Mitsubishi Outlander vs Mahindra XUV500

What's the difference?

Mitsubishi has leaned into its strengths with this Outlander update, spending its money in subtle areas to upgrade what was already a widely appealing mid-size SUV.

The local tuning has made a notable difference to the refinement and comfort of this version, while subtle updates to the software and interior trim help to refine things even further.

If you’ve had an Outlander before, you’ll love this one, although it doesn’t help the brand to challenge new players on the value front. This leaves you with the decision of whether to pick a brand with the reputation and network of Mitsubishi, or roll the dice on a far more affordable new player.

For what it’s worth, it’s genuinely tough to pick a sweet spot here. I think the best picks are at either end of the spectrum, with the ES being outstanding value, and the Exceed being particularly plush.

Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.

This petrol-powered and well-priced XUV500 W6 might mark Mahindra's most convincing effort at cracking Australia's congested SUV market, but we're still not completely convinced.

That said, it's certainly cheap, the ownership credentials stack up and it's a very comfortable way to transport seven people.

Blink and you’ll miss the changes. Actually, squint and you still might miss them. Aside from the eye-catching new 20-inch wheels on the Exceed and Exceed tourer grades and the new ‘Moonstone Grey’ paint colour, it’s hard to tell the new Outlander apart from its predecessor.

Look closer and there’s new lower garnish designs front and rear, a tweaked grille and a smoked appearance for the rear tail-light clusters.

It’s very subtle stuff, but Mitsubishi has chosen to spend its time and money on upgrades on unseen areas.

For example, the bonnet is now steel rather than aluminium, which helps with noise insulation (and also has the side-effect of removing the high-speed ‘fluttering’ effect the aluminium bonnet had on the previous version), there’s additional sound insulation throughout the car, and cladding in the transmission tunnel to make the cabin a quieter place.

Back on the topic of appearance, though, the dash and console has also been tweaked a little. For example, the new screen looks a bit more contemporary, with a much smaller bezel and more attractive software. The console has been rearranged to move the bottle holders to one side of the electronic gear shifter, which makes for a larger centre console.

High-grade leather seat trims also now have alternate patterns, but the range follows the same trims, from cloth on the ES and LS, while the Aspire gets a microsuede and synthetic leather blend, while the Exceed and Exceed Tourer get the ‘high-grade semi-aniline’ leather trim.

There's no getting away from the fact the XUV500 is not the sleekest, prettiest SUV in the pack. But it's not ugly, either. More that it looks like it's doing its best with a design philosophy hatched a generation or two ago.

Its best angle by far is when viewed straight on, where the piano-black grille, dual bonnet bulges and complicated (read: a little weird) headlight clusters all add some road presence to Mahindra's only SUV.

A side-on viewing, however, is less satisfying, where a combination of strangely placed and super-sharp body creases (including one over the rear wheelarch, which adds a Harbour Bridge-style crescent to the otherwise-straight window line) and serious rear overhang give the XUV500 an inescapable awkwardness.

Inside, expect a vast collection of rock-hard (though nicely patterned) plastics, with the ambiance rescued somewhat by the clean-looking and vertical central control unit, which is home to the media screen and air-con controls. 

Ready for some hashtag real talk? There are better-looking and better-feeling seven-seat SUVs out there. But there aren't many that start at $25,990 drive-away. And I think that's Mahindra's point.

The previous Outlander was already known for having a spacious and versatile cabin, and this continues for the new car with a few small tweaks.

The width and satisfying seat positioning continue, and seats in all grades are generous and comfortable, but particularly the leather seats on the Exceed and Exceed Tourer grade we tested.

Adjustability is good in all positions, and the digital instrument cluster has an attractive dual-dial layout and functional display options. While not the best in class, it’s far better than many rivals.

The touchscreen’s new software is meant to be faster, but I found it a bit laggy still, although the integration of Google’s API into the navigation suite is an excellent tweak, making it relevant and useful for much longer.

The tweaks to the centre console make the area more space efficient and useful, but the new cupholders seem strangely shallow, potentially causing large bottles to tip. The tweaked centre console box is nice and large, and the wireless charger is nice and accessible, although its surface is not quite rubbery enough to stop your phone from leaving the charging area in the corners.

The back seat is noticeably stadium – you sit a fair bit higher than in the first row, which eats into headroom in cars equipped with a sunroof for adults. However, width is good, as is the seat comfort.

