....As in VW Jetta and look at the reliability problems with those cars. Hyundai is making cars in the USA and giving jobs to Americans. If this car holds up I'll buy myself one in hatchback form especially in they put the 2 liter turbo in it.

Easy answer. Cheap products sale in a down economy. Basic economics classes explain this.

@Huu76back.
Where's hyperlink for that?

"Easy answer. Cheap products sale in a down economy. Basic economics classes explain this."
Why Saturn die then?

Cheap price=Cheap Quality

That is exactly what the Germans said about Lexus when Toyota first introduced the brand nearly 20 years ago. It turned out pretty good for them in the North America.

I see this thread topic pop-up so many times I swear I'm doing market research for Toyota.

The reason why Hyundai is doing well can be boiled down to three points:

1: Hyundai give their buyers 90% of a Toyota product at 70% of the cost
2: Hyundai offers a 10yr/100k mile warranty

Sorry US Domestic makers, no matter how many commercials you air with house wives who think their Ford is cool, it isn't and most people still think your products are crap, but they look better.

3. At a certain point, people do not want to drive a car that twenty other people in their office/job/school/etc. are driving. Hyundai styling, love or hate it, differentiates them from the droves of people that buy new Accords or Camry's every four - six years.

The fact that Sonata's are built in the US appeals to the "patriotic" among us Americans also helps.

You also can not discount the fact that Toyota, for nearly the last decade, has jumped from bad public relations nightmare to the next with some of the their most popular vehicles: Tacoma, Tundra, Prius, Camry, Sequoia, etc.

Cool, so buying a Hyundai or Kia helps Chrysler or should I say, "America" It's sad though that Hyundai knows what to do with the 2.4L engines and 2.0L engines better Chrysler though by having better mpg than Dodge and Chrysler. After all Hyundai already has the Sonata and Optima hybrids, where's Chrysler's? I'm just glad Hyundai's 4.6L V8 for Kia's K9 ain't off the Charger. Thanks for finding that source huu76back. But it really doesn't matter after all HKAG is bout' to be number 4 globally well over Chrysler. I bet Chrysler must be salty that majority of the 2.4Ls, 1.8Ls and 2.0Ls go to HKAG who is outselling them globally.

Yeah eldard Lexus ain't no groundbreaker neither when it comes to luxury.

Hyundai? What's a Hyundai?