How Genesis Is Doing What Every Other Luxury Brand Since Lexus Has Struggled To Do

Once a model wearing a Hyundai badge, since Genesis was spun off as a standalone luxury marque in 2015, it has managed to successfully establish itself in a way the likes of Lincoln, Infiniti, and Acura have struggled to do as luxury arms of mainstream brands. We’d go so far as to label the rise of Genesis as the closest we’ve seen to the launch of Lexus three and a half decades ago, and in a modern automotive climate that is far less conducive to seeing startups go the distance. Since 2016, when sales commenced stateside, Genesis has quickly eaten into the sales figures of these other marques, bucking the trend of declining sales with year-on-year growth on all but two occasions, one of which was the year we were struck by the pandemic.

But what is the key to that success? What challenges does Genesis face? And how does it foresee itself evolving to go toe-to-toe with BMW, Audi, and Mercedes-Benz? To answer these questions and more, CarBuzz sat down with Ash Corson, director of product planning for Genesis in the USA, at the 2024 New York International Auto Show, where the brand unveiled the Neolun Concept SUV and a new Magma performance sub-brand by showcasing a spicy version of the GV60.

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Genesis also teased a sportier GV60 called the Magma.

A Tale Of Sales Success

Genesis US Sales Figures vs. Rivals
	Genesis	Infiniti	Lincoln	Acura	Lexus
2016	6,948	137,970	112,470	161,360	331,228
2017	20,612	153,415	111,159	154,602	304,376
2018	9,940	149,280	103,587	158,934	298,302
2019	21,237	117,708	112,107	157,385	298,112
2020	16,384	79,503	105,405	136,982	275,042
2021	49,630	58,555	87,929	157,408	326,928
2022	56,198	46,616	83,486	102,306	258,434
2023	68,798	65,316	81,444	145,655	320,249

From the sales figures above, you might be inclined to think that Genesis is still a small fish in a big sea, but seeing the data represented graphically below in logarithmic form tells a different story, showcasing the positive trajectory Genesis is on while others stagnate and even decline. For the last two years, Genesis outsold Infiniti, and has Lincoln in its crosshairs. More impressive still is that these other brands have been around for decades in most cases and had the backing of legacy automakers. Nissan, Toyota, Ford, and Honda have decades of sales success in their locker, giving them the means and reputation to be able to launch something new.

Genesis, on the other hand, has only been in the US for eight years and existed as a standalone brand for nine. Hyundai has only been considered a viable mainstream automaker for 20 years at most, before which the brand was plagued by quality issues that couldn’t excuse its cheap pricing.

Genesis U.S. Sales Figures vs. Rivals-1 — CarBuzz

The United States is the second-biggest market for Genesis behind South Korea, and, as the second-largest automotive market in the world and one with a distinct sense of patriotism, it’s a tough nut to crack. Last September, Genesis reached the major milestone of more than one million cars sold globally, of which more than 225,000 were sold stateside.

Dedicated Platforms Drive Differentiation Between Hyundai And Genesis Products

One of the major reasons Corson attributes to the success of Genesis in the US market is the dedicated platforms underpinning Genesis products. Something almost all the other brands mentioned above have in common is that there tends to be a huge amount of platform sharing with their parent companies. Prime examples include the Acura Integra and Honda Civic, the Toyota Avalon and Lexus ES, and just about every Lincoln and Infiniti (Q50 and Q60 excluded). This can lead to the luxury sub-arm being too closely associated with the parent company.

But according to Corson, “you see a lot less of that between Genesis and Hyundai, and there are a couple of reasons for that.” The platform sharing, or lack thereof, is the big one. “The Genesis platforms are dedicated, rear-wheel drive, and our leadership has made a concerted effort and investment in resources to make Genesis Genesis,” he explains. The only exceptions are the GV60, which shared its E-GMP platform with the Ioniq 5 and Kia EV6, and the G70 and G80, which lent their RWD platform to the Kia Stinger.

Another core difference is that you don’t get into a Genesis and see a Hyundai steering wheel or a shifter from a Kia. “There’s not a lot of parts sharing, and I think that brings authenticity to Genesis that is unique; it’s not part of the parent company in that sense.”

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The Weight Of The American Voice

Despite Genesis being young, it decided right from the outset it wanted to prioritize the US market just like Lexus did, even launching the G90 as its first model in much the same way Lexus started with the LS. Corson tells us “The great situation we have is that the US and North American markets are the biggest and most important markets for Genesis globally. So, and testament to our global Genesis leadership, our voices are absolutely not only heard but carefully considered, and perhaps even the driving influence.”

A week prior to NYIAS 2024, Corson was in South Korea, “meeting with the global leadership and expressing our needs for the US market.” The reception is positive, and Corson says it shows in the products the brand announces at a global level.

“I think it’s reflected in the vision concept that you saw as well as Magma; those are direct things that really resonate with this market.”

