LAS VEGAS – Hyundai says it continues to study adding all-wheel drive to its large rear-wheel-drive Genesis and Equus sedans.
Not offering the option has hurt the auto maker’s luxury sales in regions of the U.S. with more “extreme climates,” a top Hyundai Motor America official admits.
“Certainly, our market share is not as good in places like the Northeast,” Mike O’Brien, vice president-corporate and product planning, says at a ’12 Genesis media event here.
Many of Genesis competitors in Ward’s Lower Luxury segment offer AWD, including the Acura TL, BMW 3-Series and Lexus IS. In the Equus’ Middle Luxury segment, the Acura RL, BMW 5-Series, Infiniti M and Mercedes E-Class have the option.
Audi also offers AWD, and its models had some of the highest installation rates in the industry in the ’10 model year. Ward’s data shows 93% of A6/S6 models built were AWD, and 74% of A4/S4s were so equipped.
Hyundai offers AWD as an option on all three of its ’11 cross/utility vehicles.
For now, Genesis and Equus buyers will have to be satisfied with the ’12 model tech upgrades, including the addition of a Hyundai-designed 8-speed automatic transmission and 5.0L gasoline direct-injected V-8 engine. The auto maker also adds GDI to the Genesis’ 3.8L V-6. Both engines are more powerful than their predecessors.
The new 3.8L GDI churns out 333 hp and 291 lb.-ft. (395 Nm) of torque, up from 290 hp and 264 lb.-ft. (358 Nm) with the non-GDI V-6. The 429-hp 5.0L GDI V-8 makes 376 lb.-ft. (510 Nm) of torque, more than the 385-hp 4.6L V-8’s 333 lb.-ft. (451 Nm).
Fuel economy of the 5.0L-equipped Genesis is 16/25 mpg (14.7-9.4 L/100 km) city/highway, compared with the 4.6L’s 17/26 mpg (13.8-9.0 L/100 km). The new 3.8L GDI V-6-equipped Genesis nets highway fuel economy of 29 mpg vs. 27 mpg (8.1 vs. 8.7 L/100 km) in the outgoing ’11 V-6 model.
The 5.0L GDI replaces the 4.6L V-8 in the Equus. In the Genesis, the mill is available only in R-Spec models, which also get larger 19-in. wheels and Bridgestone Potenza tires and a sport-tuned suspension, including a new hollow rear stabilizer bar.
Although the Equus just debuted as an ’11 model, Hyundai already has tweaked the car, redesigning the front seats, rear cushions and headrests for improved comfort and adding satin chrome trim to the interior.
The Genesis gets its second refresh since going on sale in 2008. “We wanted to make the exterior styling more distinctive and undeniably more aggressive,” product-planner Ricky Lau says.
New are light-emitting-diode accents for headlamps, providing a greater nighttime presence, as well as a larger intake opening; deeper rocker panel; and, in the rear, a redesigned bumper and integrated asymmetrical exhaust tips.
Lau says Hyundai is pleased with Genesis and Equus sales and market share. The Genesis delivered 29,122 units in 2010, according to Ward’s data shows, while the Equus has sold 1,171 copies so far through June.
Hyundai has pegged annual sales of the Equus at about 3,000 units, but declines to divulge the goal for the Genesis. At launch, the auto maker hoped to deliver 50,000 Genesis coupes and sedans a year, but now says that figure was based on a healthier U.S. light-vehicle industry.
Lau cites IHS Global Insight data predicting a rise in luxury sales, with 40% growth in premium luxury cars such as the Equus seen in the next six years.
Hyundai cites Maritz data from 2006-2010 showing the motivation for luxury purchases changing from prestige to value. This benefits the Korean auto maker, as both the Genesis and Equus are priced thousands less than competing models.
Hyundai’s O’Brien, formerly employed by Toyota, says it’s not difficult to see why this is happening, noting one of the top purchase reasons for the Lexus LS 460 is “value for the money.” The ’11 model begins at $67,130, compared with $44,400 for the 4.6L ’12 Genesis.
