Hyundai Kia Motors Overcomes COVID Wave Through Overseas Online Sales

[Asia Economy Reporter Suyeon Woo] Hyundai Kia Motors is strengthening online sales in overseas markets where demand has shrunk due to the novel coronavirus infection (COVID-19). To cater to customers who are reluctant to visit stores in person due to COVID-19, the company is building an online vehicle ordering system and attempting to innovate its sales methods.

According to the automotive industry on the 14th, Hyundai Motor recorded over 700,000 visitors and achieved more than 15,000 contracts within about two months since fully launching the online retail sales platform 'Click to buy' in the Indian market.

Hyundai Motor's online sales platform 'Click to buy' is India's first online car purchasing platform and is linked with over 600 dealerships across India. It supports the entire purchasing process, including 360˚ vehicle viewing, providing real footage videos, online test drive reservations, and coordinating vehicle delivery schedules.

Thanks to the introduction of online sales, the Indian market, which was completely paralyzed by COVID-19 in April, has been gradually recovering since May. In May, Hyundai sold 6,883 units in India, and the mid-size sport utility vehicle (SUV) Creta ranked first as the best-selling car in India for the month.

Hyundai Motor's 'Click to Buy' Website Introduced in the Indian Market

Hyundai Motor has also fully introduced 'Click to buy' in the United States. Thanks to the online sales platform launched in April, Hyundai's sales in the U.S. have been evaluated as holding up well despite COVID-19. In May, Hyundai Motor's U.S. sales (wholesale basis, excluding Genesis) were 57,619 units, a 69% increase compared to April.

Compared to last May's performance, it may take some time for a full recovery, but relative to competing brands in the U.S., the results are relatively strong. Sales in May this year compared to the same period last year decreased for both Hyundai (-14%) and Kia (-24%), but sales for Honda (-16%), Subaru (-19%), Acura (-24%), and Toyota (-26%) declined even more significantly.

Additionally, Hyundai Kia Motors is considering introducing an online sales platform usable throughout Europe, including Germany and Italy, in the second half of this year. The European market, which saw sales shrink due to COVID-19, is expected to find a breakthrough through the introduction of the new platform.