Road to Brandweek: Hyundai's Quest to Make Consumers Care About Electric Cars

Hyundai released its first all-electric vehicle in 1991. That Sonata sedan topped out at 37 miles per and hour and could only go about 44 miles on one charge—not exactly competitive with its gas-powered counterparts. In the three decades since, Hyundai has continued to pour resources into EV research and development. In the U.S., the brand currently sells two battery-powered, all-electric vehicles and one hydrogen-powered SUV. Two of its SUVs and two sedans are available as hybrids. The all-electric Kona SUV can go 258 miles between charges and tops out at 150 miles per hour. By 2024, the sporty, retro-looking, all-electric Ioniq 6 will join this slate of vehicles with a range of 379 miles—Hyundai's answer to the Tesla Model 3. Selling electric While America's appetite for EVs has grown significantly in recent years, not all drivers are sold on the idea. Interest is clustered among younger potential buyers who are worried about climate change, a May survey from intelligence company Morning Consult showed. As of Aug. 17, just 18% of U.S. adults said they were "very interested" in buying an EV in the next year, according to another of the firm's surveys. Around Half of American Car Owners Are Open to Buying an Electric Vehicle To transition America's auto economy away from fossil fuels, carmakers will have to find a way to draw more consumers to EVs. Winning over only the climate nerds isn't going to cut it. If Tesla proved to the industry that EVs can be competitive when it comes to performance and design, "Hyundai has taken that and run with it," Brian Moody, executive editor at Kelley Blue Book, told Adweek. "If you look at the design and the style and the features of their current and upcoming cars, it's pretty compelling." Future-proofing the Hyundai brand By building out capacity in hybrid models and hydrogen power in addition to battery-powered vehicles, it's clear that Hyundai didn't simply jump on the EV bandwagon due to political or regulatory pressure, Moody noted: "It's just part of their corporate ideology to produce these types of cars, and that was decided years ago." Still, there's a balance to strike between the current dominance of gas-powered cars and the push for more, better and cheaper EVs. That's something Angela Zepeda, chief marketer for Hyundai Motor America, spends a lot of time thinking about. The Kona and IONIQ 5 (center, right) are battery-powered electric vehicles. The Nexo (left) uses hydrogen fuel—available only in California. "You have to focus on the present but invest in the future," Zepeda told Adweek. "The technology is constantly improving, and as consumers become better educated about it and overcome their fears with the range as infrastructure improves, the scales will slowly tip toward more EVs." That transition will be supported by legislation like the Inflation Reduction Act. Signed into law by President Joe Biden on Aug. 16, it offers incentives for automakers investing in more EV technology. Still, the economy won't likely experience the biggest impacts of that specific law until roughly 2030, analysts say. California's ban on gas-powered vehicle sales after 2035, passed on Aug. 25, offers yet another reason for automakers to shift resources toward EVs. 'The full-funnel attack' Zepeda became Hyundai's first woman CMO (and first woman in the C-suite) in late 2019. Since then, she's left her mark on the company. By shifting toward more campaign-based work and aiming to build more emotional connections with consumers, Zepeda led the brand into an era of "the full-funnel attack," as she calls it. For the launch of the 2021 Tucson, Hyundai released a campaign umbrella called "Question Everything." It included a partnership with Disney that featured characters and personalities from ESPN, ABC, Nat Geo and Marvel. The brand also partnered with award-winning photographer Annie Leibovitz last summer to highlight the stories of people, owners and dealers around the launch of the 2021 Santa Fe. Both the Tucson and Santa Fe are available as hybrids. Moving forward, Hyundai is gearing up for another brand campaign, "It's Your Journey." The company's maintenance, warranty and "job loss insurance" programs will star in the campaign, which aims to "show consumers we have their back," Zepeda said. You can hear more from Zepeda on Tuesday, Sept. 13 at Brandweek Miami. Hyundai Skips the Super Bowl, but Still Taps Into Its Buzz With Jason Bateman