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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.

Hyundai, Kia ratchet up fleet sales as retail transactions slide

Automotive News reports both Hyundai and Kia have stepped up fleet sales in an attempt to offset disappointing first quarter results. The Korean automakers saw their sales decline by nine percent compared to last year, while all major competitors managed to increase their sales. That situation marks an inversion of two years ago, when both gained ground after Japanese rivals suffered production and inventory shortages after the country's earthquake and tsunami tragedies.
Now, Hyundai can't come up with enough volume models in popular trim configurations to satisfy buyers, and lower-volume models are also in a snag. At the moment, Hyundai can only build 20-30 percent of Veloster hatchbacks with turbocharged engines while the US market would apparently support closer to 70 percent.
In order to reverse the sales slide, Hyundai and Kia have stepped up fleet sales of the vehicles they do have by some 50 percent, ringing up a total of 42,400 units in the first quarter. By contrast, Automotive News reports the seven largest automakers increased retail volume by seven percent and fleet sales by four percent as a group.

The 2018 Stinger fulfills Kia's sport-sedan destiny

A little more than five years ago, Kia rolled out the GT Concept - a sheetmetal hypothetical musing on where the brand's sporting aspirations might go. Today on the eve of the Detroit Auto Show Kia unveiled the Stinger, the production version of that 2011 show car. While Kia Motors America says "the Stinger really is a dream car for us," enthusiasts anticipating something a lot racier have sobered up over the distance between the concept and the production reality. Nevertheless, the new Stinger will be the sportiest Kia ever, and not by a little. True, there's a lot of Optima in the body - it's too bad they couldn't have made the 2014 GT concept - but details everywhere separate the Stinger from the bread-and-butter sedan. The Stinger's wheelbase is four inches longer than the Optima's, yet overall length is an inch shorter. The brand's corporate face looks to have dabbled in CrossFit, the wide, narrow "tiger-nose" grille jutting out ahead of plenty of black mesh, new LED headlamps, and a new hood with twin hood vents. Side vents and sharp sills carve up the flanks, and side mirrors mount on the bodywork instead of at the A-pillar. In back, the deck lid gently curves upward becoming an integrated spoiler above elongated LED taillights, and a full-length rear diffuser houses four oval tailpipes. Inside, the dual-zone instrument panel boasts a "large" color touchscreen for infotainment, metal-accented dash gauges with red needles, and a small, color TFT screen in the binnacle for displaying tidbits like G-forces and lap times. Luxury touches include a heads-up display, an optional 720-watt, 15-speaker Harmon/Kardon audio system with two subwoofers, a driver's seat that can be had with air-cell bladders for a snug fit, and lots of driver assistance systems. When the Stinger goes on sale late this year customers get a choice of two engines that are currently still in development. The base model employs a 2.0-liter turbocharged four-cylinder with around 255 horsepower and 260 pound-feet of torque. The upper trim, known as the Stinger GT, goes with the 3.3-liter twin-turbo V6 found in the Genesis G90 and expected to put out the same numbers: 365 hp and 376 lb-ft. Both motors will shift through the eight-speed automatic shared with the Kia K900 but refined with a centrifugal pendulum absorber for reduced vibration. If all goes to plan, the dash from zero to 62 miles per hour will take 5.1 seconds with the 3.3-liter V6, with top speed capped at 167 mph.