Success Story: Journey of KIA Motors

4908
14 Feb 2022
5 min read

Post Highlight

KIA Motors Corporation, Korea's oldest car manufacturer, is the world's fifth-biggest vehicle manufacturer, producing more than 1.4 million vehicles yearly at 14 production and assembly facilities globally. These cars are marketed and serviced via a network of over 3,000 distributors and dealers in 172 countries. The company's yearly sales exceed $17 billion.

With a global sales target that is 3.15 million units by 2022. Kia intends to keep its growth in quantitative terms by leveraging the company's top-of-the-line product quality. The goal is to reach 4 million units by 2030, which represents a 27 percent increase over Kia's goal for 2022. In addition to this quantitative growth, the company plans to also increase the market for environmentally friendly vehicles (including BEVs as well as plug-in hybrid electric cars (PHEVs) as well as hybrid electric cars (HEVs)) by the ability to accelerate and facilitate the process of electrification.

The company will make the selling of the vehicles in question the main focus of its future growth. Kia will increase the share of eco-friendly cars from 17 percent of sales in 2022 to 52 percent by 2030.

Kia AutoMode supports wireless updates for performance optimization and will be enhanced as technology advances. Additionally, it will have the Highway Driving Pilot feature, which will allow for autonomous driving on some highway segments.

All newly released vehicles in significant markets will be equipped with AutoMode autonomous driving technology by 2026, with an adoption rate anticipated to exceed 80%. The company's long-term goals include implementing completely autonomous driving technology and upgrading AutoMode technology.

Additionally, Kia will concentrate on extending its selection of high-performance vehicles and supplying items with distinctive designs.

#TWN

Podcast

Continue Reading..

KIA Motors is the world's fifth-largest car manufacturer, creating technologically advanced automobiles that are highly rated for passenger safety, with numerous models classified as leaders in their class on the JD Powers Index.

KIA Motors began in December 1944 as Kyungsung Precision Industry. KIA Industries was eventually adopted as the company's name. KIA Motors is based in Seoul, South Korea, and is the country's second-biggest automaker. KIA Motors owns nearly a dozen Hyundai companies for a total of USD 8.3 billion.

Journey of KIA Motors

Initially, KIA Motors was known as Kyungsung Precision Industry, which produced steel tubing and bicycle parts. In 1951, the business produced its first home bicycle. It subsequently changed its name to KIA Industries in 1952 and began producing automobiles, motorbikes, and trucks in 1957. Due to the dictatorship of Chun Doo-Hwan, who encouraged industrial consolidation, KIA Motors was compelled to cease passenger car production in 1981.

KIA entered the vehicle market in 1986 as part of a joint venture with Ford. It subsequently moved on to produce Mazda-derived vehicles that were marketed in South Korea as well as exported to nations like America and Australia. Beginning in 1992, KIA began growing one region at a time in America, and by 1995, it had over one hundred dealerships spread across thirty states, and it established a record by selling 24,740 vehicles.

KIA went bankrupt in 1997 as a result of the Asian Financial Crisis. KIA was compelled to diversify and reached an arrangement with Hyundai Motor to shift ownership between the two firms. Following its bankruptcy in 1997, KIA Motors became involved in a slew of affiliations and subsidiaries in the years that followed. The Hyundai Motor Company owns 33.8 percent of KIA Motors. KIA Motors Corporation, formed in 1944, is currently a division of Hyundai-KIA Automotive Group.

Related: Hyundai Kona EV 2021 – Hello Future

KIA Motors America is a subsidiary of KIA Motors Corporation. The first KIA Motors facility in America opened at West Point in November 2009. KIA Motors Corporation also has a sales and marketing business in Europe. KIA Motors Mexico produces roughly 300,000 vehicles every year. The Mexico KIA facility is in Nuevo Leon. KIA Motors has also specialized in the production of military vehicles for the South Korean Army, and KIA Heavy Industry Co. Ltd. was founded expressly for this purpose in 1976, as approved by the South Korean government.

During significant market obstacles, KIA has worked hard to attract Jordanian customers to buy. KIA Jordan has reduced its gross margin on several automobile models, but the tax position remains a key obstacle to sales.

KIA believed that a new campaign offering cheap down payments and flexible installment options would generate enthusiasm and promote sales in Jordan. Executives decided to sweeten the sale by including a high-end gift with a purchase that would get people talking. KIA Jordan wanted the present to have a profound connection with its brands, building customer relationships and loyalty even after the car was purchased.

KIA chose to collaborate with Samsung, a company well-known in the region for its attractive and popular consumer phones. Its new offering included a free, high-quality mobile with the purchase of specific KIA models. When a client purchases a car, KIA gives the buyer one of five new Samsung gadgets that have been personalized to match the model purchased: Picanto, Optima, Niro, Rio, Sportage, and Cerato.

