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What's the difference?
If it was the original BMW 3-Series that invented the compact luxury car market segment all those years ago, then it’s probably fair to claim it was Audi’s A3 franchise that gave rise to the luxury small-hatch category.
On that basis, any new Audi A3 is news but, in the face of the SUV onslaught (including its own stablemate the Q3) the new small Audi has its work cut out for it.
With this update, there’s refreshed styling, a new interior layout and, for the launch of the new cars, two body styles, a conventionally styled sedan and what Audi calls the Sportback; fundamentally a five-door hatchback but with the German brand’s own flair plastered all over it.
As well as new connectivity and safety tech, the big news is the availability of a mild-hybrid driveline as well as a second powertrain option with more performance from a more conventional layout.
Interestingly, it’s that (mild) hybrid version of the A3 that represents the entry-level variant of the A3. A sign of the times? Perhaps.
As well as the two powertrains, there are two distinct chassis layouts, starting with a front-drive set-up and extending to the option of Audi’s Quattro all-wheel drive (AWD) system.
Giant carmakers seem like pretty sober sorts of places. Everything goes through endless committees, every decision has to be signed off, sent in, sent back, subjected to endless scrutiny to make sure it will make money.
Sometimes, a brand will do something odd like BMW's i3 which is like sending up a flare to get people talking.
Hyundai, for many years, seemed to be trying to emulate Toyota. After a brief flourish in the '90s when it did for curves on cars what Kim Kardashian did for curves on grubby internet sites, the company lost its bottle and tried to go full mainstream. Never go full mainstream, that's for the old folks.
Then, out of the blue, came the Veloster. It's probably one of the most wilfully weird cars in decades (apart from various Citroens, but that's a special case).
One long door on the driver's side, two shorter doors on the passenger side. When BMW did something similar with the Mini Clubman, right-hand drive markets didn't get their own version of the kerb-side door, but Hyundai isn't like that.
Making the Veloster properly in right-hand drive is a wonderful gesture from a company that worked out being itself was a better idea than being Toyota.
Producing a car that takes the end result beyond appliance status is no given in a world car-park dominated by SUVs. But Audi has, over the last few decades, shown it is very good at doing just that and the latest incarnation of its A3 stalwart backs that up.
While it might take a bit of mental gymnastics to understand why the base model gets the hybrid driveline, or why the more expensive variant costs more to option with adaptive cruise-control, the fact remains these are driver’s cars from a company that understands that concept.
Yes, the A3 is a relatively expensive way to arrive at a compact hatch or sedan, but if you value the journey as much as the destination, it will all make sense.
While the technical aspects of the 35 TFSI are interesting, the extra power and all-weather grip of the AWD 40 TFSI seem to be worth the additional dollars to us. The A3 has always been a sporty alternative, meaning the sportiest version is the one for us.
CarsGuide attended this event as a guest of the manufacturer, with meals provided.
Another good bit of Berry wisdom was the idea that the Turbo is the sweet spot of the range. While the Premium is indeed packed with goodies, they're not must-haves - the Turbo has everything you need while the Premium adds the wants.
So, at its core, this Turbo Premium is good warm hatch fun in a wacky, head-turning body, wrapped around a good cabin that could be a little less plasticky. Best of all, the fun design matches the fun-to-drive personality. It's a thoroughly modern Hyundai and I want (even more) to drive the full-fat bonkers N version we look like we're not going to get.
It’s actually refreshing in 2022 to see a carmaker putting such an effort into something that isn’t an SUV.
That Audi has bothered with two distinct bodies and two equally distinct drivelines is also one for the books, really.
Technically, the mild-hybrid driveline as seen in larger Audis in recent years is probably the highlight of the new A3, and even though it doesn’t compare with a conventional petrol-electric hybrid, it demonstrates Audi’s attention to detail.
The same goes for the digital instruments which allows the driver to tailor the information displayed at any given time. Need a city map more than you need a tachometer at a particular point in you journey? That’s where this technology comes into its own.
You do not have to find the Veloster pretty to think it's cool. You can see echoes of the i30 donor car that lurks under the more interesting metal, with a big grille, sharper headlights and plenty of black bits to up the aggro for the Turbo model.
The rear bumper sports a pair of drainpipe-sized exhausts that aren't afraid to bellow a bit.
It's different from right to left in profile, with the rear door almost disappearing into the rear haunches on the passenger side. The high rear glass may not be great for seeing out of but it helps keep the Veloster identifiable and influential - there are more than a few cars getting about sporting a similar high rump with big lights.
The cabin is, like its predecessor, fairly restrained and very i30-like. It's all put together very well and is only let down by the centre console's plastics being a bit hard, scratchy and insubstantial.
