WTF is going on at Hyundai?

Summary

Hyundai has undergone a dramatic transformation since 1999, shifting from a brand known for cheap, unreliable cars to a global leader in design, performance, and technology. With strategic hires, bold design choices, and a focus on reliability and fun, Hyundai has turned itself around. The company not only revamped its vehicle lineup, but also redefined the automotive market with models like the Veloster N and the Ionic 5. Through calculated risks and innovation, Hyundai has proven itself as a major player in the auto industry, showing how deliberate choices can lead to a total brand transformation.

Takeaways

• 😀 Hyundai was once seen as a cheap, low-quality brand, but it has undergone a massive transformation in the last 25 years.
• 😀 In 1999, Hyundai took significant steps toward improving its brand image, including the introduction of a 10-year, 100,000-mile warranty.
• 😀 Hyundai's quality improvements were notable, going from one of the worst-rated brands to being tied with Honda by 2004.
• 😀 Hyundai focused on three key areas for transformation: reliability, design, and fun.
• 😀 The company's efforts in design innovation and hiring top talent, such as Peter Schreyer and Thomas Burkel, helped elevate Hyundai's vehicle aesthetics.
• 😀 Hyundai's entry into the luxury market with the Genesis brand, which won the North American Car of the Year award, was a major milestone.
• 😀 By investing in performance, Hyundai created the N division, which focuses on building high-performance cars, like the Veloster N.
• 😀 Hyundai's strategy involved improving the U.S. market presence with new facilities and a more localized approach to decision-making.
• 😀 The company's design philosophy evolved to create a diverse fleet with unique models, emphasizing bold styling rather than following trends.
• 😀 Hyundai's focus on electric vehicles (EVs), including the Ioniq 5 and the upcoming Vision 74 hydrogen-powered concept, reflects its forward-thinking strategy.
• 😀 Hyundai's approach to fun driving experiences and innovative features, like the e-shift in the Ioniq 5 N, demonstrates its commitment to car enthusiasts.

Q & A

Why would a Hyundai salesman from 1999 be shocked by the brand's current status?

A Hyundai salesman from 1999 would be surprised by how much the brand has transformed. In 1999, Hyundai was seen as an afterthought with poor-quality cars, but today it is a global powerhouse known for stylish designs, advanced technology, and fun-to-drive vehicles.

How did Hyundai overcome its reputation for poor quality in the late 1990s?

Hyundai began improving its reputation by introducing the Hyundai Advantage, a 10-year, 100,000-mile warranty. This helped increase sales, but Hyundai also invested heavily in redesigning its cars, improving engineering, and enhancing manufacturing processes.

What were Hyundai's major design improvements in the 2000s?

In the 2000s, Hyundai's design improved with models like the Elantra, Sonata, and XG350, though they still looked and felt somewhat cheap. However, Hyundai began to hire top-tier designers, like Peter Schreyer from Audi, to push the brand's designs forward.

How did Hyundai manage to break into the U.S. market successfully?

Hyundai invested heavily in the U.S. by opening a new design center, engineering base, and manufacturing facility in California, Michigan, and Alabama. They also recognized the importance of local decision-making, allowing U.S. teams to have more influence on the cars they produced.

Who were some key figures in Hyundai's design and performance transformation?

Hyundai's transformation involved hiring top designers and engineers, such as Peter Schreyer (formerly of Audi), Thomas Burkel (former BMW designer), Albert Biermann (former BMW M Division engineer), and Luke Donkerwolke (former Lamborghini and Bentley designer). These experts played a major role in shaping Hyundai's modern design and performance-oriented vehicles.

What is Hyundai's N Performance division, and how did it contribute to the brand's success?

The N Performance division, launched in 2015, focuses on creating high-performance cars like the Veloster N, i30, and Elantra. The division has also competed in motorsports, such as the World Rally Championship and the Pikes Peak Hill Climb, helping establish Hyundai as a credible brand for car enthusiasts.

How did Hyundai differentiate its cars in terms of design compared to other automakers?

Hyundai used a 'chess set' design approach, where each car in the lineup has its own distinct look but still feels part of the same family. This is in contrast to the 'Russian Doll' design philosophy, where cars are just scaled-up or scaled-down versions of the same design.

What is Hyundai’s parametric pixel design language, and how does it reflect the brand's vision?

Hyundai's parametric pixel design language is used on its electric vehicles, like the Ionic 5, and is meant to evoke the fusion of past and present design elements. It blends analog and digital aesthetics, offering a unique look that sets Hyundai apart in a crowded electric vehicle market.

What were some of Hyundai's risks with design, and did they pay off?

Hyundai took several design risks, such as the quirky Veloster with its asymmetrical doors, the Santa Cruz half-truck/half-SUV, and bold designs like the Ionic 5. While not all were commercial hits, they helped define Hyundai as a brand willing to push boundaries, which gave it a distinctive identity.

What makes Hyundai's approach to the future of cars stand out compared to other automakers?

Hyundai is focused on bold design, innovative technology, and real-world performance. Unlike many companies regressing or staying stagnant, Hyundai has embraced transformation by developing concepts like the Vision 74 hydrogen fuel cell EV, pushing the envelope in both electric and hydrogen-powered cars.