MARKETING LESSONS FROM THE HYUNDAI GENESIS

In 2007, Hyundai commercials suggested the Sonata was better than a BMW 5-Series at half the price (see the rationale for irrational behavior). Who would really believe that? There's a difference between specifications and real world performance.

I sat in a Hyundai for the first time ever, the 2013 Genesis sedan. The interior quality is comparable to a BMW 5-Series or Mercedes E-Class but you get more space. That's especially welcome in the rear row. Legroom! The Genesis costs much less than a comparably equipped German sedan. Value! What about the ride? It's good — well-suited to day-to-day driving in the city or on the highway. The coming-soon all-new 2015 is even better. I saw one at the Canadian Auto Show.

The Surprise

I didn’t expect Hyundai to create something as good as the Genesis (and more recently the Equus). Then again, who expected Toyota to succeed with Lexus? The first model, the LS 400 outsold the competition from BMW, Jaguar and Mercedes-Benz. The Genesis launch had impact too, winning 20+ awards including North American Car of the Year.

The Genesis isn't as good as a German vehicle but so what? Vehicles keep improving. Think of the Genesis as an older German car. There's much we can learn for our own marketing.

Lesson: Get Started

The first launch needn’t be perfect. You learn lessons which make the next version better. Momentum makes progress faster. The key is getting started. Keep waiting and the competition gets further ahead and harder to catch. Look at the too-little-too-late attempt to rejuvenate Blackberry.

Did the world need another premium car? No, but the success of the Genesis shows there’s room for new competitors and that catching up is possible. Hyundai already is a top manufacturer which gives them money to experiment and succeed.

What’s holding you back? You don’t need to be perfect in the beginning.

Lesson: Create A Halo

Developing a new vehicle takes years and in the case of the Genesis, $500 million (according to Wikipedia). Is the investment in a niche car worthwhile?  Yes. By creating a standout,  Hyundai raised the credibility and appeal of their entire line up. They got lots of free publicity.

What brings positive attention to you? Maybe you're associated with a cause (e.g., a charity). Maybe you're doing something relatively rare (e.g., blogging). 

Lesson: Just Listen

When launched, the Genesis was very credible. Certainly an A for effort. Hyundai identified an underserved market niche: premium cars for people who care more about value than the emblem on their quickly depreciating car. Current Hyundai buyers and brand switchers.

The all-new 2015 Genesis addresses criticisms of the first generation. There is now All Wheel Drive and a better ride. In addition, there is more value than ever at their price points. Horsepower is down but torque is up. There’s innovation such as the first-ever CO detector as a tool for driver alertness (adds more fresh air as levels rise).

What does your market want?

Lesson: Keep Moving

The next battleground is the user experience. Premium vehicles like BMWs and Mercedes have their own dealerships. This helps meet the expectations of more affluent buyers. Hyundai looks committed to getting better. Using a separate brand would help but cost $2.5 billion and take 13 years.

The competition keeps moving. You eventually compete with yourself. Take the iPhone. Other phones are arguably better (e.g., larger screens, better Google integration) but there are dedicated iPhone buyers. Apple is really competing with Apple.

Right now, Genesis is competing with other brands but that will change, perhaps with the third generation launch in a few years. You can’t get there without getting started.

Links

• Money-saving tips for car shopping today (new)
• The worst selling cars of 2013 in Canada
• Five steps to personal branding success from Dan Pink
• The rational for irrational behavior
• The best buying experience: Audi vs BMW vs Mercedes-Benz
• Three lessons from the salespeople at Audi, BMW, Lexus and Mercedes-Benz
• The car purchase: recovering from bad service

PS Hyundai and affiliate Kia aren’t perfect. They’re settling class action lawsuits for overstating fuel economy: $395 million in the US and $70 million in Canada.

5 STEPS TO PERSONAL BRANDING SUCCESS FROM DAN PINK (@danielpink)

Pink. Yes. Just like the color.
— Dan Pink, Six word stories can say lots

When did you discover Daniel Pink? My introduction came from reading A Whole New Mind: Why Right-Brainers Will Rule the Future a few years ago.

