Genesis Finance to launch digital financial service for GV80

Genesis GV80

As COVID-19 requires people to limit in-person interactions, digitized online sales platforms have become a necessity for merchandizers around the world. The same holds true for vehicle manufacturers and automotive retailers, which have historically been slow to adopt digital retail solutions.

Hyundai Capital, the financial arm of Hyundai Motor Group that supports the Hyundai, Kia and Genesis brands, is accelerating the establishment of a digitized online platform that will enable consumers to lease or finance a vehicle in a convenient, safe and secure manner.

Genesis Finance, the captive finance company representing Genesis in Canada, will allow the brand to deliver a fully digital leasing experience for all Genesis models, including GV80, the brand's first-ever SUV. Genesis Finance is operated by Hyundai Capital Canada, which also runs Hyundai Finance and Kia Finance.

"There is clear consumer demand for online retail solutions, and the need for these services has rapidly increased in past months due to the pandemic," said Mark Di Donato, Director of Sales and Marketing at Hyundai Capital Canada.

"COVID-19 has accelerated the creation and expansion of the online services offered by global automakers, financial companies, and dealerships. We've already seen great success with the programs we've put in place to date and we will continue to evolve our services to better serve our customers."

Digitized platforms are gaining traction worldwide as more consumers prefer to shop for vehicles online due to the pandemic. A May 2020 study by Cox Automotive showed that dealers are quickly embracing new "buying alternatives" that translate into consumers' increased online activities.

The study demonstrated that 62 percent of consumers in the United States are more likely to complete part of the car purchasing process online, and two thirds of car shoppers are willing to complete the entire purchase online due to COVID-19 concerns.

Genesis Finance's digital leasing solution will be delivered through Genesis at Home, which provides a highly personalized and convenient way for customers to shop online and to be guided through their purchasing journey.

Customers can schedule a test drive with a Genesis Experience Manager at their residence or place of business. The entire purchasing process from configuring a vehicle to scheduling an at-home delivery is completed from the comfort of the customer's chosen location.

When customers are ready to purchase their chosen vehicle, they are able to apply for credit online and receive notification of their application status immediately. The bill of sale is also completed online and customers have the option to choose a payment plan that best suits their needs whether it be via lease, finance or cash.

Hyundai Capital Services, Hyundai Capital's global headquarters located in Seoul, is not new to digitizing the vehicle purchasing process. The company has saved US$16 million since 2017 through "Process Digitization" initiatives. It has improved customer adoption of its digital purchasing process in Korea from 36 percent in 2017 to 80 percent in 2020.

Hyundai Capital's support of digital initiatives is also evident in other markets globally. In the United States and the United Kingdom, Hyundai Capital offers digital auto financing services through "Click-To-Buy." Consumers in Brazil have access to a similar service through "Hyundai Express."

Meanwhile, Hyundai Capital Canada hit an all-time-high in three areas in October after resilient growth since it launched in 2014: sales volume, penetration rate and retention rate.