Hyundai could roll out a seven-year warranty on select models as early as this year as the brand looks to attract more customers.
Speaking at the launch of its new Venue SUV, Hyundai boss JW Lee told CarsGuide it would look at introducing a Kia-rivalling seven-year coverage period as part of a retail campaign for certain models.
The brand is yet to confirm exactly which models could get the longer warranty as standard, but said the offer could be introduced before the end of the year.
“Maybe we are going to implement a seven-year warranty as part of a retail campaign. Maybe we are introducing the seven-year warranty as part of a limited campaign for customers,” Mr Lee says.
Asked when the roll-out could begin, Hyundai’s Australian CEO answered: “Maybe this year, yes.”
But if you’re holding out for a permanent, across-the-board change to Hyundai’s warranty period, then we’ve got bad news for you. Mr Lee says he’s not considering making it a permanent feature.
Every new Kia arrives with a seven-year, unlimited-kilometre warranty as standard, something that brand describes as an “industry’s best” ownership package.
And that, says Mr Lee, is exactly the problem.
“We have considered it, definitely,” he says. “It’s gain and loss. What will gain and what will we lose?
“Making a seven-year warranty might bring some more customers, but at the same time, honestly, I don’t want to compete with our sister company, Kia.
“Our studies show that… for the customer who is already considering purchasing our car, the seven-year warranty would work.
“But the customer who would not consider Hyundai on their shopping list, then the seven-year warranty actually doesn’t make an impact on their decision making.
“My concern is that if we introduce this seven-year warranty, it could impact more on Kia more than on other brands.
“As of now, I’m not considering the seven-year warranty as a permanent feature.”
Article Source: Cars Guide MagazineSeptember 25, 2019 9:05 am