Hyundai Tucson:

“Trucks” to Continue to Outsell Cars – XSUV Segment

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500 wide Car Truck Sales 1987-2021500 wide Car Truck Mix 1987-2021AutoPacific, an automotive specialist research and product planning consultancy, forecasts that trucks, including XSUVs will be about 60% of the market for the foreseeable future.  In fact, reading the crystal ball for the next five years, this percentage of the mix may be low.  The charts above detail how cars and truck sales and market penetration have evolved since 1987 and the forecast for the future.

The hottest product segment in the American light vehicle market is the crossover SUV (XSUV).  A crossover SUV can be as large as a Chevrolet Traverse or as small as a Chevrolet Trax.  There are dozens of XSUVs in between.  And there will be more.

The XSUV segment has become so hot because this type of vehicle corrects the criticisms buyers had of traditional SUVs which sold very well, but were not optimal.  Buyers wanted products that were not hard-core off-roaders, but more civilized and city friendly.  The SUV market exploded in the early 1990s with the introduction of the Ford Explorer and Jeep Grand Cherokee.  It wasn’t until 1996 that the crossover SUV began slipping into the marketplace.  First the Toyota RAV4 and Honda CR-V appeared.  They were followed by the luxury crossover RX300.  Clearly the manufacturers were listening and reacting.

Here are just a few of the things we know about the evolution of the SUV market over the next five years…

Cadillac  Cadillac states that it has too few XSUVs (one, the upcoming XT5) and wants to add two or three more to its lineup while adding one more car as a range topper between now and 2020.

Buick  Buick is adding the small Envision XSUV to its lineup this Spring.  Envision is assembled in China.

FCA Drops Cars to Add XSUV and Pickup Capacity  Fiat Chrysler Automobiles is dropping its Chrysler 200 and Dodge Dart in favor of more capacity for XSUVs and pickups.  The Ram pickup will take over the FCA Sterling Heights, Michigan Plant when the Chrysler 200 is dropped.  FCA’s huge Belvidere, Ilinois plant will be populated by XSUVs when the Jeep Compass and Patriot plus the Dodge Dart fade away.

Toyota Pushing RAV4  Toyota Motor Sales has stated that they would not be surprised if the RAV4 XSUV overtook the Camry mid-size car as its best selling product.  Camry was the best selling car in the USA in 2015.

Lexus will add a 3-row XSUV above the RX350 in the next few years.500 wide SUV XSUV Sales 1987-2021500 wide SUV XSUV Mix of SUV 1987-2021

 

The charts above show the impact of crossover SUVs on the light truck market.  Huge volume increase and market share increase.

Hyundai Aggressively Adding XSUV Capacity  Hyundai is replacing 50,000 units of car capacity in its Montgomery, Alabama assembly plant with the Santa Fe Sport.  That drops capacity for the Hyundai Sonata and Elantra from 400,000 to 350,000 units per year.  Hyundai admits that they underestimated the demand for XSUVs years ago.  This capacity move reacts to market demand and dealer pressure to get Hyundai dealers more XSUVs that are easier to sell and require less incentives and discounting.

Hyundai will add 45,000 units to its Tucson compact XSUV volume this year.  Built in South Korea, Tucson has been limited because it is popular around the world and the vehicle was capacity constrained.

Hyundai also recognizes there is a hole at the bottom of their XSUV lineup and are adding a sub-compact B-Segment XSUV to fill that hole.  There is a possibility that a smaller A-Segment XSUV will replace the Hyundai Accent hatchback.


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2016 Hyundai Tucson – Compact XSUV Benchmark?

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Raising the Bar in a Competitive Segment  The Koreans keep getting better and the new 2016 Hyundai Tucson (product code TL) is an example of how Hyundai has executed a segment-beater.  Competing against big sellers Honda CR-V, Toyota RAV4, Ford Escape, Jeep Cherokee, Chevrolet Equinox, Mazda CX-5, etc. the new Tucson checks all the boxes.  It is well styled and immediately identifiable as a Hyundai (looks almost too much like the Santa Fe Sport).  It has a great package – good visibility, spacious front and rear seating, good cargo room, easy ingress/egress.  The fit and finish is excellent inside and out.  The interior trim materials have moved upwards – almost up to the next higher price class.

