Hyundai Motor, which just posted a record Q3 profit, is considering extending one of the reasons – its successful US incentive programme that allows consumers to return vehicles if they lose their jobs, its local chief executive said.
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The ‘Hyundai Assurance Programme’, which began in January and was widely copied by rivals, contributed to increased sales and expanding share in a slumping US market.
Hyundai North America chief executive John Krafcik told Reuters that the automaker would keep the car return programme to the end of 2009, adding, “We’re thinking now about how much further we should take it.”
Under 50 buyers have returned their vehicles under the programme, Krafcik said.
Hyundai’s US sales rose 2% to 342,217 vehicles in the first nine months of this year from a year earlier, while overall US auto sales fell almost 30%.
Hyundai, whose US market share topped 4% this year, aims to increase its share further and in 2009 will be one of the few manufacturers to increase sales over last year, Krafcik said, declining to give targets.
Industry-wide US auto sales are expected to be in the range of 10m to 10.5m units in the fourth quarter with Krafcik expecting the market would improve to 11m to 11.5m units next year.
“We are being conservative for next year in our expectations,” he told Reuters.