The rear doors open nice and wide, which should make fitting a child seat easy enough, and the floor is surprisingly flat, too, which makes the middle position more useful.

The third row, which I sampled in an Aspire grade, is both hard to get into and tight once you’re in there. The second row can slide forward on a rail, offering just enough room for me, at 182cm tall, to fit back there, with my knees hard up against the seat in front, and my head nearly touching the roof.

It is for this reason Mitsubishi calls seven-seat versions ‘5+2’. Good for kids, maybe, but not adults for any extended period of time.

The boot is enormous with two rows in use (485 litres in five-seat versions, or 478 litres in seven-seaters), and for this update, the space now has a wider aperture that should make loading objects easier. Space with seven seats up is 163L. Five-seaters get a full-size spare under the floor, while seven-seaters get a space saver.

Braked towing capacity is a middling 1600kg for petrol-powered variants. The brand says not many Outlander buyers are focused on towing as a key capability for the mid-sizer.

Pretty damn practical, actually, regardless of whether you want to carry people or cargo. Carrying both at the same time, however, is tricky.

But let's start with people. There is a huge amount of room in the third row of the XUV500, a space with enough head and legroom to put plenty of its competition to shame.

Thanks to second-row seat backs that fold flat, before the the entire seat lifts up and pushes forward, climbing into seats six and seven isn't too big a drama, either. 

We rarely say this about seven-seat cars, but at 175cm, I'd feel plenty comfortable back there on a longer drive. There are two air vents in the third row, too, along with bottle storage and side-seat storage for thin items.

All XUV500's are fitted with a 70-litre fuel tank. 

The space in the middle row is ample as well, and you'll find three ISOFIX attachment points, one for each of the three seats. There's also a door pocket in each rear door and storage nets on the rear of the two front seats. A pull-down divider that separates the back seat is home to two cupholders, matching the two for front seat riders. 

The only downside to all this people-lugging happiness is that, with the third row of seats in place, there is absolutely no room for luggage. Mahindra doesn't quote a litre storage figure when seven are seated (mostly because it would probably be embarrassing to write "one litre"), but trust us, you'll be lucky to squeeze a soft backpack in the boot with all seats in place.

Things improve considerably when you drop the third row of seats, though, which unlocks 702 litres of storage, and that number climbs to 1512 litres with the second and third row folded down.

Make no mistake, this Mahindra kills the competition on price. The entry-level W6 version will cost you a lean $25,990, while the fruited-up W8 version will set you back $29,990. You can even have an AWD W8 for $32,990. The best part? All of those are drive-away prices.

Go for the W6, and you can expect 17-inch alloy wheels, cloth seats, air-con with vents (powered by a second compressor) in the second and third row, cornering headlights with DRLs, front and rear fog lights, cruise control, rear parking sensors and a 6.0-inch multimedia screen linked with a six-speaker stereo.

Spring for the W8, and you'll add leather seats, a reversing camera, tyre-pressure monitoring and a bigger, 7.0-inch screen with standard sat-nav.

The petrol-powered Outlander soldiers on with a drab non-turbo, non-hybrid 2.5-litre four-cylinder engine, mated to a continuously variable automatic transmission.

The brand calls this combination “proven” and it’s hard to argue given it hasn’t cropped up with any major reliability issues in the pre-facelift car.

Still, it produces a middling 135kW/244Nm, not as punchy as many turbo options, and nowhere near as efficient as hybrid alternatives.

Those seeking a more powerful fuel-sipping option may want to wait for the PHEV version arriving later this year.

There's a diesel engine currently available, but the clock is ticking - Mahindra expects it to be phased out within six months. But the big news here is the new petrol engine, a turbocharged 2.2-litre unit good for 103kW/320Nm. It's paired exclusively with an Aisin-developed six-speed automatic transmission, and will send it's power to the front or all four wheels.

Mahindra doesn't quote official performance figures, but those engine outputs hardly scream excitement, do they?

As a result of its relatively old-school sounding powertrain, fuel consumption isn’t at the forefront of the petrol-powered Outlander, with official consumption ranging between 7.5L/100km for the lightest five-seat ES 2WD version, to 8.1L/100km in the heaviest, top-spec Exceed Tourer AWD.

C02 emissions are also on the high side, which the brand will no doubt be off-setting with the new PHEV version which will offer even more emissions-free driving range than before.

One benefit of this long-serving engine, though, is it can be fed entry-level 91RON unleaded, better for the back pocket. The petrol-powered Outlander has a 55-litre fuel tank.