Although it’s a compact car externally, clever packaging means there’s ample space inside. Even a tall-ish rear-seat passenger can sit behind a tall-ish driver, and the sculpted rear seat-backs help make that possible.
The only complaint would be that the dark headlining material makes the interior a bit of a cave at times.
Paying more for the 40 TFSI gets you extra cargo nets on the front seat backrests and luggage area, 12-volt sockets in the rear seat and boot. Both versions get floor mats and a centre arm-rest front and rear.
The rear seat in either is split 40/20/40 for a range of possibilities, with the Sportback offering 325 litres (VDA) for the Sportback quattro models, and 380L (VDA) for the 2WD models and its boot capacity is increased to 1145L (VDA) with the rear seat folded flat. The luggage space in the sedan is 390L (VDA) for the quattro AWD version, and a more capacious 425L (VDA) for the FWD model.
I think the Veloster is very clever. M'colleague Richard Berry thinks the third door is a bit silly - say, like a third armpit. I'm of the opinion it's an exceptionally clever solution to a problem: how do I have a funky car without throwing the baby out with the bathwater?
Something like a three door hatch (yes, I know they're out of vogue) makes moving people about difficult even if you only do it occasionally. The Veloster's third door provides relatively easy access to the two back seats for people under about 150cm, and you can get okay access to a baby seat. Try that in an 86.
The new door aperture is quite a bit bigger than the old car and there is a bit more rear headroom which I'd still call marginal for my 179cm frame. Leg and knee room are okay, sitting behind my own driving position.
The boot is a useful if not staggering 303 litres. You have four cupholders across the two rows and door pockets in the front doors. Ahead of the gear selector you'll find a tray with the Qi charging pad and two USB connections, but only one will work with the stereo and is marked as such.
These are not bargain basement cars, and with a kick-off price of $46,900 for the A3 35 TFSI Sportback (the hatch version) and $49,400 for the sedan in the same specification, that much is obvious.
The fact is, both the new A3 variants represent a fair mark-up on the previous model. But if you look at the post-Covid car market in a macro sense, you can see the same trend across a lot of brands and a lot of previously entry-level models.
Ante up to the 40 TFSI, and the news is no different with an asking price of $53,500 (Sportback) and $56,000 (sedan).
If the price sounds steep on a per-kilo basis, you need to remember this is an Audi we’re talking about and that price premium is part and parcel of a prestige badge. Don’t like it? Go and buy a VW Golf. That’d be Audi’s advice, anyway.
To justify that viewpoint, the A3 is loaded with some impressive standard kit. The 35 TFSI starts things off with Audi’s vaunted 'Virtual Cockpit', wireless phone charging, voice recognition, Apple CarPlay and Android Auto, remote central locking, paddle shifters, park-assist, sat-nav, a 10.1-inch touchscreen, LED headlights, a multi-function steering wheel, automatic lights and wipers, digital radio, cruise-control and dual-zone climate control.
The 40 TFSI adds a range of aluminium trim pieces and garnishes, Audi’s 'Drive Select' system which allows the driver to choose the characteristic of the dampers, steering response, exhaust sound, throttle response and transmission shift points.
The 40 TFSI also adds sportier front seats, a rear spoiler, body kit, extra courtesy lights around the car and details such as a 12-volt socket in the luggage area.
Options on the base model include a 'Comfort Pack' consisting of adaptive cruise-control, electric front seats, heated front seats, auto dimming headlights, heated and folding mirrors, four-way electric lumbar control and 'Adaptive Drive Assist', including 'Emergency Assist.'
That will set you back $2600, while the 40 TFSI can be enhanced with Audi’s 'Premium Package' which adds those same items as well as aluminium-look trim pieces, a better sound system, head-up instrument display and a memory function for the driver’s seat. That adds $4500 to either the 40 TFSI Sportback or sedan.
Remarkably, Hyundai has just dropped the second-generation Veloster in Australia. I was convinced it would be a one-hit wonder, but here we are with the replacement for the SR Turbo of the first-generation, the $41,990 Veloster Turbo Premium with a seven-speed dual-clutch auto transmission.
It also has 18-inch alloys with sticky Michelin Pilot Sport 4 tyres, an eight-speaker stereo, sat nav, electric windows and mirrors, keyless entry and start, climate control, reversing camera, rear parking sensors, auto LED headlights, auto high beam, auto wipers, heated and ventilated electric front seats, sunroof, Qi wireless charging pad, head-up display, leather trim and a space-saver spare.
A 7.0-inch screen on the dash runs the media system, with a sat nav, Apple CarPlay and Android Auto. It all works very nicely and the generally ho-hum Infinity speakers do a solid if unspectacular job of filling the cabin with noise.