MY16 Hyundai Tucson

MY16 Hyundai Tucson

MY16 Hyundai Tucson

MY16 Hyundai Tucson

Hyundai Fell Behind in Segment – 2016 Hyundai Tucson Provides Conquest Opportunity  The product is good enough to begin some serious conquesting.  As the compact crossover SUV market has boomed over the past several years (growing 14.9% 2015CYTD), Hyundai has been left with a less-than-competitive product capable of selling around 45,000 per year.  As such, Hyundai Motor America’s share of the segment slipped from about 6% to 2.5%.  Some of that is due to capacity constraints from its Korean plant.  A new plant in the Czech Republic has come on line and will be supplying Europe freeing up Korean capacity.  With the new Tucson on sale in August, 2015, HMA’s volume is expected to rise to 56,200 in 2015 and up to 90,000 or higher in 2016.  The 2015 Hyundai Tucson is good enough to pull that off if there is strong marketing support behind the vehicle (the last generation was essentially a “launch and leave” proposition with little marketing support).  At 90,000 units, the Tucson will have about 6% of the segment.

Pre-Family Market Target  Who will buy the 2016 Hyundai Tucson?  HMA sees this as the entry targeted at “pre-family” singles and couples.  Tucson is 8.5-inches shorter than the Santa Fe Sport that is targeted at “post-family” couples who no longer need the seven-passenger three row capacity of the 8.5-inch longer (than Santa Fe Sport) Santa Fe.  Santa Fe is targeted at “core families”.  Tucson democratizes technology by offering most of the latest gee whiz electronic features available on higher classes of products.

Hyundai describes its styling as bold and confident and it certainly comes across that way.  It has a slightly more vertical windshield that helps ingress to the front seats.  Tucson adopts Hyundai’s new corporate face with the hexagonal grille.  From the side view, the Tucson is lean and wedgy.  Exterior styling was by Hyundai’s European studio.  The interior was styled in California.  Ergonomics are outstanding with controls placed where expected.  There is an 8-inch information screen with navigation and Hyundai’s BlueLink interface.  The only criticism is with map graphics that don’t show enough detail and seem to show only major arteries, not the interesting spur roads you pass.

MY16 Hyundai Tucson

MY16 Hyundai Tucson

Powertrain OK but Full Throttle is Disappointing  The base engine is Hyundai’s Nu 2.0L GDI 4-cylinder that has 164-horsepower and 151 lb ft of torque.  The 2.0 L mileage figures are 23/31/26mpg.  The 2.0L gets a six-speed automatic transmission.  The optional engine, and the engine on the majority of Tucson models, is the Gamma 1.6L 4-cylinder Turbo with 175-horsepower and 195 lb ft of torque.  The 1.6L mileage figures are 26/33/29mpg).  The 1.6L gets a seven-speed dual clutch transmission.  You definitely want the higher torque 1.6L Turbo.  The torque is the key to performance feel.  In the examples of the Tucson I drove, there was a noticeable lag when full throttle acceleration was wanted or needed from a stop (with traffic approaching, for instance).  Pedal to the metal was disappointing.  On a part throttle take off, this was not evident.  It seemed to happen only when you really wanted the oomph.  This is a characteristic an owner will learn over time, but Hyundai should sort it out ASAP.


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2014 Hyundai Tucson Wins AutoPacific Vehicle Satisfaction Award

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2014-tucson-04

The all new 2014 Hyundai Tucson is the highest scoring Compact Crossover SUV in AutoPacific’s 2014 Vehicle Satisfaction Award. Coming in behind the Tucson is the MINI Countryman and the Kia Sportage, followed by the Buick Encore, Mitsubishi Outlander Sport, and the Subaru XV Crosstrek.  The Tucson last won the VSA in the 2010 model year.

The 2014 Hyundai Tucson demonstrates its excellence in the Compact Crossover SUV class by winning or tying in fourteen of fifty satisfaction attributes. The Tucson is within one tenth of a satisfaction point in fourteen other attributes, putting it at the top for Compact Crossover SUVs.

The top ten highest ratings by Tucson owners are: vehicle and brand reputation, the perception of reliability and dependability, overall quality and braking, exterior size and styling, the warranty, the exterior color, and feeling safe while driving.

The expressive styling of the new Tucson continues Hyundai’s move towards more expressive styling making the Compact X-SUV a head-turner in a rapidly growing category.

AutoPacific VSA Logo Feature


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2010 Hyundai Tucson: The Urban Cruiser?

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Hyu_10_Tucson_1.JPG
I’m rarely one to toot my own horn, but I’ll go ahead and get this out of the way: there’s a bit of me in the brand-new 2010 Hyundai Tucson. Once upon a time, not that long ago, I was a product planner at Hyundai who was tasked with finding and developing a new concept direction for the second generation Tucson. The first Tucson, which debuted for the 2005 model year, was a decent if uninspiring small crossover SUV, and Hyundai really wanted to hit the second generation out of the park.


