First Car

While consumer confidence generally remains low, the Roy Morgan Leading Indicators Report for July shows a strong intention to buy new vehicles. Roy Morgan Research industry communications director Norman Morris says about 637,000 Australians intend to buy a new vehicle in the next 12 months, up on the short-term average of 611,000. "Although Roy Morgan Consumer Confidence has remained relatively low over the recent months, there is still a majority of the population who believe that it is a good time for purchasing major household items and motor vehicles are possibly a beneficiary of this optimism over the next 12 months," he says. "The RBA's recent decision to leave the cash rate unchanged, placing no extra mortgage pressure on the 39.6 per cent of new car shoppers who are currently paying off their home, is also contributing positively to car buying intentions." In the longer term, about 2,069,000 Australians intend to buy a new car in the next four years, excluding fleet, government and rental buyers, he says. These figures also show that almost one in five (17.8 per cent) intend to buy a Toyota over the next four years, ahead of Holden (11.4 per cent) and Ford (7.9 per cent). Intentions to buy a new car in the next 12 months have increased most in the past year for Nissan (up 1.4 percentage points to 4.4 per cent) and Volkswagen and Lexus (both up 0.6 of a point to 5.6 and 1.3 per cent respectively). The decline in short-term buyer intentions has hit Toyota the hardest (down 1.8 points to 17.8 per cent), followed by Mazda (down 1.5 points to 7.3 per cent) and Mitsubishi (down 1.2 points to 3.6 per cent). However, compared with the latest VFACTS market share data - which includes fleet, government and rental - the biggest improvers could be Volkswagen (up from 8th to 5th) and Honda (10th to 5th), while those with the most to lose could be Hyundai (5th to 9th) and Mitsubishi (7th to 10th). There will also be a swing towards SUVs and commercial vehicles, according to Roy Morgan Research. Buying intentions for passengers vehicles have fallen 3.7 points in the past two years to 56.4 per cent while SUVs are up from 20.4 per cent to 24.7 per cent and commercial vehicles are up from 6.1 per cent to 6.9 per cent. Buyer intentions  Source: Roy Morgan/VFACTS

Down in "Tiddlerville" Ford has a cracker of a competitor with its recently revamped Fiesta. Now available in sedan and five-door hatch, Fiesta has also shifted up a gear in terms of drive-feel and appearance.It comes out of Thailand now, off the same line as the Mazda2 but don't hold that against it. This little puppy has plenty in its favour not the least being price and style.We got hold of the base CL sedan but that includes Ford's excellent six-speed Powershift dual-clutch "auto" as standard.It makes this light car a treat to drive, even if you miss out on power rear windows and a spare tyre.VALUEYou can't argue with $18,990 for the CL sedan - it has plenty of kit for the dosh, offering up Bluetooth (not in Mazda2) impressive audio, aircon, a decent trip computer, power front windows and exterior mirrors and that six-speed "manumatic" as standard _ a master stroke from Ford as Fiesta will be bought mostly by urban females who are generally not fussed shifting cogs by hand. They can now have their cake and eat it too because the Powershift transmission offers a sequential change mode as well as D. Capped price servicing is a big plus.TECHNOLOGYTargeting a young audience, Fiesta has plenty of connectivity to make them happy including voice control of some electronic functions. There are multiple plugs for iPods and MP3s and standard Bluetooth is a bonus this far down the food chain.The plucky 1.6-litre four cylinder engine offers plenty of pep thanks in part to variable valve timing which also aids fuel economy rated at 6.1-litres/100km. Maximum output is 88kW/151Nm. And it runs on anything from 91-98 octane fuel.DESIGNFiesta is an example of Ford's current "Kinetic Design"" styling theme  - inside and out. It's a cute little beast with a high bum and wedgey profile. The front has an assertive look to it but not too tough. The inside has some soft feel surfaces and an eye grabbing, V-shaped metallic centre applique that livens up the look no end.All controls are legible and easy to find and use.The interior has plenty of room for four, five at a pinch and the boot is huge for a car this size - 430 litres.SAFETYNothing less than five stars for the latest Fiesta thanks in part to seven air bags and stability control as well as the strong body/chassis.Even the base model we drove with the skinny tyres has inherent safety thanks to its sporty dynamics that would help avert a crash in the first place. It steers like a sports car.DRIVING We have been big turbodiesel fans for yonks but this car made us think again about petrol and it isn't even turbo charged.The CL sedan is a hoot to drive any way you like - cruisin', commuting, even having a bit of a crack on a winding road -Fiesta puts its best foot forward - within limits.You don't have to be going fast to have fun partly because of the sporty drive feel. It has reasonable seats and plenty of kit to keep you informed and entertained.VERDICTReally impressive. We'd have it on a short list in this segment especially considering the six-speed "auto" is standard. The temporary mobility kit is a problem as are the wind up rear windows but overall, the CL sedan is right up with best in class.

