By Ryu Jin
Staff Reporter
Hyundai-Kia Automotive Group, which has long struggled to improve its brand image abroad, is now reinforcing its marketing activities with more aggressive strategies such as sports marketing and various other sponsorships.
While it has established production bases around the world under the globalization management in the past decade, the group is also focusing on ``glocalization’’ to polish its brand image and promote sales in each local market.
In Europe, one of the world’s largest automobile markets, the group has been trying to increase sales by introducing models such as the ``i30’’ and ``Cee’d’’ while strengthening promotional activities.
As an official sponsor of the UEFA Euro 2008 football championship, the group has launched various online and offline marketing programs around the world.
For example, the group will operate soccer Web sites (https://euro2008.hyundai-motor.com and https://euro2008.kiamotors.com) until the end of the tournament scheduled for June 7-29.
Hyundai Motor, in particular, opened a banner on its official Internet homepage for UEFA (www.euro2008.com) under the name ``Hyundai Venue Guide’’ to provide venue information.
``We saw publicity results worth some 3 trillion won four years ago when we sponsored the Euro 2004,’’ a group spokesman said. ``We expect our brand recognition and image to improve further through this year’s event.’’
Based on such activities, Hyundai Motor and Kia Motors aim to sell up to 1.22 million cars in the European market ― 620,000 for Hyundai and 600,000 for Kia ― in 2010.
Hyundai-Kia Group is also stepping up its marketing efforts in China ahead of several encouraging opportunities such as Beijing 2008 Summer Olympics and 2010 Shanghai World Expo.
Following the completion of its second Kia Motors factory in Yancheng, Jiangsu Province, late last year, Hyundai Motor is set to complete its second factory in Beijing next month.
Last month, Hyundai Motor Beijing posted accumulated sales of a milestone 1 million in China after five years and two months since it opened sales in the country -- the shortest period for a foreign carmaker.
Currently, Hyundai Motor makes the ``Elantra’’ ― ``Avante XD’’ in South Korea ― ``EF Sonata,’’ ``NF Sonata,’’ ``Tucson’’ and ``Accent’’ in China. In particular, the Elantra has become the carmaker’s main product with total production of nearly 600,000.
Hyundai Motor plans to redouble its promotion efforts ahead of the Beijing Olympic Games and Shanghai Expo through various activities including sports marketing.
Hyundai-Kia Group, which has long fought to shrug off its ``cheap brand’’ image abroad, is also stepping up efforts to compete with luxury brands in the United States, the world’s largest auto market, with quality products such as the ``Genesis’’ and the ``Mohave.’’
Hyundai Genesis is the company’s first foray into the upscale market that has been dominated by Japanese and German brands such as Toyota Motor’s Lexus and BMW AG.
Ahead of the official launch of the premium sedan in America in the latter half of this year, the company has been giving top priority to publicity and promotion activities.
According to noted marketing research firms in the U.S., for example, Hyundai Motor's recent Super Bowl advertisements yielded the highest positive impact on the brand among consumers.
Hyundai Motor garnered a 45-percent increase in net brand improvement for the Genesis and the highest figure of about 30 Super Bowl advertisers, according to comScore's 2008 Super Bowl post-game survey.
Shin Jong-woon, Hyundai Motor executive vice president for quality, said at the Global Automotive Conference in Seoul last month that his company would exert all-out efforts to form a new brand image based on differentiated quality management.
Hyundai Motor Vice Chairman Suh Byung-ki also told reporters that the quality of Hyundai cars had so far been underestimated. ``But we will fight the prejudice with the Genesis.’’
Kia Motors is also set to launch its large-sized sport utility vehicle ``Mohave’’ in the U.S. ― under the name ``Borrego’’ ― later this year.
``We would spare no support for our official dealers in America and other parts of the world to make the most of our global sales network,’’ said a group executive. ``Our global management will go on without a break.’’