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Hyundai revamps the test drive

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Old Aug 17, 2018 | 05:42 AM
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Default Hyundai revamps the test drive

I heard this on the radio the other day and thought it was an interesting idea - they created an app that lets you select which car you want to test drive, what day, time and location - and they'll bring the car straight to you. I think it's brilliant in today's world where everyone is driven by convenience. Kudos to Hyundai.

https://www.hyundaiusa.com/hyundai-drive
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Old Aug 17, 2018 | 07:10 AM
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Sounds like desperate times for Hyundai. They are having trouble selling cars and getting people into a dealer is their problem.

As for the idea, companies spends millions or perhaps billions on figuring out what their brand is supposed to represent and a dealer is simply an extension of the brand.....so this idea is just going to keep people out of the dealer to begin with. Makes no sense, a retail establishment is supposed to help someone either intentionally or unintentionally buy a product.

I am am going to say thumbs down to this idea.
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Old Aug 17, 2018 | 07:36 AM
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I like that they are giving the option. I know some people will really be pulled to it as they dread going in to a dealership for a test drive.

Me personally, I would rather just go in. If I am interested in a particular model, I like to be able to view it in a number of configurations and colors to help me hone in on exactly what I want.

When the 3IS came out, after viewing it online I wasn't interested in it at all. But when we went to the Lexus dealer to buy my wife's RX, I was able to see them in the flesh for the first time and ended up buying one for me later that week. This would not have happened if Lexus had just brought us an RX home to test drive.
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Old Aug 17, 2018 | 08:04 AM
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I like the idea of an easy to schedule test drive. My last one was relatively easy, but could have been easier.
I still think I'd prefer to go to the dealer though. At least if I'm remotely serious about buying.
I like to compare features/colors etc. I'm not going to get that just online or by seeing 1 car.
I don't know who they are going to send with the car for these test drives, but I suspect they aren't as knowledgeable as a good salesperson. I doubt they are sending those folks out on the road where they can't make a sale. If they were, retention could be an issue.
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Old Aug 17, 2018 | 08:11 AM
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Originally Posted by LexsCTJill
Sounds like desperate times for Hyundai. They are having trouble selling cars and getting people into a dealer is their problem.

As for the idea, companies spends millions or perhaps billions on figuring out what their brand is supposed to represent and a dealer is simply an extension of the brand.....so this idea is just going to keep people out of the dealer to begin with. Makes no sense, a retail establishment is supposed to help someone either intentionally or unintentionally buy a product.

I am am going to say thumbs down to this idea.
Interesting perspective. I see it the other way - I think Hyundai is trying to eliminate the barrier to selling cars because people no longer feel they have time to go to the dealership. There's a retail revolution occurring - some retailers are thriving by changing their model while others are shutting doors because they refuse to adapt. A car dealership is a retail location and I think they all need to adapt. Think of how many things in retail have been disrupted in favor of convenience:
  • Watching movies at home - Netflix disrupted with disc delivery and now streaming
  • Groceries- use apps to buy groceries and have them delivered or go to designated parking spaces and the employees bring your bags out to your car
  • Target & Walmart- buy online, park in a designated parking spot and they'll bring everything to you
  • Amazon- Amazon actually feels the process of using your phone or your computer to buy things from them is too much of a barrier. So now you can order by just talking to your Echo.

On top of that, going to the dealership is a painful process at times. Sometimes you don't feel that you can just do a test drive - you have to meet 3 or 4 different people (sales managers, etc) for no good reason. At least this way you get a feel for a certain car in a way that's totally convenient for you and you don't have any of the other BS that occurs at the dealership.
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Old Aug 17, 2018 | 08:46 AM
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Originally Posted by jrmckinley

On top of that, going to the dealership is a painful process at times. Sometimes you don't feel that you can just do a test drive - you have to meet 3 or 4 different people (sales managers, etc) for no good reason. At least this way you get a feel for a certain car in a way that's totally convenient for you and you don't have any of the other BS that occurs at the dealership.
Going to a car dealer is painful because the majority of people do not like the idea of parting ways with their money, a significant sum of it. That is the issue.

Further to the above. The less money one has, the more difficult and frustrating things become as it’s harder for people without money to buy a car without the pressures of interest rates, trade in lowball offers, pressure of extended warranties etc etc. Not trying to start another debate but cash is king, you walk in with $30K you know what you want. No interest etc etc, it makes your dealership experience much more pleasant.

What makes anyone think there won’t be any BS when the test drive car shows up. It’s all designed to generate a sales lead.

At the end of the day, Hyundai USA needs to move cars. They are not doing it right now with their current line up based on sales numbers. They are in fact struggling despite all the blah blah blah of how well their dashboards are glued together or how long their warranties are.

I do see your point about changes in retail. But I am willing to go put on limb and say that sales profits and sales transactions are higher in stores than they are on line. ie, people will spend more inside a Walmart or Target than on Walmart.com or Target.com.

