Mixed names, solid benefits for Hyundai

A touchstone of managing an automotive brand is the positive association formed by a highly regarded model name.

Conversely, a vehicle tainted by reputation in the minds of consumers may be quickly renamed in favour of another moniker without the same connotations.

Hyundai's first car to be sold in Australia was the Excel. That model name ended up carrying a lot of baggage and after the third generation Hyundai's small car adopted the global name, 'Accent'. The importer continues to sell a model badged 'Accent' in Australia today, but locally the company's nomenclature has been at the whim of different dictates from the parent.

Two years ago HMC (Hyundai Motor Company) told its local arm, HMCA, that it was moving to bifurcated model nomenclature (two different naming systems for Europe and the rest of the world). Then, not quite a year ago, HMC changed horses mid-stream. The confused policy left HMCA in the position of marketing cars that wore either nameplates (Accent, Elantra, Santa Fe) or 'i names' (i20, i30, i40, i45).

Australia, as a consequence, is the only major market in the world where the i45 is thus known — and not badged 'Sonata'. And while the Elantra sedan and the i30 hatch are built on the same platform, they are marketed as two distinct entities in Australia. Traditionally, consumers react better to names than numbers — prompting motoring.com.au to enquire of HMCA's Director of Marketing, Oliver Mann, whether the importer had contemplated reverting back to the Elantra name for the i30 hatch.

"The car's called i30 pretty much globally," Mr Mann told motoring.com.au. "Hyundai has a global naming strategy where there are i-series cars that are designed with Europe in mind, first and foremost. And then there are general market cars, which have traditional model nameplates.

"We're a little unusual in Australia in that we draw product from both pools. Not every market does that, so we do have a mix of i-series and traditional nameplates. But, at the same time, we think it's the optimal solution in terms of offering our customer base the best options and the widest possible choice."

So when Hyundai owners step out the front door, which vehicle name makes them feel better about themselves? Which offers more cachet? Elantra, or i30?

"I don't know whether I can give a scientific answer to that," Mr Mann replied. "Certainly there are always risks associated with introducing new model nameplates, because you are starting from a zero awareness base. For that reason North America has chosen to retain traditional model nameplates."

Hyundai's Senior Manager for PR and Events, Ben Hershman offered his view that there was effectively no competition between the two model names.

"It's something that's worked for us, because back a few years ago — before the previous i30 — it was Elantra hatch and Elantra sedan. And now, today, you've got new Elantra, which is almost a year old and... the new generation i30. They look very different, [the Elantra doesn't] look like a hatch with a boot on the back... we're comfortable with the fact that one's called Elantra and one's called i30."

As the Senior Manager for Product Planning, Scott Wilson naturally saw the issue as one of rapidly improving product lifting the company's profile, irrespective of the name.

"I think that with the new name product — the Accent, Elantra — the latest generations have leapt forward, and... there's not quite so much of the stigma associated with them, because people have realised pretty quickly that the new Elantra is a huge leap forward over the last Elantra. So while it's got the same nameplate it doesn't have the same pedigree."

Returning to the meme of names preferred to numbers, Oliver Mann had one final observation specific to the i30. And it contrasted with the popular view.

"I think in some ways i30 was such a landmark car it achieved success in its own right — and success for the brand as well. Hyundai is a very rapidly changing brand in people's minds. The word that we often hear in the research we do is, first and foremost, 'changing'.

"We're very encouraged by the positive things that people associate with Hyundai — and a lot of that has come about through i30 and i30 volumes success."

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