BMW M2 vs Lexus IS

What's the difference?

Proving good things still come in small packages, the pint-sized M2 remains my pick of the BMW M range. It's not the perfect daily drive, but I reckon the fun outweighs the foibles.

Smooth, cosy, quiet, the IS looks and feels better than ever, but without a doubt this hybrid version is a car best suited to cruising the dense metropolis of Chiba at midnight more than it is carving up a bunch of S-bends in the Australian countryside on the weekend.

While that might still limit its appeal for fans of German sports luxury sedans and place it further from the original IS’s ambitions, it does offer an intriguing efficiency and luxury focused alternative, without the compromises brought by rivals with more sporting intent. In a way then, the IS 300h perhaps inadvertently best embodies what Lexus is as a brand.

There have been mixed reviews of the design of the BMW M range, but I reckon this one looks pretty damn good. In fact, I've always thought this kind of hyper-aggressive styling looks better on smaller cars than it does on big ones.

And it certainly is aggressive, right? From the huge bonnet bulges to the meshed out grille and angry rear diffuser, to the staggered alloys and flared wheel arches, to the blocky rear end with its four massive exhaust exits.

But my favourite exterior item has to be the blacked-out carbon roof, which helps shrink the M2 visually, and makes the whole car look more potent.

Inside, it's plenty sporty feeling, with hard-backed sports seats, lashings of carbon-fibre-look trimmings and the bright red M buttons on the steering wheel.

It's nice, but some of the touch points – like the hard plastics on top of the doors, where, if you're like me, you rest your elbow when driving – feel less than premium.

Still, all the tech is present and accounted for, with its digital dash and huge centre screen, and there's no shortage of spaces to connect or charge your phone.

Look closely and quite a lot has changed. This is really a story of doing a facelift right. Lexus has kept all the great-looking bits of the car that launched in 2013, like its striking side profile and angular accents, while dumping most of its least popular elements like the spidery front light-clusters and busy front splitter, in favour of something more refined and conservative.

It even adds some new flair in the rear three-quarter, with dramatic LED light-clusters working their way into a trendy highlight strip across the boot lid.

These changes all add up for a much tougher, sportier, and nuanced design compared to the outgoing car. One that manages to make an eight-year old design look as contemporary as ever.

I even liked our test car in its plain black shade, although I'm less sure about those conservative-to-a-fault, almost Camry-esque alloy wheels.

On the inside, sadly not a whole lot has changed. The busy design looked dated when this generation of IS launched in 2013, and it still looks dated now.

The visual assault of buttons, toggles, displays, textures, and trims is a lot to take in, and makes the cabin feel smaller than it is.

It probably didn’t help the sensory overload of this car’s interior as I hopped out of the stripped-back interior in the Tesla Model 3 I had the week before.

My less-than-impressed brother, a student of design, described the IS’s interior best when he told me “It’s a bit maximalist, don’t you think?”

If nothing else, at least Lexus hasn’t blatantly imitated anyone else when it comes to its interior, but the brand remains firm on dorky design items like the laptop touchpad, redundant drive-select dial, and odd vacant panels under the climate unit which do it no favours.

A welcome upgrade for the 2021 model year is the new media screen, a highlight piece perched atop the dash. It’s bright, has excellent contrast, and doesn’t seem to fall victim to glare.

The Apple CarPlay support I used was seamless and sharp and made the most of the available real-estate in its widescreen layout.

I somehow didn’t mind that the instrument cluster in this base car is analog. It almost suits the IS’s character better than a digital set-up would. Also offered is a small information display between the dials which I used for monitoring the hybrid drive.

A final note on the IS’s design. The fit and finish is quality, inside and out. It leaves you with an impression that this is an immaculately built vehicle, one that should be a must for all luxury cars, and always a strong point for Lexus.

The M2 pocket rocket measures just over 4.5m in length, just under 1.9m in width, and just over 1.4m in height, and it rides on a 2747mm wheelbase. That makes it longer, wider and lower than the model it replaces.

