Has the Stinger been successful?

[adj789]

I'm curios in the short amount of time it's been around if it's been profitable for Kia, sports car sales aren't that popular right now but I really feel like the Stinger is good value, bang for buck

 

[SafetyPilotCal]

If it weren't profitable, they wouldn't keep building it and especially not refreshing it. Kia seems to be satisfied with the comparatively low sales numbers of the Stinger (versus other Kia models, only the K900 is worse - and significantly at that). There is a good amount of shared engineering between the Stinger and G70/G80 so I assume as long as those cars are also in production, it's not a big deal to keep the Stinger around. Low volume or not, the Stinger does have a niche. Because outside of the Germans and the Dodge Charger, what else are you going to buy in the RWD sport sedan category?

 

[jalcala]

Yeah the Japanese (Nissan/Infiniti) have really lost their way over the last couple of years. I had a G37 before I bought my truck and was planning to go back to Infiniti and get the Q70 with the V8. I really wanted a full size sedan with a NA V8. But all you can seem to get from them now is the Q60; while it is a nice car wanted something a little larger. When I had the G it felt like it was a good price point for the performance....what I would characterize the Stinger at as well. Great performance and styling without breaking the bank to do so.

 

[Kamauxx]

I think this question depends on how you measure success. It isn't a strong seller. And a lot of what is sold is heavily discounted.

However, it has raised brand awareness and demonstrated to the world what Kia can do. Producing the Stinger could have led to higher sales of cars that have been released after it, like the Telluride, Seltos, and K5 (Optima).

 

[MerlintheMad]

Kia never anticipated large sales volume. The Stinger knocks it out of the park: "See what Kia can do now."

 

[ScottM]

However, it has raised brand awareness and demonstrated to the world what Kia can do. Producing the Stinger could have led to higher sales of cars that have been released after it, like the Telluride, Seltos, and K5 (Optima).

Exactly this! They came out with a "wow" car, relatively speaking and now the publics eyes are open to KIA.

 

[adj789]

I think this question depends on how you measure success. It isn't a strong seller. And a lot of what is sold is heavily discounted.

However, it has raised brand awareness and demonstrated to the world what Kia can do. Producing the Stinger could have led to higher sales of cars that have been released after it, like the Telluride, Seltos, and K5 (Optima).

I would consider if they're turning a profit to be a success, obviously not a run away success but, as mentioned, enough to make more

 

[GenesisG70]

Well yes they continue making it, success is relative if you think how many people came from German car brands and bought a Kia stinger is a success, the Stinger was never meant to be a mommy car Camry sales hit but a statement that Kia can also compete with German sports sedans. For me comming from an R8 to a Stinger that in itself is a success. I could have bought another common mundane Merc BMW or even Porsche saloon but no I wanted the Stinger cuz looks sexy as f*ck.

 

[jaycevs]

I would definitely agree it is a success. I get asked about mine all the time anytime I am out, it definitely opens peoples minds. They built a great car but kept a great price.

 

[Stinger GT SS]

I’d say yes given the world is currently obsessed with SUV’s & Pick Up’s.
For a large sedan in this current market sales have been steady since it was released in 2017 & it has not “tanked”.
For starters I see new buyers appearing nearly everyday on this forum & other social media platforms as well, we have 3 State Police Departments using them here in OZ & I believe other PD’s around the world have adopted them too.
The Stinger is a great alternative to those that don’t want an SUV or Pick Up or for those that want a fun weekend car for play.
With the current facelift due for release any time soon, I see the Stinger being around for at least another 3 years, whether Kia does a new model after that, time will tell.

 

[ScottM]

I'd add, to me, a success is the thing doing what it was intended to do. While the Stinger isn't a "loss leader" it probably wasn't meant to bring in Billions or maybe even break even. I think it's like that thing at the front of the store that gets you into the store, you might buy the thing or you might not buy the thing...but it got you into the store. The thing(er) << Mike Tyson voice, got me into the store and I bought the Stinger. Now, I got my eyes on a lot of what they are doing. FYI, anytime I travel I still get looks. It's a 2018 and I still get looks. That says enough to me about the car or my horrible driving. Either way, I'm in a thinger and loving it!

