Kia America is celebrating the vacations early after beating its U.S. gross sales file properly earlier than New 12 months’s Day. And regardless of the pandemic and elements shortages, 2022 is wanting vibrant because the automaker introduces a trendy electrical crossover.
It took Kia simply 11 months this yr to beat its full-year gross sales file from 2016, when it bought 647,598 automobiles. Most of these gross sales 5 years in the past got here from comparatively cheap automobiles such because the Soul, Rio, Forte and Optima.
By way of November of this yr, Kia gross sales hit 652,910, and most had been crossovers such because the Telluride, Sorento, Sportage and Seltos. Assuming a comparatively flat December in contrast with 2020, Kia is positioned to interrupt 700,000 deliveries for the yr — or come shut.
Though Kia gross sales had been down 5.4 p.c in November, year-to-date gross sales had been greater by 23 p.c. And gross sales had been greater in contrast with pre-pandemic 2019, when deliveries by means of November had been sitting at 564,109.
“Breaking the all-time annual gross sales file with one month left within the gross sales cycle is concrete proof that demand for Kia automobiles is on the rise and has been all year long,” mentioned Eric Watson, vp of gross sales operations at Kia America.
To make sure, the Korean automaker is combating the chip scarcity and tight inventories as different automakers are. However Kia has achieved a greater job managing stock out of its crops in South Korea and West Level, Ga.
Whereas the Georgia-built, three-row Telluride massive crossover has been in brief provide since its introduction for the 2020 mannequin yr, Kia seller Ryan Gremore mentioned practically every little thing within the lineup is on fireplace. That features the model’s redesigned and renamed Carnival minivan, the Seltos subcompact crossover and the redesigned and renamed K5 midsize sedan.
“Killing it,” mentioned Gremore, president of the multibrand O’Brien Auto Staff in Bloomington, Ailing. “We outsold all of our manufacturers final month by 30 p.c with Kia, and proceed to have an inventory of pre-ordered automobiles that individuals are ready for.”
Prospects are already signing up for the redesigned 2023 Sportage compact crossover that can launch within the first half of 2022 with a big improve in dimension. “Plenty of curiosity,” Gremore mentioned in an electronic mail. “I’ve by no means seen so many individuals purchase automobiles with out seeing them.”
The important thing to Kia’s success, sellers and trade analysts say, is product and value. A wave of latest and redesigned automobiles prior to now few years has grabbed the eye of customers. Kia now has crossovers in all sizes and compelling automobiles.
“Kia is carving out a place and picture for loads of persona at an inexpensive price level,” mentioned Stephanie Brinley, principal automotive analyst at IHS Markit. “It’s not an affordable automobile, however most fashions provide greater than you may anticipate for the value level.”
The model has additionally been keen to take dangers. The Carnival minivan blends the utility of the household hauler with SUV design parts. The Carnival, which changed the ho-hum Sedona, additionally has a surprisingly premium inside on the high trim ranges.
“Although the Carnival shouldn’t be bringing as a lot quantity as SUVs, its mix of SUV aptitude and minivan practicality does appear to be catching on,” Brinley mentioned. Whereas rivals are additionally experimenting with utility automobiles, Kia is powerful in styling and pricing, she mentioned.
To make sure, the semiconductor scarcity has scrambled the auto trade panorama. Conventional leaders have fallen on arduous instances as chips dry up, whereas some challenger manufacturers equivalent to Kia have been in a position to acquire share with extra automobiles on dealership tons.
“Now we have to keep in mind that outcomes are skewed by the semiconductor and provide chain points,” Brinley mentioned. “For roughly the second half of the yr, obtainable stock is driving gross sales as a lot as model and product attributes.”
Kia outsold sibling model Hyundai in November by practically a thousand automobiles. Hyundai is the bigger and extra established Korean model within the U.S. It was nonetheless on high by means of November, posting gross sales of 686,741 for a 24 p.c bounce over final yr.
Luxurious model Genesis, additionally below the Hyundai Motor Group umbrella, has greater than tripled gross sales this yr on the current introduction of its first crossovers. In actual fact, Kia’s success is a broader reflection of a give attention to recent product by Korean marques.
Hyundai Motor Group is now getting ready for an electrical automobile onslaught, beginning with the Hyundai Ioniq 5 crossover in showrooms by the top of the yr. Kia’s EV6 crossover arrives in U.S. showrooms subsequent yr, together with two Genesis EVs.
On the Los Angeles Auto Present in November, Kia confirmed off the Idea EV9 three-row crossover and steered its subsequent manufacturing EV could be related in dimension. The corporate additionally offered the ambitiously styled new-gen Sportage for North America.
“With the all-new Kia EV6 arriving quickly and the Sportage together with hybrid and plug-in hybrid fashions arriving all through the primary half of 2022, we’re assured that the curiosity in Kia is not going to wane anytime quickly,” Watson mentioned.