HYUNDAI’s Australian arm has committed more than $10 million – its biggest media spend ever in this country – to market its critically-important i30 hatchback contender into the fiercely competitive small-car segment.

The spend – involving extensive marketing campaigns, broad advertising coverage, the product launch to dealers and journalists, and other promotional programs – is even more impressive considering Hyundai Motor Company Australia has two more equally important product launches slated for this year, with the hybrid Ioniq liftback and Kona baby SUV.

Both may deserve a similar financial commitment to bring them to the market, but Hyundai Motor Company Australia (HMCA) chief operating officer, Scott Grant, said the program for the two next cars had yet to be confirmed.

“We are part way through planning the Kona launch so we have yet to finalise investment, but, yes, it is a significant amount,” he said at the week-long Hyundai i30 immersion program for dealers held in Sydney last week, covered exclusively by GoAutoNews Premium.

Asked if this amount was needed to launch a car, Mr Grant said cost was “partly driven by the market and also the model we are introducing”.

“Kona is a brand new vehicle in a brand new segment for Hyundai so it is significant, yes.”

But in a product-packed year, these two aren’t the only new models. HMCA also has the Genesis G70, i30 N performance hatch and facelifted Sonata diarised for release this year.

Mr Grant said HMCA was exposing the new i30 “to around 1000 people from the Hyundai dealer network this week” with the dealer-specific event held in Sydney’s Darling Harbour convention centre.

“It is our single biggest investment in the brand,” he said of the Darling Harbour event.

“The all-new i30 is the most compelling package in our range. I believe it is the best car we have ever built in what is our strongest market segment.”

“We have a different approach to bring this car to you,” he said.

Mr Grant told the attendees – a rotation of dealer principals, F&I staff, technicians, sales representatives and administrative employees – “I’m confident you’ll be inspired by the car and the launch”.

“Four groups of high intensity hubs will give you access to all the features of the i30.”

The hubs – test drives, product, sales and technology – were based within a huge convention room at Darling Harbour with road tests conducted in a loop around adjoining inner-city suburbs.

HMCA marketing director, Oliver Mann, told GoAutoNews Premium that the $10 million-plus budget for the new i30 was needed “to ensure our launch messaging is on target”.

The i30 campaign started mid last year with HMCA undertaking in-depth marketing and research strategies that Mr Mann said were aimed at the 30-50 year-old age group.

“This is the group where the majority of people chose Mazda3 or Toyota Corolla over the outgoing i30,” he said.

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“We are already successful with first-time buyers with i30 in the young and mature age buyer segments.

“The i30 has been enormously successful for us but in comparative terms, it has been less successful than our direct competitors which is the Corolla and the Mazda3 in the 30-50 bracket.

“The Volkswagen Golf is less of a volume model, perhaps buyers see it more from an aspiration perspective.”

Mr Mann said that research involved “the vehicle market, customer demographics and experiences based around purchases and ownership, then quantitative research in areas such as pricing and brands, then qualitative research which is product clinics and focus groups”.

Talking about the price of the new model, Mr Mann said the new car will have price reductions and an increase in the feature specifications, though final figures are not yet available. He said the new pricing “was about balancing the price with the equipment levels and taking into consideration the i30 rivals”.

“I guess what we wanted to do is to reset our business model and a list price that was highly competitive and not be in the position where we were discounting the vehicle,” he said.

“So we think the i30 represents an unchallenged position – it’s not the cheapest car in the segment but the price represents the best value bar none in its category.”

Parallel with the launch of the new i30 is a change in Hyundai’s Corporate Identity (CI), particularly in the advertising message.

“The i30, because of its volume, has a strong role to play in advancing the brand,” Mr Mann said.

“The new CI is different photography with lifestyle focus, different content and topography. It is more upmarket.”

Of the in-house launch in Sydney last week, Mr Mann said it was “a big scale”. “We know how much it costs but we’re not going to talk about it. The amount spent on this event is ‘adequate’.

“But it is very important in getting the message to our consumers and its product immersion program is aimed at our dealer body.

“Getting the dealers onside is half the battle. Once they are motivated they become apostles for the brand and that extends to the customer.”

By Neil Dowling