The Genesis Neolun concept revealed in New York is a prime example of this attitude, catering to the unique demands of the American market for larger vehicles than European buyers. That concept has “coach doors that open wide and plenty of space to accommodate any future proofing in terms of seating arrangements,” says Corson, referring to a three-row configuration not present in the concept, but that will likely arrive when it launches in production form. “So that’s, again, a direct reflection of US market needs and the appreciation of full-size SUVs.”

Capitalizing On Segments Others Are Abandoning

Genesis may have launched with the G90 and rapidly rolled out the G70 and G80 thereafter, but it’s also adapted quickly to changing market conditions, like the growth of the SUV segment. To that end, it’s launched the GV70 and GV80, and the all-electric GV60. But despite the market pushing toward crossovers and the resultant abandoning of the sedan by many rivals, Genesis remains steadfast in its commitment to the three-box sedan, facelifting the G70 and G80 and launching a new G90.

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“The G70 is a great example,” says Corson, “where the last three years, year over year, we’ve seen sales increase.” Genesis now sells more than 1,000 G70s a month, which Corson attributes to “the inherent goodness of the platform,” but also the fact that the G70 represents “a pillar of Genesis, which is ‘athletic elegance.'” That last bit is crucial to the brand image, as sedans are vastly more athletic in nature and styling than SUVs are. Corson describes the G70, G80, and G90 as “beautiful land sharks, if you will, cars that are extremely comfortable, refined, but also very, very sporty.”

And don’t expect Genesis to abandon the sedan anytime soon. “We see good opportunity sales-wise, continuing with the sedans, but also again, being true to the athletic side of our brand,” explains Corson, adding that “they’re a great platform for Magma,” the new performance sub-line launched at NYIAS.

Magma Won’t Be Another M Or AMG Copy

The Magma lineup is something new for Genesis, a performance sub-line previewed by several concepts, including the striking X Gran Berlinetta Vision Gran Turismo concept. Corson says the Magma brand is a natural extension of the athletic elegance philosophy that “really builds on the inherent athleticism of the Genesis brand.” He describes it as a “potent statement of our performance intent to take it to the next level.”

The cars that will emanate from the Magma line are what Corson terms “vibrant, visceral visions, I would say, that embody our pursuit of powerful, and elevated, and elemental levels of performance art” that build on the concept of Korean fusion.

“It’s an exhilarating fusion of audacious performance plus striking style; true performance art.”

The focus is clearly on visual aggression and subtly enhancing the driving experience, something Corson explains in greater detail when speaking of the potential for the GV60 Magma to launch stateside. “It’s a hellion, it’s a beast, right? All electric cars, as you know, are powerful and fast, but this is about the driver for us.” This is something we’ve heard from elsewhere in the Hyundai Group, particularly Hyundai’s N division at the launch of the Ioniq 5 N. Corson expands on this sentiment further by saying the GV60 Magma is “not just fast in a straight line. But it’s exhilarating in all five senses. So yeah, watch this space, I would say.”

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He also admits that “in the BEV space, making a truly rewarding driver’s vehicle is arguably the most challenging; it’s easier to make an ICE-based car fun to drive […] so we’re tackling the toughest part head-on.”

What Challenges Does Genesis Face?

It may be easy to paint Genesis with the brush of success, but as this industry has proven time and time again, success is relative, and it’s not something that, once achieved, remains permanent. It’s a continuous endeavor that requires adaptability to changing conditions, the ongoing refinement of product offerings, and an ability to imprint in the minds of prospective buyers long before the time comes to make the second-largest financial decision of their lives.

The latter is an element Corson identifies as a big challenge. “For me, the biggest challenge has just been really introducing ourselves to new people. We’re a young brand, and […] once people see a Genesis and actually experience the Genesis brand […] that’s an easy sell because the products speak for themselves.”

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The Key Is To Move Quickly

Fortunately for Genesis, the brand is small enough to be able to rapidly adapt, and it prefers to move quickly. While other automakers spend years planning reveals, hanging onto new cars and concepts in secret for months after they’re complete, inevitably leading to leaks, Genesis prefers to get a move on. When a Genesis concept is revealed, it’s still fresh, not half a year after completion. This is the Korean way and representative of a fast-paced and rapidly-adapting society. It’s because of this philosophy that Hyundai and Kia have been able to change their entire brand identities and become two of America’s strongest-selling brands. It’s a trait that has, thus far, benefited Genesis in a big way.

It may be too soon to say outright that Genesis has become the Lexus of the modern automotive age. But it’s certainly started off with the same intent Lexus did all those years ago, with vehicles good enough to stand on their own without the need to name drop a parent company into the conversation. In starting strong and rapidly adapting to new technologies as legacy automakers lag behind, all while not alienating clientele who prefer classic luxury and combustion powertrains, Genesis has primed itself for success. Now it’s on Luc Donckerwolke, Chief Creative Officer and Chief Brand Officer, and SangYup Lee, Global Head of Design, to fulfill the brand’s promise.