Good things come to those that wait….More Hyundai product coming to Glenbrook Hyundai

There has been a much lower inventory volumes at Fort Wayne new car dealers lately.  Fort Wayne Toyota and Honda dealers had to deal with the recent tragedies in Japan.  Local Ford , Chevy and Kia dealers are trying to keep lower inventories to drive prices up.  Glenbrook Hyundai has lower inventory for a total different reason…great sales!  With the redesign of the Hyundai Sonata, Elantra, Accent and introduction of the Hyundai Veloster, people are flying to the Happy Car Store

From Fortune Magazine:

Its cars are selling so well, the once dodgy brand is having more and more trouble meeting demand — and that’s a very good thing.

By Doron Levin, contributor

2011-hyundai-sonataFORTUNE — New-car shoppers who fly to another city often do so in search of a hard-to-find Mercedes, Lexus or other high-price vehicle. Lately they’re looking for Hyundai models. In short order, the once-dodgy brand is suddenly being associated with one of the most desirable problems in the auto industry: scarcity.

“I was surprised,” says George Glassman, a Hyundai franchisee in Southfield, Michigan who has delivered cars to buyers from Cleveland and Chicago. “Demand is outstripping availability. People who want a particular color or set of features buy the car and fly in to pick it up.”

Availability of Hyundais in the U.S. is tight because the company is “more or less maxed out” on worldwide production, according to John Krafcik, chief executive officer of Hyundai Motor America, the U.S. subsidiary of the South Korean automaker. “We’re doing everything we can. Some of our dealers are quite upset they can’t get enough cars.” Marc Cannon, a spokesman for AutoNation (AN), the nation’s biggest auto retailer called demand for Hyundais “overwhelming,” resulting in shortages at the chain’s five franchises.

The remarkable turnaround of Hyundai, a car brand once troubled by poor quality, is already three or four years old, and reflected in the fact that its cars have turned into hot sellers. Hyundai, and its affiliate Kia, now have about the same share of the U.S. market as Honda (HMC). But the South Korean automaker isn’t rushing to expand production. The company opened an assembly plant in Montgomery, Alabama in 2005, which today is operating at capacity of about 300,000 vehicles annually. Hyundai executives in the U.S. decline to speculate when, or even if, a second U.S. plant might be built.

Hyundai’s growth and the glowing reviews for the latest versions of its Sonata midsize sedan, Elantra compact sedan and Accent subcompact lead some analysts to predict that it could grow within a few years into the world’s top seller. The recent misadventures of General Motors (GM) and Toyota (TM), which have been first in sales before, show that the No. 1 title may be a poisoned chalice. “One of the concerns is that our current quality systems won’t hold up if they’re forced to accommodate too much production,” said Mike O’Brien, vice president of product planning at Hyundai’s U.S. headquarters in Fountain Valley, California.

Although dealers are losing potential sales because they don’t have enough cars on hand, Hyundai is benefiting via strong pricing of the vehicles they do sell. According to Edmunds.com, the average Hyundai vehicle sold in August carried a discount worth $737, compared with an average discount of $2,385 for all brands. Hyundai has begun extensive leasing programs for Elantra and Sonata, charging monthly rates of $169 and $199 respectively. Last year was the first that Hyundai was able to lease more than 10% of its vehicles; this year the rate already is at 19%.

Dealers like the leasing programs because so many customers prefer the predictability of a three-year contract and buyback and because the agreements more or less assure the dealers a chance to sell another car when the lease expires. Leasing wasn’t possible in the franchise’s early days in the U.S. due to the weak residual value of used Hyundais. Now, that figure has turned into one of the industry’s strongest.

“Hyundai’s done a great job surprising people” who remember how mediocre the cars were 10 or 15 years ago, said Jessica Caldwell, an analyst for Edmunds.com. “It won’t be as easy to surprise people going forward.” Ultimately, Hyundai may find itself in the enviable position of having to align its message with its rapid growth.

To drive a new Hyundai stop by the Happr Car Store at 4801 Coldwater Road in Fort Wayne, Indiana or go online at www.HappyCarStore.com

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About www.HappyCarStore.com

Glenbrook Hyundai, a car dealer in Fort Wayne, Indiana, is a family owned and operated dealership. Located in Fort Wayne for over 20 years, Glenbrook Hyundai understands the value of a Happy customers. For the past 10 years, 62% of all Glenbrook Hyundai customers have been either repeat customers or someone referred in by a friend. The "Happy Car Store" theme came about a few years ago when Mark McKibben, the store's General Manager, decided to make buying a car at Glenbrook Hyundai different than every other dealership in the area. Some of the Happy Car Store advantages are: - a quicker sales process, no need to take hours to buy a car - Glenvrook Hyundai is a full disclosure dealership, every customer gets to see the price, taxes, fees, money down options, term options, trade figures...everything they need to know to make a well informed decision, with absolutely NO PRESSURE to buy. - The area's largest selection of new and used Hyundais - Service rewards cards, giving customers the opportunity to earn free oil changes, rental cars, complete details and more. - Service loaner cars - 100% customer oriented sales process - A Happy, No Worries atmosphere - And much, much more Stop in to see us at: Glenbrook Hyundai 4801 Coldwater Road Fort Wayne, IN 46825 260-484-9531 Or check us out on the web anytime at www.HappyCarStore.com
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