Genesis, the luxury brand of Hyundai Motor Group, has set its sights squarely on Germany's three premium automakers, backed by a push into the European market and a challenge in motorsports.
José Muñoz, Hyundai Motor CEO (president), said at a media roundtable on the 12th (local time) at France's Le Mans Circuit de la Sarthe, "Genesis has proven its potential for success in the United States," adding, "We will prove our capabilities in Europe as well." Muñoz also said, "The German Big Three are Genesis' direct competitors, and we will strive to measure up."
Genesis sold a record 82,000 vehicles in the United States last year. It also notched 20 consecutive months of growth. In Europe, it has yet to gain traction against Germany's Mercedes-Benz, BMW and Audi, but the brand aims to catch up there on the confidence it earned in the U.S.
To that end, Genesis will change its sales model in Europe. It plans to move away from the manufacturer-centric approach it had stuck to and build a local dealer network–centric system as in the United States. Muñoz said, "We are building around 200 service hubs across Europe and are reviewing an appropriate pricing strategy."
Genesis will also make its debut in the Le Mans 24 Hours hypercar class this year to raise its profile and prove itself as a high-performance brand. The Le Mans 24 Hours is a race in which three drivers take turns driving a single car without rest for 24 hours, and the team that covers the greatest distance wins. Strong results at a motor race held in the heart of Europe greatly help bolster trust in the brand.
Muñoz said, "The reason we invested significant resources in Le Mans is to secure durability and quality technologies and apply them to mass-production vehicle development." He added, "Le Mans is where the most durable car, not the fastest, wins," and "Safety and quality are core values of the Genesis brand."
Cyril Abiteboul, head of Genesis Magma Racing, also noted, "Motorsports are an important opportunity to raise brand awareness while spurring technological innovation," adding, "In the long term, our goal is to grow into a competitive team beyond simply finishing the 24 Hours of Le Mans."
On the day, Genesis unveiled two concept cars, the "Magma GT" and "Magma GT3," declaring a move into the high-performance market. Muñoz said, "We are currently in the stage of confirming technical feasibility," adding, "We are comprehensively reviewing scientific, technological and financial feasibility, and will decide the future direction based on market response."
Meanwhile, Genesis' domestic sales are declining. After peaking at around 138,000 units in 2021, they fell to around 118,000 last year. As of Apr., this year's total stands at 32,927, smaller than overseas sales (36,175). Lee Si-hyeok, head of the Genesis Business Division (executive vice president), said, "There is strong demand waiting for the launch of Genesis hybrids in the second half, and we will focus our capabilities on improving completeness and product appeal."