 

[jaycevs]

Further, I got mine and now am looking at a seltos for my girlfriend that has only driven GM SUV's her whole life. They did it right with stinger. I used to have a bunch of VW products years ago, and they tried their move up with the phaeton that was overweight, too expensive, and competing with their own audi brand and it was a disaster, like who would buy it? Maybe they got some innovation that pushed to lower models, maybe they didnt. For the stinger, besides getting noticed, coming from my last car being a fusion, its not a bad thing to not see 100 of them on every trip to the grocery store.

 

[Silvermanor]

If it weren't profitable, they wouldn't keep building it and especially not refreshing it. Kia seems to be satisfied with the comparatively low sales numbers of the Stinger (versus other Kia models, only the K900 is worse - and significantly at that). There is a good amount of shared engineering between the Stinger and G70/G80 so I assume as long as those cars are also in production, it's not a big deal to keep the Stinger around. Low volume or not, the Stinger does have a niche. Because outside of the Germans and the Dodge Charger, what else are you going to buy in the RWD sport sedan category?

yes they would. the R&D, and most of the capex spent on production facilities is a sunk cost. they would keep selling it as long as they can to try and recoup that cost. is it profitable? who knows, but saying it must be because they continue to sell it is short sighted.

 

[RedCal]

...made me buy a Kia....

 

[SafetyPilotCal]

yes they would. the R&D, and most of the capex spent on production facilities is a sunk cost. they would keep selling it as long as they can to try and recoup that cost. is it profitable? who knows, but saying it must be because they continue to sell it is short sighted.

I would like to think that the beancounters at large automobile companies are well aware of the sunk cost fallacy. If their projections don't show that they're profiting somewhere or at least breaking even, they would never let a model continue to be produced. It could very well be that the positive press the Stinger has accumulated over the years is enough ROI for them, but Kia, GM, Ford, Fiat/Chrysler, etc. are not going to keep churning out cars that they simply lose money on and get no benefit out of.

 

[Spaceme17]

Probably not as successful as they would like.

 

[ScottM]

If their projections don't show that they're profiting somewhere or at least breaking even, they would never let a model continue to be produced.

Exactly! Their projections could be that they sell X amount of Stingers and based off of that they sell X+ amount of the rest of their brands because of the stinger's X amount of sales. Those X amount of sales may not be break even, BUT the X+ covers that lack of break even and then some. I mentioned earlier about "loss leader", the Stinger is not this...BUT, the concept that a car HAS to break even for them to continue to produce it is not always correct. At least not in my mind.

 

[YEH]

Yes and no.

Stinger sales aren't quite where Kia had hoped (in particular, for the base 2.0T motor), but in the US, Stinger sales are in line with other fastbacks, and in places like Australia, well ahead (but there is a significantly larger price delta with the 4 Series GC and A5 Sportback there).

In NA and Australia, Stinger sales are well ahead of the Arteon, but the roles are reversed in Europe (in large part due to the Arteon being available with an emissions friendly 1.5T motor and a hybrid (which also the reason why the Arteon is available in China and the Stinger is not).

Interestingly, the best markets for the Stinger in Europe are Germany and bordering nations like Austria and Switzerland - where emissions and/or road taxes are lower, but that is changing (hence, declining Stinger sales).

A bit surprised that Kia isn't offering the new 2.5T in Europe (at least for LHD), so with the 3.3TT being the only available powertrain going forward, new Stingers in Europe will be a rare sight (that's why if there is to be a 2G Stinger, can be sure we see one powered by electric motors, which will also make it viable to enter the China market).

One of the most disappointing markets for the Stinger has been Korea, where it has not only been outsold (by a good margin) by the G70, but also by the higher priced (and Kia badged) K9/K900 (one month of sales if the new G80 is several years of sales for the Stinger).

My take is that the Korean lux auto market is pretty conservative, so wouldn't like the flashy looks of the Stinger, and are even more adverse to the fastback bodystyle.

The K9 sells well enough in Korea for Kia to continue with it (higher margins and shares platforms with the G90, whereas Kia had to develop a separate platform length for the Stinger).

 

[Silvermanor]

I would like to think that the beancounters at large automobile companies are well aware of the sunk cost fallacy. If their projections don't show that they're profiting somewhere or at least breaking even, they would never let a model continue to be produced. It could very well be that the positive press the Stinger has accumulated over the years is enough ROI for them, but Kia, GM, Ford, Fiat/Chrysler, etc. are not going to keep churning out cars that they simply lose money on and get no benefit out of.

that's not how capital budgeting works at all, on any project.

 

[adj789]

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