The Genki is the top of the range Mazda 2 and was the biggest selling car of its kind in Australia. But, it's been almost nine years since the launch of the tiny hatch here and it still doesn't get Bluetooth like the Mazda3 or 6. Given the car's younger target market, it doesn't make much sense.Bluetooth means you can pair your mobile phone with the car's audio system and talk and make calls without taking your hands off the wheel. You can have Bluetooth fitted to the car, as a dealer accessory, but it's third party hardware and costs an additional $390. Factory is always better. Apart from this annoying fact, the Mazda2 is still a cracker after all these years.VALUEGenki is $22,490 driveaway for the manual or $24,140 for the auto, whichever you prefer. Out test car, the five-speed manual, comes with temperature controlled airconditioning, headlights that switch on automatically and rain-sensing wipers which we're told are a first for the segment.A trip computer is also new that shows distance to empty, current and average fuel consumption as well as average speed, while an outside temperature display has also been added. There's a 12 volt power socket and an AUX input for music players located between the front seats, with steering wheel audio controls. Produced in Japan these days which means first rate build quality.TECHNOLOGY1.5-litre four cylinder engine produces 76kW of power and 135Nm of torque. Not bad but not nearly as good as its cousin the Fiesta. Has a 42-litre tank and gets 6.4 litres/100km using standard unleaded petrol. Brakes are discs front and drums back, but that's not unusual in this size car. Fitted with 16 inch alloys and 195/45 rubber and has a space saver spare.DESIGNLooks cool in metallic green Genki adds a body kit with fog lights, side skirts and a rear swing. Not many people know it but the Mazda2 sits on the same platform as the Ford Fiesta. The Ford is powered by a larger 1.6-litre engine, but the two cars share the same sporty dynamics. Many people prefer the slightly more restrained styling of the Mazda, especially the instrument layout.SAFETYFull five stars for safety. Gets the full kit including six airbags, stability control and anti-lock brakes with brake assist and electronic brake force distribution.DRIVINGMazda2 is a fun little car to drive. Lacks some torque down low, but likes to rev. You can thrash the pants off it and it will keep coming back for more. Charge into a corner and it won't let you down.VERDICTA great little car. Feels nice and tight with no rattles and offers a level of dynamics that its competitors will find hard to match. Shame about Bluetooth, especially since Ford offers it, but them's the breaks.Mazda2On sale: nowPrice: $16,999 driveaway (Neo manual hatch) to $20,940 (Genki manual hatch)Engine: 1.5-litre four cylinderPower: 76kW/6000 revsTorque: 135Nm/4000 revsTransmission: five-speed manual, four-speed auto, front-wheel driveEconomy: 6.4L/100km (man), 6.8L/100km (auto)Emissions: 152g/km CO2 (man), 162g/km CO2 (auto)

A UK Top Gear host famously reviewed the Nissan Micra while wearing a paper bag over his head. The car in question was an eye-gouging pink, which alone was enough reason to go incognito. And it was also a few years ago, when a Micra in any colour was a bad idea.But there’s no shame in being seen in the current Micra. It’s true the little car has its faults. However, you have to weigh them up against its good points: economy, space and -- in the base model -- price.We tested the $12,990 manual base model and then skipped over the $14,990 mid-range ST-L to the $16,990 Ti ($18,990 as tested with the $2000 auto option).That’s not cheap, compared to the rivals – mainly the $11,990 Chery J1 and Suzuki Alto, and even the Barina Spark comes in at $500 less.It had a strong competitor in the Hyundai Getz, but the little Korean is leaving the battlefield. However the Micra could face an even stronger on in the new Kia Rio, which arrives in September armed with fresh new looks and attitude.But the Micra currently argues well on equipment, with the base model getting a respectable amount of safety kit, height-adjustable driver’s seat, Bluetooth, remote central locking and MP3/CD audio system with controls on the steering wheel.The instrument panel curiously offers ‘personalised anniversary, birthday and New Year reminders’ which raises the question of whether people too vague to register the end of a year should be behind a wheel at all. But it does explain why all sorts of warning chimes, bleeps and blips are standard.Upper spec ditches the steel wheels for alloys – and a full-sized spare – and adds power-folding mirrors, climate-control for the airconditioning, reverse parking sensors and a driver’s