Hyundai’s sleek IONIQ 5 electric SUV design and advanced features are attracting a new group of buyers that would usually stick with a premium brand. The success has even surprised company leaders, like Michael Cole, President, and CEO at Hyundai Europe, who claims “brand loyalty doesn’t seem to be as strong in EVs.”
After the IONIQ 5 made its official debut in 2021, Hyundai didn’t realize it had a gem on its hands that would transform the company’s entire brand image.
Although Hyundai was known as a “cheap” car brand early on, the South Korean automaker has transformed itself in the EV era with quality interior and exterior designs, state-of-the-art technology, and a focus on innovation.
By doing so, Hyundai, including the Kia and Genesis brands, grew to become the third largest automaker this past year, surpassing GM, Nissan, and Stellantis in annualy volume in 2022.
Hyundai took a “radical new approach” with its first dedicated electric vehicle, the IONIQ 5. The automaker says the IONIQ 5 was designed and built with a progressive apporoach that started with looking to its past, in particular, its first unique vehicle, the Pony.
However, what truly brings the IONIQ 5 to life is Hyundai’s Electric Globular Modular Platform (E-GMP), the company’s dedicated EV archetecture featuring up to 310 miles range (500 km), 800V ultrafast charging (18 minutes), vehicle-to-load capabilities (V2L), and more.
The sleek, bold design and functionality is attracting a new group of users that’s surprising even Hyundai’s leaders.
Hyundai IONIQ 5 is attracting premium buyers
Hyundai’s progressive approach is paying off. According to a new report from Autocar, the IONIQ 5 has been winning over customers from premium brands.
Although the electric SUV is priced above Hyundai’s typicaly range, it’s about in line with the competition, starting at $41,500, and sales have been strong.
The IONIQ 5 was followed up by the IONIQ 6 electric sedan, which was officially unveiled last July, gaining attention as one of the most aeordynamic and energy efficient EVs on the market and placing among the top two models on Fueleconomy.gov’s 2023 top 10 list with the Lucid Air.
IONIQ 5 and IONIQ 6 sales reached over 100,000 last year as the brand accelerated its transition to zero-emission electric vehicles. Hyundai is planning to release its larger IONIQ 7 SUV next year.
The success of the IONIQ 5 has given Hyundai confidence in releasing its larger SUV, as Cole explains:
With Ioniq 7 there was a bit of hesitation a year ago prior to Ioniq 5 about whether it was a car for Europe – but after the success of the Ioniq 5, we now 100 per cent think it’s a car that we can sell in Europe, and we will capture some premium brand customers with it.
Cole adds “brand loyalty doesn’t seem as strong in EVs” as several new electric models are pulling sales from premium brands.
Although Hyundai is attracting premium buyers, the brand isn’t planning to change its image altogether (to a premium one). Instead, the company believes it can reach an entire new customer base with its EVs.
Electrek’s Take
It doesn’t come as a surprise the Hyundai IONIQ 5 is winning over premium buyers. The modern look and functionality is enough to make anyone convert.
However, Hyundai isn’t the only brand with EVs winning over new buyers groups. Tesla blazed its own path, with two models now in the top 10 best selling cars worldwide. Ford, GM, and others have mentioned success stories with buyers converting from gas-powered cars and other brands.
The same thing is happening in China. EV startups with bold designs and advanced features are winning over customers and stealing share from the premium brands.
The fact of the matter is EVs are more fun to drive, buyers will look for the best option on the market regardless of brand.
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On today’s informative episode of Quick Charge, we’ve got Honda engineers Jason Hwang and Emilio Sanchez to talk us through some of the things that make the GM Ultium-based Honda Prologue EV feel like a real Honda, and why that matters.
Jason and Emilio talk about some of the choices they made to make the Honda Prologue and Acura ZDX feel different from its GM-branded cousins, and explain why this was much more than a case of badge-engineering. Give it a listen, then let us know what you think of the Prologue and ZDX in the comments.
Today’s episode is sponsored by BLUETTI, a leading provider of portable power stations, solar generators, and energy storage systems. For a limited time, save up to 52% during BLUETTI’s exclusive Black Friday sale, now through November 28, and be sure to use promo code BLUETTI5OFF for 5% off all power stations site wide. Learn more by clicking here.
