▶ Plans to set out various joint marketing campaigns to stimulate CE market stagnated with credit crunch

▶ “Will accelerate digital innovation through marketing partnerships including location based big data analysis and digital contract systems”

Hyundai Construction Equipment will be holding hands with Hyundai Commercial, a company specializing in industrial and corporate financing, to provide installment loans for customers that need financing to purchase construction equipment. This agreement will hopefully help revitalize the domestic construction equipment market that is stagnated with a credit crunch.

Hyundai Construction Equipment (CEO: President Choi Cheol-gon) signed an ‘Agreement on Installment Loans Cooperation’ with Hyundai Commercial on Wednesday, Dec 14 at the Hyundai Commercial office located in Seoul, Korea. The event was attended by key officials of both parties including Sales Head and Vice President of Hyundai Construction Equipment Moon Jae-young and CEO of Hyundai Commercial Jang Byeong-shik.

Under this agreement, Hyundai Commercial will be providing financial products with low interest rates created exclusively for Hyundai Construction Equipment customers and Hyundai Construction Equipment will be jointly marketing the financial services to its customers in collaboration with Hyundai Commercial.

The purpose of this agreement is to reduce the burden customers are experiencing by lowering the interest rate of financial products compared to those found in the market and making it more favorable for customers to purchase construction equipment. It has been burdensome for customers to purchase new construction equipment with interest rates for new vehicle installment reaching up to 12% due to the continuous hike in benchmark rate and worsening bond market environment.

Both companies will be using big data to analyze its customer pool and use the results to find potential purchasing demand, and will also be collaborating in marketing campaigns to attract repurchases from customers.

The two parties are planning on another low-interest product that utilizes equipment uptime and location information provided by Hi MATE, a service that provides efficient machine management, which is applied to Hyundai Construction Equipment machines. By connecting the system of both parties, a single sales person will be able to manage the entire process on site with just a tablet PC, from equipment promotion, installment approval to contract signing, realizing and accelerating the industry’s digital innovation.

“Through this agreement, we will be able to provide financial products with lower interest rates and eased the lending requirements through Hyundai commercial, customized for Hyundai Construction Equipment customers”, said a representative of Hyundai Construction Equipment, and added, “We hope this will help ease financial burdens customers may experience and use it as an opportunity to find more areas where we can make improvement.” <EOD>

Photo Description: Image for Press Release_Wednesday, Dec 14, Hyundai Construction Equipment Sales Head and Vice President Moon Jae-young (left) and Hyundai Commercial CEO Jang Byeong-shik (right) are taking a commemorative picture after signing the Agreement on Installment Loans Cooperation at the Hyundai Commercial office in Yeouido, Seoul.