armrest that was so annoying we punched it in frustration.However the top-spec’s price has to be shopped against contenders like the $16,690 Volkswagen Polo, $16,990 Ford Fiesta and $16,990 Mazda2, all three of which leave it eating dust in terms of both value and verve.The Micra’s looks have calmed down over the years, but it’s still a tallish pod with front and rear lines that slope steeply away. But it no longer has the little ‘buds’ on the headlights for you to tell where the front corners are, and you really have to crane over the dash to see where the bonnet disappears – before you bury it into something.Dash design is good, with the oversized – and probably iPod-inspired airconditioning controls adding a bit of funkiness.Storage spaces are at a premium, with a tiny glove box and miserly door pockets, while the little nooks in the centre console don’t take much, and the storage space in the front passenger seat only works if you’re flying solo. Luckily, the cargo area is generous, and with the rear seats down almost cavernous for a car this size.However the main let-down is the poor impression left by touchpoints like the steering wheel and seats – all of which are hard and feel cheap. The driver’s seat gets a flip-down armrest that was so annoyingly positioned we punched it in frustration.The base model ST gets a 56kW/100Nm 1.2-litre three-cylinder, which claims 5.9L/100km with the standard five-speed manual and 6.5L/100km with the optional four-speed automatic.The ST-L and Ti get a 75kW/136Nm 1.5-litre four-cylinder with fuel figures posted at 6.5L for the manual and 6.6L for the auto.Suspension is McPherson strut and stabiliser bar at the front and torsion beam with springs at the rear. And some corners have been cut with the brakes, which are front discs but rear drums at all spec levels.It does well at this price level with six airbags, dynamic control and anti-skid brakes with brake assist for panic stops and brakeforce distribution to send more anchor to the corners that need it.The Micra hasn’t been crash-tested in Australia, but in Europe get four stars.The first thing you notice is how much headroom the Micra offers, even in the rear pew. However passengers back there don’t get much legroom unless the front seats are set forward.We suspected we’d prefer the Ti’s 1.5-litre engine – so no shock there. But we were surprised to find the base model’s 1.2-litre wasn’t an outright woofer.Granted, it was better on the flat and struggled on hills, especially with more than two people, but if you were unhurried about the slopes it got there eventually.Its downside was that when you needed to rev it – which was often – the lack of sound damping meant you got an earful of noise. And not the good kind.The larger engine was our clear favourite, even with the four-speed auto. Again, steep slopes gave it a bit of pause – you had to throw it back into second gear on some hills -- but these were the kind that joggers set as a training challenge.Otherwise it punted the Micra’s light weight around with ease. Coupled with a manual transmission to stoke it along, this engine could offer up even more enthusiasm.The steering is light but with acceptable feel for a city bug, and with a satisfying return to centre. The wheels at far corners help with dynamics, letting you flick the little body around easily – and parking is naturally a cinch.But both our test cars fared poorly in the noise assessment. The manual had some unpleasant sounds coming from around the rear underfloor (possibly wheel bearings) while the rear roof spoiler on the Ti added a chorus to the wind noise from the front on both.The Micra range is pitched at the budget-conscious city dweller, and – graded on the curve – it’s a good little jigger for the job.But if Nissan spent a few more dollars on softening both the noise intrusion and the touchpoints, it would be twice the car it is now.As it stands, the base model is a good price, but not a good car, while the auto Ti is underdone when shopped against the competition.

...at the Australian International Motor Show - or anyone looking to downsize.General Motor’s Asia-Pacific design executive director Mike Simcoe noted the new Barina had grown - “it’s on the high side of the small car class” to differentiate it from the Spark.The Barina chases a coupe profile with the rear door handles mounted in the pillar to emphasise the roorline arc and the exposed front headlights and instrument cluster were “motorcycle inspired.” Holden’s Ondrej Koromhaz helped style the Barina while on assignment at GM’s South Korea design centre.Specification and pricing will be announced closer to launch, but the car will have a 1.6-litre engine electronic stability control.