New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news!
Got news? Let us know! Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show!
The first EV charging hub funded by the Charging and Fueling Infrastructure (CFI) Program in the Eastern US is now online in Deerfield, Massachusetts.
The town installed the region’s first DC fast chargers (four ports), along with four Level 2 chargers, at 59 North Main Street in South Deerfield.
These new charging stations, funded with $2.46 million from the CFI program, are conveniently located near Interstate 91 in Franklin County, the most rural county in Massachusetts, which serves drivers from Connecticut up to the Canadian border.
The hub also features local and regional bus stops and designated bike lanes with secure onsite bike racks. The chargers are meant to cater to everyone: from local residents and visitors to municipal EVs and commercial vehicles that service the region’s businesses, like those in food and beverage manufacturing.
Gabe Klein, executive director of the Joint Office of Energy and Transportation, sees this as a model for future projects:
Multi-modal charging hubs in communities are key to giving more people the choice to ride and drive electric. The Town of Deerfield is showing leadership in building out convenient charging infrastructure that brings new transportation choices to rural and disadvantaged communities while supporting local commerce.
In recent years, Deerfield has experienced increased climate change-driven flooding from nearby rivers, including the Deerfield River, the Connecticut River, and the Bloody Brook. The project incorporates environmental engineering designed to mitigate and adapt to the effects of flooding and climate, including the installation of permeable asphalt and rain gardens, planting of native trees, grasses, and shrubs, and the creation of new greenspace in the center of Deerfield.
The Biden-Harris administration’s CFI Grant Program is expanding EV infrastructure nationwide. It offers grants for projects that complement and expand upon the initiatives of the NEVI program in urban, rural, and disadvantaged and low-income communities. So far, the CFI Grant Program has allocated over $1 billion to nearly 100 projects across the US, encouraging private investments and expanding the EV charging network to make EV ownership more practical and convenient.
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Kia’s upcoming EV4 electric sedan was just spotted testing in the US for the first time. The low-cost EV is expected to make its big debut by the end of the year. Here’s a look at the new model.
The EV4 will round out Kia’s new “EVs for all” master plan launched last year. Kia showcased three new models, the EV3, EV4, and EV5, during its first annual EV Day in October 2023.
During the event, Kia outlined its new global strategy to “lead and accelerate the EV revolution” with a wide range of models priced from $30,000 to $80,000.
Kia plans to rapidly expand its lineup with a series of smaller, lower-priced models. It launched the EV9, its first three-row electric SUV, which is already proving to be a hot seller in the US. Starting at under $55,000, the EV9 is still a great deal compared to others in its class, but Kia plans to go even lower.
The EV3 and EV4 are expected to be among the most affordable electric vehicles when they arrive in the US.
Kia’s new EV4 is now testing in the US
Ahead of its official debut, Kia’s new EV4 sedan was recently caught driving on US streets for the first time.
The latest image from KindelAuto doesn’t reveal much more than what’s been shown in the past, but the fact that it’s now testing in the US is significant.
Kia’s EV3 is already on sale in Korea, starting at around $30,000 (42.08 million won). Earlier this week, the company said its new compact SUV is now available across Europe, starting at around $38,000 (36,000 euros) with a “segment-leading range” of up to 375 miles (WLTP).
Next up will be the EV4. Kia is expected to officially reveal the new EV by the end of the year, with deliveries starting in 2025. It could be as soon as next week at the 2024 LA Auto Show.
The interior will feature Kia’s advanced new ccNC infotainment system with dual 12.3″ navigation and driver display screens. An otherwise minalimalistic design is expected inside.
Kia’s EV4 will also be available in a hatchback variant. Although the hatch is likely aimed at European buyers, it was also recently spotted testing in the US for the first time.
We will learn official prices closer to launch, but the EV4 is expected to start at around $35,000 to $40,000.
Kia is teasing five new vehicles for the US, at least one being a new EV, that will debut at the LA Auto Show next week. Will it be the EV3? EV4?
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