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Genesis cars win accolades, offer value — so why are sales so bad?

My high-school buddy Brent Cormier was so smitten with the Genesis G80 when he saw it at an event I hosted at SXSW in 2016 he bought a used 2013 Hyundai Genesis a short time later and fell in love with the car. "It surpasses my every expectation," said Cormier, a self-described "renaissance man" who owns and runs a real estate agency with his wife Laura, is a food service executive chef and part owner of Austin-based Thin the Herd Guitars. "I was locked into Mercedes and Audi for 10 years," he added. "And felt trapped in an endless pit of maintenance costs." After owning the Genesis over the past two years — including using it as an Uber and Lyft driver to earn extra cash — Cormier learned what some frugal luxury sedan buyers and a handful of car reviewers have discovered: Genesis offers great bang for the buck compared to other premium brands and can compete with the best in terms of performance, features and comfort. Hyundai's luxury brand also earned a prominent third-party endorsement last week when for the first time Genesis topped J.D. Power's 2018 APEAL study, surpassing German luxury-performance icon Porsche. The APEAL study (which stands for Automotive Performance, Execution and Layout) "measures owners' emotional attachment and level of excitement across 77 attributes," ranging from performance to comfort, and asks nearly 68,000 owners of new 2018 models to score vehicles on a 1,000-point scale. In its second year ranked as a stand-alone brand, Genesis earned an APEAL score that bumped it up 15 points to 884 and helped push it past Porsche — and past BMW, Lincoln, Mercedes-Benz, Audi, Volvo, Cadillac, Land Rover and Lexus, in order of ranking. Last month, Genesis also topped J.D. Power's Initial Quality Survey (IQS) for the first time this year. And both its models were awarded Top Safety Pick Plus ratings by the Insurance Institute for Highway Safety, among 11 Plus ratings in all for Korean vehicles. Despite high J.D. Power rankings and great reviews, Genesis U.S. sales were off 50 percent for the first six months of 2018 compared to 2017, and in June Genesis sold only 796 vehicles — the first time U.S. numbers dropped below 1,000 in a month. Part of Genesis's APEAL and IQS success can be attributed to its small product lineup: just two models, the G80 and G90 sedans, with a third, the 2019 G70, launching later this year. And while those numbers may help in J.D.

Cadillac's Super Cruise — look, Elon, no hands!

Cadillac is about to start selling vehicles with an autonomous driving mode and TechCrunch got an early look at the technology in a production car. "Wait for the green light and let go," the Cadillac engineer instructed. That's it. The car was driving itself. I, the person behind the steering wheel, was no longer the driver. Cadillac's Super Cruise system was driving. The 2018 Cadillac CT6 sped along U.S. 23 under the direction of Super Cruise. Traffic was light and the weather was perfect. The system held the Cadillac sedan in lane and responded appropriately to traffic. I spent an hour on the expressway and touched the steering wheel and pedals only a few times. Super Cruise made the drive boring. I think that's the point. Here's how it works Super Cruise is available once the driver navigates the vehicle onto an expressway. When ready, a little icon is displayed by the speedometer and the driver hits a button on the steering wheel to switch it on. Once the light bar on top of the steering wheel turns green, the driver can let go. Super Cruise is driving.This steering wheel light bar is key to the operation. When green, the driver knows Super Cruise is in control. Blue means the driver interrupted the system to change lanes and red means Super Cruise needs the driver to confirm they're paying attention and not checking Twitter. When active, Super Cruise controls the steering and speed, but again, only on an expressway. This is done through onboard sensors and using GPS and mapping data. GM employed GeoDigital, a startup in GM Venture's portfolio, to map 160,000 miles of expressways in the U.S. and Canada. The car company then used Super Cruise-equipped vehicles to test each mile. This combination of onboard systems combined with map data makes the system feel polished and sophisticated. During my admittedly limited time in the vehicle, the CT6 precisely held its position in the lane and confidently handled sweeping curves at speed. There was no wiggling or squirming — from the Cadillac or myself. The car was in control, and I felt safe. Although the driving conditions were perfect for my test ride, during adverse weather, the system will work normally until one of the key systems is unable to operate.

J.D. Power customer survey of dealers counts Cadillac, Buick as big winners

Cadillac and Buick have taken the trophies in J.D. Power's latest Customer Service Index Study examining satisfaction with dealer service. Surveying more than 90,000 owners and lessees of 2009-2013 model-year cars, the study found that those with pre-paid maintenance packages were ten percent more likely to buy their next car from the same brand.
Dealer satisfaction scores have improved overall, Cadillac nabbed the luxury segment ahead of Audi and Lexus, taking the crown that Lexus held last year. Buick keeps the mass-market dealer satisfaction win in the family, finishing ahead of Volkswagen and last year's winner GMC. The study also found that service department use of tablets increased customer satisfaction, as did "best practices" like "providing helpful advice." Who knew?
You can find details on those and more findings in the press release below.