Hyundai will cut back on its UK dealership partners over the next five years in a bid to ‘future-proof’ its network, it was announced yesterday.
Labelling the reduction an ‘evolution’, it said it was putting into action ‘a transformation’ of the dealership network, with a focus on retailers that were ‘capable, resilient, and profitable’ and which were ‘ready to face the future’.
In a press release it said, “By streamlining its network, working with fewer partners, and making enhancements to around a third of its current sites, Hyundai Motor UK can create a more profitable business proposition which delivers an enhanced retail experience.”
Hyundai Motor UK, which came to Britain in 1982, will reduce the current partnerships from 70 to 55 by 2028-29 but the number of showrooms would be going UP from 165 to 173 eventually. It has eight dealerships in Wales.
Hyundai Motor UK sales grew 8.3% year-on-year during 2023, selling 87,100 vehicles with TUCSON leading the surge, as both the best-selling Hyundai model and the 2nd best-selling hybrid in the UK.
About 75% of Hyundai Motor UK’s 2023 sales were of SUVs and 48% Hybrid, Plug-in Hybrid or Electric. TUCSON shines yet again, with TUCSON Plug-in Hybrid selling 6,073 units during 2023 – an increase of 88% year-on-year.
Earlier this year it was announced Hyundai will absorb the operations of the luxurious Genesis brand into its network after the premium products were launched through a direct sales network since 2021.