Hyundai 2004 Annual Report Download - page 18

Europe
1. Hyundai’s European Design and
Technical Center
2. The HED-1 concept car was created
at the European Design Center
3. Getz was selected as 2004’s most
reliable car in its class by UK’s
monthly magazine ‘Which’
Hyundai Motor Company Annual Report 2004_34
Global Report
Hyundai in Europe
Hyundai Motor Company and Hyundai Motor Europe are
proud to continue their tradition of mass-marketing through
sports sponsorship.
Hyundai was the official vehicle supplier of the 28th Olympic
Summer Games in Athens this past year. Hyundai's most pop-
ular models were represented in the 3,500-strong official
vehicle fleet including the Centennial and XG sedans, as well
as the Terracan and Santa Fe SUVs for VIP use.
The Athens Games were a once-in-a-lifetime opportunity to
strengthen brand recognition in Greece, and it paid off.
Hyundai has become the second best-selling brand in that
country.
Hyundai Motor Company’s heart, however, will always be with
its football sponsorships. Hyundai will sponsor the 2006
World Cup in Germany and starting in 2007 will be joined by
affiliate Kia Motors to become one of six Official FIFA
Partners who will have sponsorship rights to the 2010 and
2014 FIFA World Cup™ and all other FIFA events, exclusive
marketing assets, increased media exposure, and an affiliation
with special events and development initiatives. Hyundai and
Kia will showcase their vehicles at FIFA events as the official
vehicle supplier to FIFA.
In addition, Hyundai Motor strengthened its commitment to
European football by renewing its sponsorship with Union des
Associations Europeennes de Football as an Official
Automotive Partner. The many events that Hyundai will partic-
ipate in include the Goodwill Ball Tour, which transports a giant
four-meter wide football around England to gather good luck
messages from fans. A replica of this ball was created and
signed by celebrities and sports legends for the children’s
sports charity, SPARKS. According to the Times of London,
Hyundai enjoyed a 32 percent rise in brand awareness follow-
ing the conclusion of Euro 2004, the highest of any tourna-
ment sponsor.
Hyundai Motor Company Europe is continually increasing sales and making a strong
showing in a market that most automakers have seen losses in. Hyundai sales in
Europe increased from 280,641 units sold in 2003 to 333,767 units in 2004. This
represents a 21 percent increase in sales, a record for Hyundai Motor Europe (HME).
In December alone, 30,473 units were sold. Sales in Europe have increased for 14
consecutive months, and show no signs of slowing. Already in February 2005, HME
announced sales of 26,005 units, a six percent increase over sales in February 2004,
and a new record for the month.
Two vehicles in particular are responsible for the European attraction: the Getz and
the Tucson. In October 2004, the Getz sold 7,644 units, while the Tucson SUV fol-
lowed closely with 4,800 units, a remarkable number considering it had just been
released to the European market a mere three months prior. In fact, in its first eight
months, the Tucson SUV sold 18,605 units. The appeal of Tucson is simple: it is a rev-
olutionary crossover vehicle that European consumers are demanding. The Tucson
was also built as an environmentally friendly vehicle. It comes from some of the clean-
est production facilities in the world, it offers a choice of three environment-friendly
engines, and it has an above-average recycling rate. This, along with its class-leading
safety features, attractive and functional styling, and high value-added technology,
make it appealing to discriminating European customers.
Hyundai Motor Europe is planning for further sales increases with new model
improvements being introduced in the coming months. The first of these will be the
new Sonata, which has become a strong contender in the European market. 2005 is
predicted to be a growth year for consumer spending across the board, and based on
this prediction, HME estimates a twenty percent rise in sales over 2004 to 430,000
units.