Remember that 'lower' bit, as it will come up again in a moment.

Up front, you don't feel cramped, and there's the requisite cupholders, door pockets and hiding holes, as well as wireless device charging and USB connections.

But remember, this is a two-door, four-seat affair, which cuts into the practicality a little, or a lot.

Swing open the wide front doors, and push the front seat-back forwards, and the entire chair will slide forward automatically.

It does help create more room to climb into the back, but it's still a slightly embarrassing challenge to make getting back there look anything like graceful.

Once there, it's tight. I'm 175cm and my head was firmly pressed into the roof.

You do get your own vents and temp controls, but that's about it. Even the pull-down divider only gives you access to the 390-litre boot, rather than extra cupholders.

You do get two sets of ISOFIX attachment points, though, and let's be honest –  if you're buying this to make Bunnings runs, you've probably got it wrong.

Well, the IS is a sedan, so it doesn’t quite have that high-riding appeal of an SUV, and for this update it has even leaned further into its low-slung proportions with a roofline that descends a further 15mm and a boot lid which is 31mm lower overall.

As with the previous car, the interior is quite closed-in thanks to that busy dash design and large centre console. Rather than feeling claustrophobic though, it is best described as cosy, with lots of plush finishes throughout the doors and centre stack befitting a luxury nameplate.

Adjustability is great for the front two occupants and there are two large bottle holders between the seats, a large but shallow console box under the armrest, bottle holders with adjoining bins in the doors, and a smallish glove box.

That’s about where storage ends though, with no extra trays or bins in front of the oddly placed shifter, just an awkwardly finished plastic panel where it feels like a little tray or storage cutaway should be.

The touchpad for operating the media screen joins an unnecessary drive-select cluster in eating up centre console space where there could be more storage.

The rear seat is quite limited on space despite being lavishly trimmed. I fit behind my own (182cm/6'0") driving position with little knee or headroom to spare.

Again, it’s cosy and very comfortable, but if you're taller or wider than me you may run into issues.

The centre rear seat is all but useless for adults, with the IS’s rear-drive architecture necessitating a huge transmission tunnel that almost comes as high as the seat base itself.

Storage is limited to pockets on the back of the front seats, small bins in the doors that double as handholds, and a drop-down armrest with two bottle holders.

There are no power outlets for rear passengers, but there are dual adjustable air vents.

Boot space is 450L which is a little small for the class. It’s impressive the hybrid only managed to lose 30 litres compared to petrol-only IS variants, though, so best to count your blessings.

The largest CarsGuide travel case easily fit in the wide but short available space.

To be precise the variant we’re looking at here is the IS 300h Luxury. It’s the base IS trim with the hybrid powertrain and it wears a before on-road costs (MSRP) of $64,500.

Base car or not, the new IS is very well specified. Now standard are 18-inch alloys (up from 17s), full LED headlight clusters, eight-way power adjustable front seats, dual-zone climate control, 10-speaker audio system, and importantly a brilliant new 10.3-inch multimedia screen with widescreen Apple CarPlay, Android Auto, built-in navigation, and DAB+ digital radio support.

Keyless entry and push-start ignition also continue to be offered, as well as a leather-look interior trim which in our car was in a rather contrasting 'Ochre' colour option.

Our IS 300h was also fitted with the creatively named ‘Enhancement Pack 1’ which adds an openable moonroof for $2000. The significantly more expensive ‘Enhancement Pack 2’ ($5500) adds the moonroof alongside 19-inch alloys, upgraded LED headlights, interior ornamentation, scuff plates, a panoramic reversing camera, 17-speaker premium audio, ‘leather-accented’ interior trim, ventilated front seats, and an electric rear sunshade.

These packs are seemingly largely unnecessary but are also very cheap for a brand at the premium end of the market.

Lexus has made pretty much all of its high-end active safety equipment standard on this base ‘Luxury’ for 2021, alongside some previously unavailable tech which we’ll take a look at in the safety section of this review.