KIA was able to apply complex, distinct branding to the smartphones by using Samsung's Knox Configure customization tool. The team adjusted the gadget boot-up and shut-down animation to represent the unique KIA model acquired at a low cost. KIA personnel initially established six device profiles in the Knox console to conduct the application. They then allocated each device to a profile using the Knox Configure auto-enrollment tool, which uses the device's unique identification number. When the consumer opens the package and connects the device to the network, they will see a customized logo animation for the automobile that features the KIA model that they have just purchased.

The branded experience was created to provide customers another reason to be pleased with their purchase while also encouraging viral marketing activities for KIA in Jordan.

KIA Motors was thrust into the spotlight in August 2014, when Pope Francis of the Catholic Church elected to ride in one of KIA's vehicles during his five-day visit to South Korea.

KIA Came up with New Design

KIA Motors has a good history of producing a wide range of premium and heavy automobiles. However, in 2006, KIA Motors decided to focus on core design, which is the underlying future of the growth engine. KIA Motors appointed Audi and Volkswagen designer Peter Schreyer and Cadillac designer Tom Kearns as Chief Design Officers to make this transition a reality. Since then, the pair has modified and restyled KIA's whole portfolio.

Peter Schreyer underlined that KIA Motors should have a design in front of every automobile that demonstrates the individuality and strength of KIA Motors while making it appear even from a distance that the car is made by KIA Motors. As a result, Schreyer developed the KIA Tiger Nose as the company's insignia, which can currently be seen in front of every KIA vehicle.

Since 2013, KIA Motors has received the International Car of the Year award after restyling and revamping its vehicles.

Kia's Eco-Friendly Management Framework

Kia has developed and implemented its four safety and environmental management policies, including compliance with environmental and safety laws, minimizing safety environmental risks and pollution emissions, the development of a corporate culture that incorporates safety and environment-related policies, etc. in order to establish an environment that is centered around both the people as well as the natural environment. We are working hard to create a high-quality environment and safety culture in order in order to reach the long-term goal of creating an autonomous environment management system in 2025. Kia has set a new target of establishing a top-level global safety culture and is determined to create a safe and environment-friendly workplace.

In the year 2025 Kia intends to launch an entire line-up of 11 electric vehicle batteries. With these models, Kia hopes to capture the 6.6 percent part of the market for electric vehicles worldwide (excluding China), while also achieving 25% of its revenue from eco-friendly vehicles. As the world EV market is predicted to increase in growth until 2026 Kia hopes to achieve 500 000 annual EV sales, and global sales of one million environmentally friendly cars. The overall plan is in line with the parent firm Hyundai Motor Group's global growth strategy based on EVs.

The plan builds on Kia's'Plan S' strategy, which was first revealed in 2020. It also provides more details on how the company can be able to achieve its goal of becoming an environmentally sustainable mobility solutions provider.

This vision of the company is backed by three fundamental pillars "people", "planet" and profit. In these three principles, Kia will strive to increase the value of its customers and cultivate the best talents, cut carbon emissions while considering our environment and create profits while being an ethical corporate citizen.

Kia has also released its four business goals for 2030. The main goals of the business are the acceleration of electrification and reaching an annual revenue in the range of 1.2 million battery-electric vehicle (BEV) units in 2030; and achieving 4 million annual sales of vehicles in 2030, with more than two million eco-friendly vehicles and expanding the use of connected car features and autonomous driving technology in all brand new cars and becoming the leading manufacturer in the world's market for purpose-built vehicles (PBV) market by 2030.

BEV Lineup Expanding Into 14 Models By 2027

Kia is speeding up its move to EVs to consolidate its position as the world's most renowned EV manufacturer. The company is first planning to increase its BEV product range.

In the year 2023 Kia is planning to introduce at minimum two BEVs each year, and create a total lineup of 14 BEVs in 2027. In contrast to its earlier plans to launch 11 models in 2026 Kia plans to add 2 electric pickup vehicles, namely a special electric pickup truck, an innovative model designed that targets emerging markets. It will also launch an entry-level BEV.

Kia intends to consolidate its position as a leader on the EV market by launching its flagship electric vehicle, the EV9 which is due to go on sale in 2023. While its EV9 is a huge SUV that measures a total length of about five meters, the vehicle is able to boast amazing acceleration, ranging from 0-100 km/h in just five seconds, and the range is around 540km with a full charge. It also has a 100-kilometer driving distance on six minutes of charge.

 

Related: Kia back with a bang – Niro EV

Conclusion

KIA Motors is now a major sponsor of a variety of sports and events. FIFA, UEFA, National Basket Ball Association, Asian Games, Archery World Cup, FIFA World Cup, Korea Speed Festival, X Games Asia, Atlanta Falcons, England Women's Cricket Team, KIA Tigers, Philippines National Football Team, and other organizations. Athletes such as Ryan Ford, Blake Griffin, and Fernando Gonzalez, to name a few. It has also backed stars such as Pierce Brosnan, Christopher Walken, and Laurence Fishburne, to name a few.

TWN In-Focus