A vehicle that was once recognized as a low-cost brand in the United States has recently been recognized in terms of quality and design, and has been transformed into a brand that sells with the most ‘extra’ compared to the displayed price, CNN broadcast in the United States reported on the 27th (local time).
According to an analysis by Edmunds, an automobile information site, Kia is sold at an average price of regarding 6% higher than the listed price. The second-largest group, Hyundai Motor, Japan’s Honda, and UK’s Land Rover, are selling at an average price of regarding 4% higher than the listed price.
The reason that the actual selling price is higher than the stated price is because the local dealers sell the price higher than the stated price as the demand for vehicle purchases is overflowing recently, but production is decreasing due to a disruption in global parts supply.
CNN cited the fact that Kia’s improved evaluation in the US market was perceived by consumers as good quality for the price. Analysis that dealers can take advantage of this and make a profit in the supplier-dominated market like now. He added that there is also a high demand for customers waiting to purchase Kia Motors.
Kia has been working hard to break away from the perception that it is a low-priced product in the local market.
Russell Weizer, vice president of marketing for Kia’s US subsidiary, said, “It’s not that Kia’s ‘value for money’ (price-performance) is not good, but we are not marketing by emphasizing only cost-effectiveness.” He explained that Kia is marketing the vehicle design, characteristics, and quality itself, such as technology for the ‘sportyness’ of vehicles and electric vehicles (BEV) and hybrid vehicles (HEV).
Some Kia models, such as the Telluride and Carnival, were already sold at a higher price than the listed price even before vehicle production was disrupted due to a lack of parts, and they are currently receiving prices that are more than 7% higher than the list price.
CNN explained that the fact that Kia has a relatively large lineup of hybrid vehicles (HEV), plug-in hybrid vehicles (PHEV), and electric vehicles while consumer interest is focused on energy-efficient vehicles due to the recent surge in oil prices is also a factor that makes Kia vehicles sell expensive. .
In the case of Kia’s pure electric vehicle EV6, it is being sold at a price 6.4% higher than the listed price. In the case of Sportage Hybrid, Plug-in Hybrid, and Sorento Hybrid, they are sold at a price more than 8% higher than the listed price.
Reporter Noh Jeong-dong, Hankyung.com dong2@hankyung.com