At this price the Lexus IS 300h goes into battle against the Mercedes-Benz C 200 ($66,900), BMW 320i ($70,900), Audi A4 35 TFSI ($55,900), and the ever-looming threat of Hyundai’s Genesis, which offers its similarly-sized G70 in base form at $59,300.

Some of these base-spec rivals are cheaper, some are more expensive, but did you notice none of them are hybrids?

Access to Toyota’s affordable and popular hybrid drive is a real point of difference for the Lexus brand, and we expect it’s a key drawcard for the loyal customer base. More on that later.

Besides, this is what we're really here for, isn't it? The M2 gets the 'M TwinPower' 3.0-litre twin-turbo inline-six engine, producing a sizeable 338kW and 550Nm, sending that power to the rear wheels via an eight-speed auto or six-speed manual.

BMW says this engine is very, very close to the engine that powers the M3 and M4, and says it will rocket the M2 from 0-100km/h in 4.1 seconds, and to 200km/h in either 13.5 seconds in the automatic, or 14.3 seconds in the manual.

The IS 300h does stand out from the luxury sedan crowd by offering a hybrid drivetrain at a reasonable price. Some rivals offer plug-in options further up the price scale cementing them as a niche option, but the beauty of this Lexus is its very mild $3000 price jump over the base petrol car.

The base car’s 2.0-litre turbo is dumped in favour of a 2.5-litre non-turbo Atkinson-cycle four-cylinder hybrid set-up similar to the one proving popular in the Toyota Camry and RAV4.

The petrol engine produces 133kW/221Nm on its own, and the electric motor produces 105kW/300Nm. Toyota says the “combined system output” of this is 164kW.

Either way, that's less than the base 2.0 turbo. The 300h also swaps out an eight-speed torque converter automatic in favour of a continuously variable transmission. Rare in a rear-wheel drive car.

A small fly in the ointment is fuel use, with the M2 said to use 9.7L/100km on the combined cycle. It also drinks 98 RON premium, and is home to a 52-litre fuel tank. Your theoretical driving range is around 540km.

Now, be warned, you'll be bored stiff if you drive it in the way that's required to get it that low. When we were being gentle, we were somewhere between 10.5 and 11.5 litres per hundred kilometres.

Emissions are pegged a 220g/km of C02.

As you might hope this hybrid IS has an astoundingly low official/combined fuel consumption rating of 5.1L/100km.

I was pleased to find that after a week of mainly urban driving conditions, our IS was returning a figure of 6.9L/100km. Not bad at all, especially for a class where fuel consumption can get a little out of hand with turbocharged engines or V6s.

Of course, using the hybrid system to your advantage over the long term will get this number much lower, as I discovered on my long-term test of the Toyota Corolla hybrid which essentially uses a smaller version of the same system.

Certainly, if fuel consumption is a high concern, you’re better off with this car than the top-spec V6 (IS 350) which will easily see consumption enter double digits.

Lexus recommends a minimum RON rating of 95 for the IS 300h, and the fuel tank is 66 litres regardless of variant, giving the hybrid an impressive theoretical range of around 1000km.

Let's be totally up front here: the BMW M2 isn't the most comfortable vehicle to live with. In fact, I recently climbed out of the M3 Touring, and found that to be more comfortable on broken city streets.

The M2 is fitted with adaptive suspension, but even in its most comfortable settings it can feel rough, bumpy and jarring on bad roads (of which Australia has lots), and unless you're gentle with the accelerator, it can feel a little jumpy when first taking off – a by-product of its prodigious power.

Now, let's be totally up front again: I don't care. The M2 is fun, plain and simple, and for mine, the above is a fair price to pay for something that brings so much joy.

The steering is lovely, the power immediate and the soundtrack intoxicating, and it's the kind of car that's fun no matter where, how far or how fast you drive it.

In fact, fun seems to be the very centre of the M2 proposition, which definitely doesn't take itself too seriously.

For evidence, look no further than the 'M Drift Analyser', buried in a hopelessly busy multimedia system that will have you praising the CarPlay and Android Auto gods.

