Hyundai Poised to Challenge Japan's Midsize Car Crown

[wpbharry]

http://www.detnews.com/2005/insiders...C01-289592.htm

Every Sonata is fitted with six airbags. It is also the first midsize car sold in the United States equipped with electronic stability control -- a sophisticated anti-skid technology developed in the 1990s for German luxury cars.

Studies in Germany and Sweden, where the technology is widespread, show that vehicles equipped with electronic stability are involved in significantly fewer accidents.

Hyundai's new pitch to offer class-leading safety equipment in every segment represents a step in the automaker's gradual evolution from being the manufacturer touting the biggest bargain to one striving to compete on the basis of vehicle content.

As a result, the Sonata is no longer the lowest-priced contender in the midsize segment. Ford Motor Co. points out that its new Fusion, which hits showrooms next month, costs around $500 less than the Sonata.

Hyundai officials counter that the Fusion costs less because it offers less -- Ford doesn't even offer antilock braking systems as standard equipment on the Fusion. "ABS, a very basic piece of safety equipment, is optional," says John Krafcik, vice president for product development and strategic planning at Hyundai Motor America.

Ford officials say consumers prefer to have a choice to buy safety features as options, with ABS costing just under $500.

With the two midsize cars coming out within months of each other, auto market experts will be watching to see the effect on consumers. Are they more sensitive to price? To content? Has safety become a selling point?

As for the success of the Camry and Accord, auto experts attribute it to the vehicles' reputations for quality and reliability and the powerful brand loyalty of Honda and Toyota owners.

[drew770]

The Hyundai will challenge but not take the crown from Toyota or Honda. But the most important question is why GM is not poised to challenge Japan's midsize car crown?
So what is Hyundai doing that GM is not?

[pkd87]

Originally Posted by drew770

The Hyundai will challenge but not take the crown from Toyota or Honda. But the most important question is why GM is not poised to challenge Japan's midsize car crown?
So what is Hyundai doing that GM is not?

I believe GM is. The Aura (concept) looks like the best midsize car have seen from GM and next gen Malibu is suposed to be "best in class". But I do have to say the Current Malibu should have been "best in class"

[Ming]

Originally Posted by pkd87

I believe GM is. The Aura (concept) looks like the best midsize car have seen from GM and next gen Malibu is suposed to be "best in class". But I do have to say the Current Malibu should have been "best in class"

When it comes to Chevy I don't have faith in GM not to cheap out somewhere. The Aura, however, will be a winner. Not sure if the Saturn brand would be able to pull off a best-seller in class, though. Pontiac could have, and there is still potential if GM doesn't let the G6 rot on the vine in years to come.

[mbukukanyau]

Well, you know, to such people GM DCX and Ford do not exist, Ye, Impala is bviously going for the gold, Cobalt is outselling corolla in some months, and Ford is going in with a new Futura and DCX has its own charger.
If you take Malibu and G6 into the equition.. GM is the leader...
But I have seen those Sonatas, they are quite impressive boats....
However like you say, the Aura is going to rock..
These writes also ignore GM's quality advances

[tgagneguam]

The Sonata is a nice car, for sure, but it doesn't strike me as superlative in its segment. I'm not so sure what the press is gushing over. Toyota and Honda will maintain their crowns for the foreseeable future.

[paul3230]

I have to give it to admit, the picture of the Sonata in black is quite nice..but so will be the Aura (Even better!)

[genjy]

The new Sonata is nice looking car. It's a little too bland and derivative, though. I prefer the Ford Fusion. The Fusion is most likely much sportier with better handling because of its modified Mazda6 underpinning.

[GMinTheDriveway]

kind of reminds me of an AUDI or maybe a little bit of SAAB. Pretty nice looking. I'm running out of cars to insult because of their looks.

[hudson32]

I think the AURA will be GM's answer to these cars. The Malibu is a solid car. But I think a great competitor to the Sonata and Fusion would be the midsize offering coming from Saturn. I do question, why won't the Aura have a 2.4L ECOTEC engine as its 4 cyl offering. Honda, Toyota, and most of the other players in the midsize sedan market offer both a 4 and a 6 cylinder engine. I do think the Sonata will be a tough contender. No longer can Honda or Toyota justify charging higher prices for a much better car than Hyundai.

[dindak]

I have read mixed reviews on the new Hyundai. Sloppy steering, dull dynamics and mid level assembly quality were the criticisms I have seen.

Hyundai still has lower than average long term reliability also.

[rob2299usa]

To me Hyundai never has unique styling... they always seem like they've copied off something else. I think the new Sonata looks a lot like a Subaru Legacy GT. That being said it will compete well but won't take the crown.

[ChevroletRevived]

I believe the new Impala/Aura are poised to take the crown and run with it, not only because of their lower prices, ect but because of their style, reliability, quality and features. And that is the kind of leadership GM needs. With their G6/Malibu/Impala/LaCrosse/Aura/Grand Prix ect they can easily beat the sales of all of the mid-sizers of the Japanese combined. But we want people to buy them for the low prices/incentives ect. We want conquest. I am glad to hear the Cobalt is doing so well! They look so nice and high-quality! Very competitive! The Big 2 is on a roll...but Hyuandi doesn't look like it's quite ready to be a major player. The car looks very bland and unindividual...you most definitley can't pick it out in a parking lot...

[wpbharry]

I posted this article VERY early this morning (thanks, Ming for prettying it up; I don't have time for that during the early hours) because the obvious conclusion that you have to draw is that no, Honda and Toyota basically have nothing to worry about. So were are all the customers for the new Sonata (which hasn't yet had a review short of spectacular - handling is the thing they're all gushing over, and no one that I've read about has anything negative to say about quality) going to come from?

GM, Ford and DCX.

Preliminary pricing for the Aura (starting for the base model at $23,995) won't be competitive. The Sonata, with every option possible, tops out at $24,895.

I don't see anything else from GM, Ford or DCX that touch the equipment/price formula.

It's this very car that has been causing me to be on my soapbox for the last year about how GMs missing the boat. And now the boat has left port.

By the '07 Model Year, I bet the Sonata is up around 250-300K units. A big increase over the '05s 90K "ish".

[gmsickofan]

I don't see anything else from GM, Ford or DCX that touch the equipment/price formula.

Pricing is key. This is part of the reason Suzuki sales are up so much year on year. You can't beat the loaded standard equipment lists on cars like the Forenza.