Hyundai's tiny little superhero

DETROIT — The agile Hyundai Veloster resides in a category of small, sporty vehicles that accounts for a tiny sliver of U.S. sales. The first generation was never a huge volume player. So why would Hyundai jump back into the niche segment with its quirky three-door hot hatch?

Turns out, the model has proved to be a speedy little superhero for the brand. And Hyundai is looking for more such heroics from the 2019 model, which is in showrooms now.

The first Veloster was a loyalty magnet responsible for drawing a younger crowd that was new to the brand. Hyundai cited a Maritz study, conducted from October 2016 to September 2017, that found that 45 percent of Veloster buyers stuck with the brand for their next vehicles — a loyalty number surpassed only by the Chevrolet Camaro and Volkswagen Beetle.

Early buyers of the peppy compact had a median age of 49, according to Maritz, a noticeable dip from the brand's 55-year-old median.

Hyundai also pointed to 2012 data on early Veloster adopters, which showed that half of those buyers never had considered a Hyundai before. Hyundai said that 70 percent of consumers in a 2012 Veloster early-buyer study bought it as a replacement for non-Hyundai models from the likes of Honda, Mazda and Nissan.

The Hyundai Veloster is getting exposure on both small and big screens, with the "Stoplight Standoff" ad, above, and in "Ant-Man and the Wasp," below.

Hyundai used the youthful Veloster to flip the traditional halo vehicle model, says Mike O'Brien, Hyundai Motor America's vice president of product, corporate and digital planning.

Halos are usually pricey showcases of a brand's design and technology that are unattainable to the masses. The Veloster, on the other hand, works at the entry level. As upscale Genesis vehicles are phased out of Hyundai showrooms into separate dealerships, Hyundai executives hope the attitude-laden Veloster, which starts at about $19,000 with shipping, will serve not only as an attention-grabber, but also as a steppingstone to other Hyundai models as the lifestyles of its buyers change.

"For us, a halo vehicle is a vehicle that will allow people newly entering the light-vehicle market to get something they can dream about, represents something that is very personal and is something that stands out," O'Brien said during a presentation in Detroit. "It's not something you see on the road every day. The idea was to bring new buyers to the Hyundai brand and young buyers to the Hyundai brand."

O'Brien says the Veloster stands apart from rivals such as the Honda Civic Type R or Ford Focus ST because it isn't a derivative of another model. He said Hyundai invested in a unique body and chassis for the car, which gives the Veloster its own personality.

He expects the upcoming performance-driven N trim, which is the handiwork of former BMW tuner Albert Biermann, to draw even more new faces to dealership lots.

Given the outsize stakes, the latest Veloster is getting a big marketing push in a high-profile collaboration for the upcoming Ant-Man and the Wasp superhero flick, including product placement in the movie and content that will run in theaters. Hyundai told Automotive News that the plan for theaters is to show a behind-the-scenes feature on the Veloster scenes during the previews.

The Veloster flipped the idea of the halo vehicle as something unattainable.

The new Veloster also will get considerable TV exposure, which is a change of pace from the first generation, says COO Brian Smith.

The brand is running one spot in the U.S. around Ant-Man, titled "," and another for global markets.

"Veloster in the past hasn't had a big national TV presence," Smith said, "but I think the combination of the exposure it's going to have through the theaters, and the fact it's so cool and new, it warrants it."