It will rate your best drift out of four stars, measure it for distance, and basically give you a pat on the back for doing your best hooligan impression (not on a public road, of course).

Fun, then, is the order of the day here. And I bloody love it.

There is no doubt the IS 300h is capable. You can feel it through the car’s solid rear-drive underpinnings, silky smooth steering, and reactive chassis.

What this car doesn’t offer is excitement in quite the same sense as many of its rivals. That’s down to this hybrid’s drivetrain. It just doesn’t have that powerful follow-through in the same way turbocharged BMWs or Audis or Mercedes do.

If it’s that 'sports luxury' experience you’re seeking better off looking to the base 2.0-litre turbo or the V6 and their eight-speed automatics.

The 300h does offer something a bit different. The gentle refined efficiency of Toyota’s signature hybrid system in a luxury rear-drive package that’s smaller than this car’s ES bigger brother.

While it may feel capable thanks to the lighter suspension components and altered track that the brand has committed to for this update, the hybrid drive matches this car’s softer character brought about by its gentle suspension tune and light steering.

This is an easy car to drive around a city, it filters out bumps nicely, while offering near silence in the cabin and breezy steering for every day scenarios like manoeuvring in tight parking lots.

The CVT auto and instantaneous torque available from the electric motor make it best at traffic speeds, being both reactive and predictable, with silent acceleration when inching forward at the lights or cruising along at 50km/h.

As you might expect though, the wheezy Atkinson cycle engine and CVT conspire for a noisy and less than engaging experience under heavy acceleration.

It’s not as though you’re rewarded with particular vigour either, with this combination being a bit sluggish when a lot is asked of it.

It loses its reactivity and refinement at higher speeds or in the corners on country roads as the transmission elastically tries to keep up with the demands of the driver.

Still, few luxury sedans are quite as purpose-built for the toils of a city, and if you want to get drawn into this car’s hybrid drive antics, it’s easy to make a game out of saving fuel by trying to rely on its low-speed electric motor capability.

Really then, it leans into its urban luxury appeal. A luxury sedan for the streets of Tokyo. An ideal car in this class for the urban environment.

If you don’t care for the thrill of a turbocharger or frequently seek to explore the twists of your nearest B-road, you could do worse than the comfort and ambiance the 300h offers.

A full active safety suite is now standard across the IS range, including freeway-speed auto emergency braking with pedestrian detection (works during the day and at night) and cyclist detection (works during the day only), and a new intersection braking feature, lane keep assist with lane departure warning, blind spot monitoring, rear cross traffic alert with reverse auto braking, traffic sign recognition, adaptive cruise control, and auto high-beam assist.

There is also an auto SOS function, as recently added to the Toyota Yaris Cross, which automatically triggers if an airbag is deployed. On the topic of airbags, every IS has a thorough suite of 10 (dual front, dual side, quad head, dual front knee).

This all adds up with the standard array of stability, brake, and traction controls for a maximum five-star ANCAP safety rating, although the IS was last assessed way back in 2016.

The IS is built in Japan.

The BMW M2 is covered by a five-year, unlimited kilometre warranty, and servicing is 'condition based', in that the vehicle will tell you what maintenance is required, and when.

You can prepay your service costs at the time of purchase for all BMW vehicles, covering the first five years of ownership, for $3480 (which means $695 per service).

Lexus gets slightly ahead of the luxury pack with an extra year of warranty. While BMW and Audi still sit on three, Lexus offers four, but it is limited to 100,000km and is still outdone by Mercedes-Benz and Korean newcomer, Genesis, offering five-year/unlimited kilometre promises.

The IS has capped price servicing fixed at $495 for the first three years of ownership with roadside assist, and the brand will even pick up and drop off your car, or offer a free loan car during every 12 month or 15,000km service.

It’s worth noting that German rivals offer pre-paid service packages out to five years, and Genesis is trying to make a splash with free servicing.

Lexus does offer a luxury ownership program dubbed ‘Encore’ which includes invites to experiences and certain partnerships with restaurants and the like to keep potential owners enticed.