Have you noticed Dan’s solid, non-trendy approach to personal branding?  Let’s explore the steps.

1. Have A Solid Core

It’s easy to torture data to draw sensational but false conclusions. What’s flawed? What’s out-dated? What’s left out? What’s misinterpreted?

Dan uses research carefully. He even calls himself a “fan of double-blind studies” on his Twitter profile. His tweets and newsletter show the quality of content he’s reading. Two other Dan’s inspire similar confidence: Kahneman and Ariely.

Starting from a solid foundation, Dan Pink finds original and believable things to say.

Q: How good are you at detecting and telling the truth?

2. Publish Content

You need to create and publish original content to sustain a personal brand. The best ways depend on you and your market. Your approach can change. You don’t have to use all platforms. You don’t even have to be consistent (but consistency helps).

Blogging

Dan writes well but stopped blogging. Perhaps the format didn’t suit his schedule.

“We’re going to shutter the blog and instead expand and deepen our collection of videos, articles, and guides on working smarter and living better”. 
— Dan Pink, Jul 17, 2013

Podcasting

Dan has a series of audio interviews called Office Hours. Episodes used to be live but are now pre-recorded. That gives more flexibility for his guests and him. The frequency varies. There’s usually a new recording every month or two.

I recently stopped podcasting after 250 episodes to focus on creating short videos, including interviews.

Public Speaking

Dan does lots of speaking. I’ve seen him twice. His messages are simple, clear and memorable. Since he's honed his content, Dan has time to engage the audience and add a surprising amount of humor.

You might not do  much public speaking but can create video in the comfort of your office.

Webcasts

Advance purchasers of To Sell Is Human were invited to a special New Year’s Day 2013 webcast (slides with a voiceover). The surprise? Dan didn't say much about his book. Maybe he wanted us to read it.

Dan talked mainly about about other things on his mind: books, apps like iDoneThis (which I now use daily) and gadgets (e.g., a bluetooth wireless speakerphone). He reminded us that he doesn’t use affiliate links when making recommendations.

Dan’s approach works because he’s interesting and credible. We want to know what he’s found for us.

3. Build A List

Dan uses a newsletter as his primary way to stay in touch with his followers. That’s a lasting gift with wide appeal. Dan’s frequency is irregular and the content irreverent. You never know what you’ll get or when. Dan’s personality oozes through each issue. Before subscribing, you can look at his latest issue.

Q: Do you have a newsletter with personality? [I use a similar approach to Dan but make all past issues accessible and publish monthly.]

4. Remain Accessible

Dan is easy to contact. He doesn’t post his phone number but his website lets you email him. You’re not forced to use a web form either.

“During the month of February, I will be dealing with a bunch of travel that will make it difficult for me to respond to email. If you need to reach me urgently this month, please go here …”
When Dan travels, he uses Awayfind to screen his emails. If you think yours is urgent, you fill out a form and he gets notified. This process manages our expectations, which strengthens his brand. He looks like he’s in control.

Q: Is your contact information prominently displayed? [My sites show phone numbers (local, toll-free), an email address and a way to book a meeting. No hunting required.]

5. Be Different

People of Dan's calibre rarely allow their live presentations to be recorded and posted. Dan doesn’t seem to mind. Here’s a recording for each recent book:

• A Whole New Mind (Feb 2009, TC Williams High School)
• Drive (Aug 2012, Forum Network)
• To Sell Is Human (Jul 2013, Behind The Brand)

What does he lose? He reaches more people, which extends his brand. He’s still worth seeing live because that experience is different than reading a book or watching a recording.

Q: What makes you different? Where is this visible? [I blog and post live recordings — both unusual for an actuary.]

Yogi Berra said “You can observe a lot just by watching.” Dan Pink makes a worthy model.

Links

• You need to read Dan Pink’s To Sell Is Human
• To Sell Is Human resources (UinvitedU on Pinterest)
• Blogs vs newsletters: which is better for you?
• Picking the best medium for your message
• Your digital tapestry is your legacy
• Rediscovering email newsletters

PS Add generosity to Dan’s brand characteristics. He kindly donated books for Money 50/50.