Genesis Hits the Partial Reset Button As It Awaits 2019 Models

We told you yesterday of the hurdles facing the fledgling Genesis brand, a standalone luxury marque launched two years ago under the umbrella of Hyundai Motor Group. Currently, just two models reside in the Genesis stable —  the midsize G80 and full-size G90, with the 3 Series-fighting G70 bowing later this year.

It’s been a slow, measured start for the brand, but a shifting strategy for its U.S. dealer network means these early days haven’t been easy ones. A Genesis spokesman tells us that the brand’s inventory is being whittled down ahead of the launch of the revamped network alongside fresh, 2019 model year vehicles. Just how many Genesis dealers will exist at that time is unknown.

While the network remains a work in progress, Genesis seems confident that its most recent strategy will ease dealer unrest.

At the beginning of the year, the automaker announced compensation packages for some of the 350 elite-level Hyundai dealers that invested in training and building a dedicated showroom space for Genesis products. The new brand wanted a carefully placed network of 100 standalone dealers to separate the two brands and avoid confusion. After all, Genesis was once a Hyundai model.

In the spring, the game changed again. Instead of members of the previous elite-level group applying to become one of 100 standalone dealers in 48 specific markets, Genesis opened the opportunity up to all Hyundai dealers. It still plans to reduce the number of Genesis stores to improve throughput and profitability, but the numbers are no longer set in stone.


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