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2010 Hyundai Tucson Wins AutoPacific Vehicle Satisfaction Award for Compact Crossover

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Hyu_10_Tucson.jpgThe freshly revised 2010 Hyundai Tucson is a dramatic departure from its predecessor, with expressive styling and the latest technology, while remaining true to Hyundai’s value proposition. Owners find this to be a very satisfying combination.
The Tucson is top rated (or tied for top rated) in a large number of attributes including: overall satisfaction, exterior size, exterior styling, power/acceleration, fuel economy, safety features and overall quality.
What a long way Hyundai has come! Well done.
For a complete list of winners and description of the Awards, click here.


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2009 Hyundai Tucson: Motorist Choice Award Winner

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Hyu_06_Tucson_2 copy.jpg“Hyundai’s Tucson wins a Motorist Choice Award as a top Compact Crossover SUV. Hyundai has done well lately, in vehicle awards and, even more important, in vehicle sales. The award-winning Tucson gains points for product content in a very competitive segment and for financial responsibility in a tough financial environment.” – AutoPacific
“The Tucson has low insurance and repair costs and was ranked first in the AutoPacific survey.” – IntelliChoice
Owner Satisfaction Highlights
• Ease of Ingress/Egress
• Reliable/Dependable
• Driver’s Seat Forward Visibility
• Feeling Safe While Driving
• Safety Features
Cost-of-Ownership Strengths
• Low Insurance Costs
• Low Repair costs


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Hyundai Tucson Wins AutoPacific 2007 Vehicle Satisfaction Award for Compact Crossover

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CompactCUV.jpg

Hyundai Tucson Wins AutoPacific 2007 Vehicle Satisfaction Award for Compact Crossover SUV:
“The owners of the Hyundai Tucson out-pointed its competition in Vehicle Satisfaction ratings but the Hyundai Warranty was the one attribute that vaulted Tucson to the top of its class. The Tucson is a very competitive Compact Crossover SUV and is available with a V6 engine – a rarity in this class. But it was the Warranty and not the engine that powered the Tucson to victory,” said AutoPacific president George Peterson.


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Crossovers… Media – Industry Forcing a Definition

We at VehicleVoice (http://www.vehiclevoice.com) and the VehicleVoice Blog-o-Rama (http:/.vehiclevoice.com) often feel that we are fighting an uphill battle concerning the use of the word “Crossovers”. This is a term that has come to mean SUVs based on car platforms and mechanicals. That’s fine. However, it is industry jargon that has not been adopted by the public. The media, picking up on industry jargon is forcing the term where no-one needs it.
An SUV is an SUV or Its NOT
Based on our research, it’s simple. American vehicle buyers have categorized vehicles into several basic categories: cars and trucks further subdivided into luxury cars, mid-size cars, economy/compact cars, sports/sporty cars, pickup trucks, sport utility vehicles (SUVs) and vans/minivans.
The SUV category seems to be giving folks the most trouble. To a typical vehicle-buyer, an SUV is an SUV is an SUV. There are big ones and small ones, but an SUV is an SUV. Muddying the playing field, however, is the notion of a “crossover”. A Traditional SUV in this more complicated world is a truck-based SUV like Ford Explorer or Toyota Sequoia. A crossover SUV is an SUV based on a car platform, a “unit-body” platform. But people often forget that the Jeep Grand Cherokee, Jeep Liberty, Mitsubishi Montero are all based on unit-body platforms but are not car-based. Does this make them a crossover? NO!
TBlazer Blog.jpg
Chevrolet Trailblazer… a “real” Truck-Based SUV

Post-Modern SUV… Soft Roader… NOT Crossover

So, it’s pretty muddy. What crossovers need to be are at-a-glance SUVs. The basics of the SUV equation are well known so deviating is a risk. An SUV must have a basic two box bodystyle, relatively tall glass for good visibility, a relatively upright windshield that provides a stiff A-Pillar allowing easy ingress/egress, and a command seating position. At the same time interior roominess and the ability to carry cargo is very important. From our perspective, this most American of vehicle types is very easy to understand but easy for a foreign car company to get wrong.
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Pontiac Torrent… Car-Based Post-Modern (Crossover) SUV
Let’s read on about how USA Today recently reacted to the issue of “crossovers”…


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Hyundai Santa Fe Set for Detroit Debut

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Though already on sale in Korea, an unveiling of the next U.S.-spec Hyundai Santa Fe will be at the 2006 Detroit auto show in January. Production will start at Hyundai’s new Alabama assembly plant in Spring 2006 for a Summer launch. Though details on the North American version have not been entirely laid out by Hyundai, educated guesses can be made. Exterior styling will be similar if not identical to the Korean-market version launched in November 2005.

Hyu_06_SantaFe_KR.jpg


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