I see the idea of Hyundai, I just don’t see it working in the long term.

Last edited by Toys4RJill; Aug 17, 2018 at 08:52 AM.
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Old Aug 17, 2018 | 09:43 AM
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I don't know that this test drive eliminates going to the dealership to buy. I expect they would want you to return to the dealership to close the deal and meet all the staff.

If you could close the deal from your living room or the coffee shop, that would be convenient and less stressful. Dealership would be giving up a lot of opportunity to make money on extras though. Even if they tried, I suspect it would be less effective if they didn't have you on their turf.
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Old Aug 17, 2018 | 10:13 AM
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Originally Posted by LexsCTJill
Going to a car dealer is painful because the majority of people do not like the idea of parting ways with their money, a significant sum of it. That is the issue.
No, people don't like dealers because of the sales hustle and the time it takes.

as for your point that hyundai is struggling, yeah, selling near 700k cars last year in the u.s. is horrible, but yes, they lost marketshare, partially because they've stopped fleet sales and have too many sedans.
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Old Aug 17, 2018 | 10:14 AM
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Originally Posted by LexsCTJill
Sounds like desperate times for Hyundai. They are having trouble selling cars and getting people into a dealer is their problem.

As for the idea, companies spends millions or perhaps billions on figuring out what their brand is supposed to represent and a dealer is simply an extension of the brand.....so this idea is just going to keep people out of the dealer to begin with. Makes no sense, a retail establishment is supposed to help someone either intentionally or unintentionally buy a product.

I am am going to say thumbs down to this idea.
Why is an innovative idea "desperation"? The thing I hate most about car shopping is having to go to the dealer for the test drive. This is genius--you don't have to set foot in the showroom and get attacked by all the sales people. The last time I bought a car, I bought a CPO. I called the dealer, told them *exactly* which car on their website I was interested in, made an appointment at 9:00am on a weekday, when they just opened. I still had to wait around over 30 minutes to get into the car--they had to locate it, brush off snow, put gas in it, etc. They had no respect for my time, as the sales person disappeared for 20 minutes for things that should have been done before I even walked in the door.

This is a total Millennial thing; and I like it even though I'm not one.

Last edited by tex2670; Aug 17, 2018 at 10:18 AM.
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Old Aug 17, 2018 | 10:19 AM
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Originally Posted by scooky
I don't know that this test drive eliminates going to the dealership to buy. I expect they would want you to return to the dealership to close the deal and meet all the staff.

If you could close the deal from your living room or the coffee shop, that would be convenient and less stressful. Dealership would be giving up a lot of opportunity to make money on extras though. Even if they tried, I suspect it would be less effective if they didn't have you on their turf.
There is a distinct difference between walking into the car to sign papers on a done deal vs walking in just for a test drive to get the hard-sell.
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Old Aug 17, 2018 | 10:24 AM
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Originally Posted by LexsCTJill
Sounds like desperate times for Hyundai. They are having trouble selling cars and getting people into a dealer is their problem.


Nope.....just the opposite. Hyundai could not afford this kind of frills unless they WERE selling a lot of vehicles and making profits.

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Old Aug 17, 2018 | 10:45 AM
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Originally Posted by bitkahuna
as for your point that hyundai is struggling, yeah, selling near 700k cars last year in the u.s. is horrible, but yes, they lost marketshare, partially because they've stopped fleet sales and have too many sedans.
My comments have nothing against Hyundai. This would be an equally poor idea if it were Toyota or Mercedes-Benz
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Old Aug 17, 2018 | 10:46 AM
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Originally Posted by bitkahuna
No, people don't like dealers because of the sales hustle and the time it takes.m
And there won’t be any sales hustle when they come to you?
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Old Aug 17, 2018 | 10:49 AM
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Originally Posted by tex2670
Why is an innovative idea "desperation"? The thing I hate most about car shopping is having to go to the dealer for the test drive. This is genius--you don't have to set foot in the showroom and get attacked by all the sales people. The last time I bought a car, I bought a CPO. I called the dealer, told them *exactly* which car on their website I was interested in, made an appointment at 9:00am on a weekday, when they just opened. I still had to wait around over 30 minutes to get into the car--they had to locate it, brush off snow, put gas in it, etc. They had no respect for my time, as the sales person disappeared for 20 minutes for things that should have been done before I even walked in the door.

This is a total Millennial thing; and I like it even though I'm not one.
Resd some of my past posts. Going to the car dealer is a sales hustle if you make it be one. Most people do not like to part ways with $35K. Without the dealers, sales will plummet as people will talk themselves out of a new car as there won’t be any pressure to close.
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Old Aug 17, 2018 | 10:50 AM
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Originally Posted by tex2670
There is a distinct difference between walking into the car to sign papers on a done deal vs walking in just for a test drive to get the hard-sell.
So are you for or against this concept?
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