An all-new, bigger and better Toyota Yaris has just been unwrapped in Japan. It promises a much tougher rival in Australia to cars such as the Ford Fiesta and Mazda2, but there are still plenty of questions through the countdown to its planning arrival in September.They include doubts over production at Toyota's Miyagi assembly plant, which is still offline following the Japanese earthquake. Various sources point to a production shutdown until sometime in May because of the difficulty in re-connecting essential services - including natural gas - to the factory.Toyota Australia also says there will be tweaking to the Yaris before it comes here, most notably the replacement of the CVT transmission popular in Japan with a regular four-speed automatic gearbox. The company is also promising a full five-star NCAP ranking for the basic Yaris three-door hatch.VALUEToyota has targeted top-line European rivals including the Volkswagen Polo - the reigning Carsguide Car of the Year - but it is still built to a price and some people will find marginalised features.The price of the Yaris currently starts at $14,990, or $16,590 as an automatic, and Toyota will be aiming to hold the line with the new model. It plans also to continue with its current strategy of using three and five-door hatchback bodies with either 1.3 or 1.5-litre engines. There will be three equipment grades.TECHNOLOGYThe most impressive thing about the new Yaris is the 1.3-litre engine's Smart-Stop Package. Taking just 0.35 seconds to restart after seamlessly cutting the engine at idle, the smart-stop works to improve fuel economy to an excellent 4.59 litres/100km.But, surprisingly, the start-stop is only offered on the 1.3 litre due to its hefty $750 pricetag. And, more strikingly, VSC and TRC traction controls, which are standard on the 1.3 litre, are not even offered as options on other models, although this will not be the situation in Australia with stability control now compulsory on all cars sold here.DESIGN"We need to stand out more. That is one reason why the new Yaris has grown in size and taken on an edgier look compared to it's predecessor," says deputy chief engineer Yoshinari Toyomura.Checking out the new Yaris on Tokyo streets, we immediately see what he means. The new B-segment bigwig is 85mm longer with a wheelbase that gains 50mm. The car does feel bigger, but the company's efforts to minimize costs while improving packaging have met with mixed resultsSAFETYToyota already gets a five-star NCAP rating with the five-door Yaris including the safety pack - with front-side-head airbags - and four stars for the three-door with frontal airbags.It promises better for the new model and Australian buyers can also expect the usual ABS brakes and ESP stability control to satisfy local regulations and consumers.DRIVINGTuned for optimum fuel economy and CO2 emissions, the 1.3-litre Yaris is adequate but not quick. Mated to a revised CVT transmission, it pulls sufficiently from around 2000 revs and stays strong enough through the mid-ranges, we think, because this car did not have a tachometer.Aussie cars will get a five-speed manual, and a tacho. To keep up with rivals, the Yaris has stiffened body rigidity, a more compliant ride and better weighted, more responsive steering. Local specifications will be crucial, really, to the potential success of the car in an incredibly tough sector of the market.The new Yaris is more spacious, does handle better than the old model and looks considerably smarter, but it feels like it's been short-changed on a few interior elements and performance is middling rather than genuinely impressive. It'll need those missing toys if it's to stand out from the crowd when it arrives here later this year.VERDICTBuilt to satisfy the bottom dollar, the new Yaris generates good first impressions, but leaves question marks with its packaging and potential impact in Australia.

The new Suzuki Swift has grown up. It is exactly what you expect of a major newcomer in 2011, with the same strengths as the outgoing car and enough improvements to justify a change.The styling is a letdown - more like a facelift than a true model change - but the offset is provided by a starting sticker that's the same as the basic Swift from 2005. That means pricing from $15,990 for the manual-only Swift GA, although even that car now comes with seven airbags and ESP stability control.The Swift continues as a boxy five-door hatch that's easy to drive and park, and a serious rival to a range of baby-class cars including the benchmark Volkswagen Polo, Toyota's Yaris and the ageing Honda Jazz.VALUEThe bottom line is the bottom line for bargain-basement buyers, and Suzuki has done well - helped by the strength of the Australian dollar - to hold the starting price down to $15,990. Most customers are going for the slightly upscale GL from $16,690, mostly because it is available with Suzuki's four-speed auto but also because it gets a slightly better dashboard with a revcounter and USB sound input, as well as extra paint on the basic plastic parts.The Swift now comes with a 1.4-litre engine but there is promise of more go in an upcoming Swift Sport. Suzuki Australia claims a significant influence from the mid-sized Kizashi, particularly in the dashboard design and cabin quality, while trumpeting the success of the previous model - which set a Suzuki record for hitting two-million sales.There are three models - GA, GL and GLX - with the top-line car going to $18,990 or $20,690 as an auto.TECHNOLOGYThere is nothing revolutionary in the fourth-generation Swift. The 