While both versions of the A3 use a seven-speed dual-clutch transmission (no manual gearbox will be offered) there’s not a lot of commonality beyond that.
So let’s start with the 35 TFSI’s mild-hybrid running gear. To begin with, mild-hybrid in this sense refers to a starter motor/alternator unit that is linked to a 48-volt battery (the car also has a conventional 12-volt electrical system).
When coasting, the engine can shut off and the starter switches to alternator mode and harvests the otherwise lost energy to charge the 48-volt battery. This 48-volt system also powers the car’s functions when the engine is switched off.
When the car needs to restart (when the traffic-light goes green) the starter kicks in, using that harvested voltage. There’s also a regenerative braking function, saving the car’s actual brakes for more severe stops.
Unlike a 'normal' hybrid system, there’s no electric motor to help drive the car, but Audi claims a potential fuel saving of 0.4 litres per 100km from the set-up. Any benefit will be most noticeable in urban running where the car is speeding up and slowing down regularly.
The rest of the 35 TFSI is technically interesting, too, with the 1.5-litre four-cylinder turbocharged engine featuring cylinder-on-demand where it can shut down individual cylinders during cruise conditions to save fuel.
When firing on all four, however, the engine is good for 110kW of power and 250Nm of torque, figures which have become almost an industry standard in this sized vehicle.
The 40 TFSI, meanwhile, ditches the hybrid gear for a conventional 2.0-litre powerplant with a turbocharger and 140kW of power. Torque is a handy 320Nm and is developed over a wide range of engine speeds (anywhere from 1500 to 4100rpm).
The other big difference is in the driveline. The 35 TFSI is a front-wheel drive platform while the 40 TFSI uses Audi’s Quattro AWD as it applies to Audis with an east-west engine layout.
That means the car behaves as a front-drive vehicle until the electronics decides more power should be sent to the rear wheels. At that point, anything up to 99 per cent of the available torque can be transferred rearwards via an electronically-controlled multi-plate clutch housed at the rear of the car, just in front of the rear axle.
The 1.6-litre turbo-petrol four-cylinder is a familiar sight in Hyundais, in this case offering up 150kW at 6000rpm and 265Nm between 1500 and 4500rpm, which is a nice wide torque curve. Power goes to the front wheels via a seven-speed dual-clutch automatic transmission.
Performance is swift rather than startling, with the Veloster's 1350kg cracking the ton in the 7.1 seconds, 0.6 seconds quicker than the manual.
With all its cylinder shut-off, hybrid tricks and small capacity, the 1.5-litre engine boasts a 5.0 litres per 100km combined cycle fuel economy figure.
Combined with its 50-litre tank, that’s a potential for 1000km between service-station visits. It’s also commendably close to the numbers you’d expect from a similarly sized vehicle with a turbo-diesel engine.
The more conventional 2.0-litre A3 variant, meanwhile, boasts a still-credible 6.7 litres per 100km for the same test. To counter its greater thirst, Audi has fitted a slightly bigger, 55-litre fuel tank.
The headline act, of course, is the base-model’s highway figure which, thanks to the small capacity engine and its reduced pumping losses at small throttle-openings, can get right down into the low-fives (5.0 litres per 100km) in the real world at real highway speeds.
With a tail-wind, you might even see a number starting with four. This is why you don’t need a diesel engine any longer.
Expect the 40 TFSI to use roughly a litre more across every 100km travelled. And in either case, you are stuck with paying for 95-RON premium unleaded.
Hyundai claims you'll get 6.9L/100km on the combined cycle. As ever, Hyundai is unusually close to real world figures, with my indicated average landing at a very respectable 8.2L/100km in a fairly urban kind of week.
Let’s start with the less powerful 35 TFSI, if only because - even though we know better in 2022 - there’s a temptation to think a 1.5-litre engine will be underdone. The reality, however, is that you’re not going to drive this car and judge it as anything other than very resolved.
While it’s true the peak power of 110kW isn’t startling, it’s the way it’s delivered (along with the 250Nm of torque) that sets the mood here.
Like many late-model Audis, this one has an engine with a fizzy, zingy feel that makes you want to rev it just to hear and feel it. And when you do, it pays off with plenty of flexibility and a sophisticated, refined feel.
Whether the mild hybrid driveline is adding anything to the formula is debatable, because the technology is so seamless you won’t pick what it’s doing other than the engine stop-start function, which is one of the better ones we’ve sampled.
Move from the 35 into the 40 TFSI and you immediately notice the extra power and torque on tap. And although it’s still not a hot-hatch by modern standards, there’s always enough urge to make the 40 TFSI a convincing driver’s car.