Local numbers are yet to be confirmed, but after an admittedly vigorous local test, the on-board computers was reading 13+ litres per 100km. All XUV500's are fitted with a 70-litre fuel tank.  

The Australian team had a significant amount of input on the driving dynamics of this new Outlander, but does it make a big difference behind the wheel?

We were granted the chance to drive the old one alongside the new version to find out, and the changes are significant.

Overall, the character of the car hasn’t been fundamentally altered. This is still a somewhat plush and soft-around-the-edges family SUV, but redeveloped new suspension parts and even very minor, nerdy modifications like the thickness of sway bars have added up to a much more pleasant vehicle to spend an extended amount of time in.

The first thing you’ll notice is the retuned steering. Mitsubishi’s engineers tell us the tweaked feedback was all down to the software in the rack, and it’s a big difference, upping the firmness of the steering at low speeds, keeping the vehicle on track with more confidence while heading straight, and also removing a slight twitchiness with sudden adjustments.

Next is the cabin ambiance. The new Outlander is a relatively quiet place to be thanks to the extra insulation throughout. It combines with the new steering to give the car much more of a sense of heft than before. The engine is reduced to a distant thrum, and the road is damped away for the most part. Mitsubishi says the 20-inch wheels are a particular hit with buyers, which to me is a shame because I’m willing to bet it’s particularly comfy on the lower-grade tyres.

Elsewhere, the Outlander has a softer initial response to bumps thanks to retuned shocks, and the reduced width of the front sway bar makes for less ‘head toss’ for front seat occupants.

Does it make a significant difference? Yes. The new Outlander is all-round better balanced and better suited to our road conditions. It might not have the sophistication of more expensive options, and it still might be a tad off what the also balanced-and-comfortable RAV4 offers, although it will be interesting to get one back to see how it compares to rivals in a like-for-like test.

Just expect a much more comfort-oriented option than some rivals. These changes don’t make the Outlander as fun to drive as a Mazda CX-5 or a Skoda Kodiaq. For example, while the 2.5-litre engine and CVT combo provides a surprisingly urgent initial response, it's a dull, rubbery power application from there on.

About as old school as rocking a pair of button-up tracksuit pants with a Run-DMC cassette stuffed into your Walkman.

On a straight and unchallenging road, there's stuff to like about the petrol-powered XUV500. The engine, while gruff under heavy acceleration, doesn't feel too wheezy when you're not asking a great deal of it, and nor is the cabin overly loud at suburban speeds. It's a comfortable space for driver and passengers, too, and the gearbox performed seamlessly on our short test drive.

But that's about where the good news ends. There's an unshakeable agricultural feel to the way this Mahindra SUV goes about its business, and nowhere is that more obvious than through the steering wheel, which has only a vague and difficult relationship with the the front tyres, making it seriously tricky to approach twisting roads with anything approaching confidence.

The steering is slow and cumbersome - light when you first begin turning the wheel, with a ton of weight appearing by surprise midway through the cornering process - and it has a tendency to fight back should the front wheels find a bump or corrugation in the road, too. 

The body lolls about when challenged, too, and the tyres are quick to give up their grip on tighter corners. All of which would give it a certain retro charm if it wasn't so very new, and I must admit I was cackling maniacally on some of the more twisting roads.

But it's simply not a car I could live with.

Expect dual front, front-side and curtain airbags (though the latter don't extend to the third row of seats), along with rear parking sensors and ESP. Stepping up to the W8 trim adds a reversing camera with dynamic guidelines. The XUV500 was awarded a four-star (out of five) ANCAP assessment when tested in 2012.

Mitsubishi continues to offer its near-industry-leading 10-year/200,000km warranty, conditional on the car being serviced at a Mitsubishi dealer. Otherwise, it reverts to a five-year/100,000km promise.

The 10 years of warranty is joined by 10 years of capped-price servicing required at 12 month or 15,000km intervals.

Prices are tame, varying between $320 and $680 per visit, for a total yearly average of $434. It’s not the cheapest yearly average out there, but most brands also don’t have capped price servicing extended this far, so it seems like a good deal regardless.

All XUV500s are covered by a five year/100,000km warranty (though the final two years apply only to the drivetrain), along with five years of complimentary roadside assistance.

The XUV500 is also covered by Mahindra's capped-price servicing program for the first three years of ownership, and will require servicing every six months or 10,000km.