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Recently, Genisse, the luxury brand of Hyundai, held a full meeting in China, at which Li Zhe (Wells Lee), chief coordinator of Genisse China (CEC), revealed that it had lost as much as 1.2 billion yuan in less than 10 months.

In addition, it also stressed that the cumulative loss of Genisse has reached 3 billion yuan in the past three years. The main reason for the huge loss is the high marketing cost. It is understood that the current average bicycle marketing cost of Genisse amounts to 710000 yuan. In this regard, the South Korean headquarters has arranged for the audit team to come to China next month to conduct a comprehensive audit of all past projects and expenses in China.

In terms of sales, Genisis sold 965 vehicles in China in the first seven months of this year, less than luxury brands sold in a month. It is worth noting that this time Li Zhe also criticized Genisse's Chinese employees, pointing out that the company lacks team cohesion. It said that in the past three years, not a single Chinese employee of Genisse has bought a vehicle of the brand. If employees want to seek external development opportunities, he welcomes them.

Many people may be unfamiliar with the brand Genisse. In fact, it is a high-end brand of Hyundai, established in 2015, similar to Toyota's Lexus and Honda's Acura positioning, first entered the Chinese market under the names of "Lawns" and "Gaines" in 2008 and 2014 respectively, but finally withdrew from the Chinese market because of low sales.

In 2021, it changed its name to "Genisse" entered the Chinese market for the third time, and spent a lot of money to spell out the slogan "Hello, China" with 3281 drones on the banks of the Huangpu River, announcing its return to the Chinese market. At the same time, it also unveiled two new cars, the G80 and GV80, and opened the pre-sale.

However, after re-entering the Chinese market, sales still did not improve. Relevant data show that it sold 1457 vehicles in 2022 and 835 in the first half of 2023. Against the backdrop of dismal sales, Genisse also made a big management shake-up. According to media reports, he Ruisi, CEO of Genisse, left on the 25th of this month. After leaving, the position of CEO of Genisseth will be temporarily taken over by South Korea's chief coordinator Wells Lee (Li Zhe).

Of course, in order to get out of the sales dilemma, Genisse is also speeding up the electrified transformation, launching three pure electric models, but the current sales performance has not reversed the downturn.

With the rapid development of the domestic new energy market, and the BBA traditional luxury brand is also in the rapid electrification transformation, Genisseth will also face certain challenges. The convening of the full meeting, or Genisse is also aware of the great difficulties in the Chinese market, there is an urgent need to seek a breakthrough. In this regard, some industry insiders pointed out that improving employee loyalty will play a certain role in promoting China, but how to improve profitability is the top priority.

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