Again, the power delivery is the key to it all, making more of what the engine has to offer by actively encouraging you to use it. The seven-speed dual-clutch transmission is your friend here.
The extra driveline functionality of the 40 (namely the AWD system) actually means less than you might imagine in day-to-day life. We didn’t get to drive the car in the wet, but it’s fair to say that those conditions (or a loose, gravel road) are really the only ones likely to make a difference to the way the basic platform feels.
That’s for two reasons; the first being the all-wheel-drive is fundamentally on demand anyway and, secondly, the basic platform is so composed and balanced in the first place, that the Quattro system will spend a lot of its time hiding in the background.
The 40 TFSI also get the selectable drive modes which break with tradition by actually making a difference to the way the car feels.
But the reality is that if you took the best bits of every other setting (Comfort, Dynamic and Efficiency) and loaded them into the Individual button, you’d probably wind up with something very close to what the non-adjustable 35 TFSI offers in the first place.
You have to admire the way Audi has made a front-drive car in the A3 steer, handle and talk to the driver in such a clear, precise way.
Yes, the 40’s selectable modes add another layer to that, but only if you can be bothered. Even more than that, the A3 in either form feels like its ultra-stable and safe, while the levels of feel and feedback give the impression they were decided upon by people who enjoy driving.
I was fortunate enough to have some time on my hands, so I volunteered to take the base spec Veloster to Hyundai to swap into the Turbo. And look, it's fine, but in the same way the second-to-last-Celica was fine - nothing to write home about, more show than go. Comfortable, quiet, hatchy.
And the Turbo is many of those things. Except, as in the i30, when you step up to the turbo engine it wakes up a chassis that is truly terrific.
While it rides really, really well, it also piles through corners with even more enthusiasm than a similarly powered i30 N-Line, which is no slouch.
The Veloster is lower and slightly lighter, adding to the fun. And it doesn't spend half the time hitting the bump stops like the old car.
There are almost no duds in the Hyundai range when it comes to ride and handling, but the steering is in another league compared to the outgoing model's.
It's quick and points the car where you want, the front end digging in and tracking clean and true. It's terrific fun.
But, like just about every other Hyundai, its compliance and daily drivability is super-impressive. Only bad roads upset the rear suspension but the front is largely unflappable.
Flappable is the dual-clutch transmission. It occasionally hunts around looking for a gear and I spent a lot of time pulling the paddles to get it to do the right thing.
It was particularly recalcitrant downshifting without manual intervention, no matter what drive mode I chose. It can also clunk a bit when it's confused. I reckon I'd take Richard's advice and stick with a manual.
Possibly the headline (no pun intended) act here is the inclusion of a centre-front airbag. This is something we’ll be seeing a lot more of in the future, particularly in compact cars, where the proximity of the front-seat passengers can lead to head clashes in a side-impact crash.
Beyond that, the Audi has six airbags including side-curtain airbags.
In terms of driver aids, the A3 sets a high bar for its competitors, and with autonomous emergency braking including pedestrian and cyclist recognition, rear-cross-traffic alert, lane-departure assist and a rear-view camera, most bases are covered.
The major omissions are adaptive cruise-control, but that’s available in the 35 TFSI as part of the $2600 Comfort Package, and in the 40 TFSI as part of the $4500 Premium Package.
Yes, the Premium Package also includes heated, memory front seats, a head-up display, improved stereo and the multi-coloured ambient interior lighting (and more) but it does seem strange that it costs more to option up to adaptive cruise in the 40 TFSI than in the base-model.
The A3 scored the full five stars in ANCAP crash testing in 2020.
This Veloster arrives with six airbags, ABS, stability and traction controls, lane keep assist, blind spot warning, rear cross traffic alert, forward collision warning and forward AEB with pedestrian detection.
Although not rated by ANCAP at the time of writing, the Turbo and Turbo Premium are likely to score a maximum five stars.
The lower grade - as with other newer Hyundais with the lower spec AEB - is probably going to drop a star.
Both rear seats score an ISOFIX and top tether anchor point.
Audi recently improved its factory warranty from three years to five years and unlimited kilometres. Any new Audi (including this one) sold after January 1 this year is the beneficiary of that change.
Audi specifies service intervals of 15,000km or 13 months.
There’s also the option of a fixed-price servicing program for the first five years of A3 ownership, and that will cost you $2250, for an annual average of $450.
As always, Hyundai's solid five year/unlimited kilometre warranty is along for the ride. Slightly annoyingly, you'll need to return to your dealer every 12 months or 10,000km for scheduled service and prices are capped.
Four of the five services cost $299 with the fourth year at $375. Over the first five services, you'll average $314.