There is no undermining the importance of branding in the modern day scenario, especially for the automobile industry. Companies, in order to gain maximum customer attention, do everything that is plausible and within their limits, extensive branding is one of them. According to industry experts, the right branding strategy helps a firm to facilitate extended growth, which reaches beyond numbers. Generally, there are two kinds of buyers in market, which include ones who purchase a car for his utility and others who love vehicles. Attracting the former requires tactical expertise involving parameters like fuel efficiency, affordability and performance.
The other section, who view cars fairly subjectively, require a lot more than the usual features in a vehicle. This is where the concept of performance brands or sub-brands comes in and ends up playing a huge role in the success of auto makers. Over the years, a number of companies have developed their performance brands, such as Mercedes-Benz (AMG), BMW (M), Nissan (TISMO) and Audi (Quattro). Now, reports have emerged, suggesting that South Korean automobile giant, Hyundai, is going to launch a performance brand of its own.
According to sources, a top company official communicated the development of a performance brand, which might make its way to the international market by 2015. Nothing, regarding models, has been confirmed by the South Korean firm as of now. It is being said that Hyundai, being one of the oldest players in the market, realised the importance of having a performance brand of its own, in order to be at a better position. Hyundai, operating throughout the globe at present, has been pretty dynamic in its operational and production strategies, innovating both from time to time. For example, when the firm started operating in the United States of America, it catered to a niche customer base that wanted economic vehicles. Since then, Hyundai has transformed into an auto maker that produces cars for all segments.
Industry experts feel that Hyundai needs to target the younger generation a bit more to develop on its viability as a brand. An official from the company, speaking about the same, said, “You attract and hold the attention of the younger people, which is the aim of Hyundai. So in the future they have decided they need to do something to make their brand younger and more dynamic.” Reports suggest that Hyundai will be targeting the World Rally Championship, wherein it will participate with the new i20. Speculations are rife that the auto maker is going to use i20 as a base for developing the new car. There is a strong possibility of Hyundai's new performance sub-brand being similar to Nismo from Nissan.
Sources close to the development claim that Hyundai is in no hurry to introduce the new brand. The firm is doing an extensive research for the same so as to be fully prepared for any sort of challenge or adversity. Some experts have said that they hope Hyundai comes with a better name for new brand, which is not as complex as its own. Needless to say, carving a niche would be difficult during the initial period but things are sure to improve over time. Hyundai enjoys a good reputation in European and Asian markets, which is one of the reasons why it is going ahead with this idea.
