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Why Kia doesn't need a premium brand

Hyundai's creation of the Genesis luxury brand means it and fellow Korean brand Kia have finally hit the mainstream in the U.S. – as far as products are concerned – after nearly three decades of trying. Which is about as long as it took Toyota and Nissan to roll out Lexus and Infiniti, respectively. It's history repeating itself. Genesis is supposed to be the way Hyundai's premium models get the respect they deserve, without carrying the baggage of a name associated with frugality. Hyundai has, in fact, built up a reputation over the last decade or so for cars that compete head-on with class leaders, rather than aim to be 90 percent as good for 75 percent of the price. And because Kia shares a number of components with Hyundai, its vehicles have also steadily become not only better mainstream vehicles, but have continued to aim higher than their price points. Does Kia need to follow now in its parent's steps with a prestige brand to market its most expensive models? I'm aware of the Kia K900, the company's deepest foray into luxury territory notably occupied by Lexus. Kia, however, has consistently been pushing this $60,000 full-size luxury sedan along with $0 down, low monthly payment lease deals. Turns out there really aren't many people looking for a full-size Kia luxury sedan. Or maybe they're just waiting to get it for $20,000 in a couple of years. Consider the K900 and Genesis when I convince you Kia already makes upscale cars to rival those with premium badges. They just don't happen to be its most expensive model. Shortly after Hyundai's announcement it would spin its luxury models off into the Genesis brand, I spent a few days with a 2016 Kia Sorento SXL. And I'm willing to call it a more convincing attempt to get people out of luxury cars than the K900. Driving the Sorento is not an emotional experience. You feel parental driving it, thinking you might've forgotten to pick your kids up until you remember you don't actually have kids. But after settling into the nicely stitched and perforated leather seats, you respect its comfort, quiet and amenities. The headliner is soft, the stitching on the dash top is convincingly real and everyone is impressed by the sharp graphics on the touchscreen and the slick powered shade that reveals an expansive glass roof. A Kia Sorento costing more than $46,000 sounds absurd until you wonder how much better an Acura MDX or Lexus RX350 is when those cost as much as $10,000 more.

New Genesis G80 costs $2,650 more than its predecessor

If you're in the market for a Hyundai Genesis, you'd best act fast. The Korean company's new luxury sub-brand, Genesis, just announced pricing for the rebadged G80, kicking the starting figure up across the board while adding a suite of desirable safety and tech features. The base model, with a 3.8-liter V6 and rear-wheel drive, starts at $41,400. All-wheel drive adds $2,500 to that figure, while both V6 models add $2,650 to the price of a Hyundai-badged Genesis sedan. Hyundai justifies the increase with a slew of now-standard equipment from the current car's discontinued Tech Package, including automatic emergency braking, blind-spot monitoring with cross-traffic alert, lane keeping assist, lane departure warning, high-beam assist, and adaptive cruise control. Considering the Tech Package tallied $3,500, this is a net win. You can improve your six-cylinder G80 with a pair of packages. A $4,750 Premium Package adds fog lights, a panoramic sunroof, a 14-speaker Lexicon stereo, a seven-inch color instrument display, vented front seats, and a power sunscreen for the rear window. Genesis essentially carried over the current $3,500 Ultimate Package, which now costs $4,200. It includes matte wood, full-color HUD, 9.2-inch touchscreen infotainment, a 17-speaker Lexicon stereo, and a power trunk lid, along with an upgraded power driver's seat, which used to be part of the Tech Pack. If you're hankering for the V8 model – no longer listed on the Hyundai USA consumer page – you're looking at a $650 bump, from $53,850 to $54,550. There are no option packs for the V8, so all you need to do is pick a color and drive away. Not surprisingly, the G80 undercuts its rivals by a few dollars. BMW will happily sell you a base 5 Series for $51,195. Mercedes offers an E-Class, the E300, at $53,075. Audi and Lexus are slightly more down to earth – an Audi A6 is $47,125 while a base GS is $46,595. So, going with the V6 G80 against its all-four-cylinder-turbo competition will save you, on average, around $8,100. That makes the $8,950 in option packs look awfully attractive. The difference between the G80 V8 and its rivals is smaller, but still significantly stacked in Genesis' favor, mainly because only BMW still offers a V8 in this segment – it's $67,295 ($12,745 more than a base G80 V8). Pricing on the US market 2017 E-Class is only available for the 2.0-liter, turbocharged E300, while neither Lexus nor Audi sell a V8 outside their respective high-performance brands.

John Krafcik eyes Sonata, talks about his new role

As hundreds of people gathered to watch the unveiling of the 2015 Hyundai Sonata at the New York Auto Show on Wednesday, John Krafcik, a driving force behind the new vehicle, found himself in a peculiar position.
He stood far away from the car, away from the crowd. He watched from the Nissan stand as the covers were pulled off the Sonata.
If it was an awkward moment for Krafcik, whose tenure as Hyundai's chief executive officer ended on January 1, he didn't show it. He offered effusive praise of the Sonata. "It's a beautiful car," he said. "I think it's wonderful."