1.4-litre engine is new and brings 70 kiloWatts and 130 Newton-metres with average economy of 5.5 litres/100km and CO2 emissions of 132 grams/kilometre, but the auto is still only a four-speeder.The car has a slightly longer wheelbase, to improve ride and add some millimetres in the cabin. Suzuki claims everything from improved braking to sharper electric steering, as well as better ride comfort from tweaked - but still rear torsion-beam - suspension."The development team's motto for the new Swift was simple - More Swift," says Tony Devers, general manager of Suzuki Australia."DESIGNYou could be forgiven for thinking that someone put the previous Swift into a 3D photocopier and set the result to 105 per cent. So it's a very, very familiar family look.The previous Swift was a revelation when it arrived, and scooped the 2005 Carsguide Car of the Year award, but not the shape is predictable and nothing special. Even so, the dashboard is more modern and user-friendly and the overall space inside is more comfortable and enjoyable.SAFETYSuzuki claims class leading safety thanks to seven airbags in the cabin and the usual ABS brakes-ESP stability control. The seventh bag is for the driver's knees. The great news is that all the protection comes on the basic car, not through an extra-cost safety package or exclusively on the flagship model. The previous Swift was a five-star car and Suzuki is expecting the same score for the new model.DRIVINGThe new Swift is like so many cars these days - bigger, smoother, nicer, better. But it is missing the surprise-and-delight of the previous model. The cabin is a bit better, and there is a touch of Kizashi in the design and controls, but it's not ... special.Suzuki has done some really great cars in recent years, most notably the previous Swift and the Kizashi, but this one is only good. If that sounds like criticism, it is.But not because of any faults in the car. It's just that Suzuki can, and should, do better and will need more to compete with its rivals in coming years. The Volkswagen Polo costs a fair bit more but is the new benchmark in the class, and the Swift must also be shopped against the impressive Ford Fiesta and even the ageing Toyota Yaris.It's hard to make direct comparisons, with so many body styles and different engines among the opposition, but the Swift is right in the five-door heartland with its 1.4-litre engine. It is a good drive, and has good space for the class, with good value.It rides better than before and is fairly sharp in its steering response, but the engine is let down in the four-speed auto. So the new Swift is a nice car and a nice drive.  The pricetag is very good. But we expected more.

It's arrived a week late, but the Hyundai i20 is ready to go on the Carsguide treadmill.The baby Hyundai comes with the sort of 'all-new' promises you get with a major model change, from the engine and suspension right through to the safety pack and cabin equipment. There is also a bunch of 'surprise-and-delight' features which are new for a Korean car with a $14,990 starting price, including automatic door looking and auto-off headlamps. These sort of things were a very big deal when they first came on a Lexus LS, just over 20 years ago, and set a target for Hyundai's price-first rivals.But the i20 is not what it seems. It is not a replacement for the top selling Getz. Instead, Hyundai Automotive is using the Euro-focussed i20 to spread its reach in the small-car class, most likely using a baby i10 - with a $13,000-ish pricetag - once the Getz dies next year.The $14,990 starting point for the i20 is up and above the Getz, partly because it is newer and costs more to make and partly because it will be part of a two-car attack in 2011. There's also a good chance the $14,990 three-door hatch will be the subject of Hyundai's long-running 'driveaway' pricing policy once the early demand slows a little.There are eight models in the lineup but only the 1.4-litre Active manual makes the bottom line, with an automatic gearbox adding another $2000 and the top-line 1.6-litre Premium auto taking the price all the way to $23,490 - with $320 extra for metallic paint.The value story is still strong as the basic car comes with air-con, power steering and remote central locking among its features. The electric mirrors also fold flat for tight parking spots. Moving up to the Elite brings a trip computer, leather-wrapped steering wheel and alloy wheels, while the Premium gets automatic airconditioning, bigger alloys and combination leather/cloth trim.Compared with its rivals, the value deal on the i20 is impressive even if the bottom line is not as sharp as some contenders.The mechanical platform for the i20 is completely new and that means lots of good things, including the latest Gamma-series four-cylinder engine. Outputs are 73.5kW/136Nm as a 1.4 and 91.1kW/156Nm in the larger 1.6, with claimed economy from 6.0L/100km and emissions from 142g/km of CO2.But it only has a simple torsion-beam rear axle, standard for the class, which limits suspension development, although there are four-wheel disc brakes. The five-speed manual gearbox is what you expect, but there is still only a four-speed auto across the range.Hyundai claims a lot of work went into cutting noise and improving the driving dynamics of the car, although there is no Australian input on the suspension settings.The i20 is a good looker with big headlamps alongside the family grille, a cute back end and reasonable cabin space. The interior steps up a long way from the Getz, particularly in the finishing of the plastics - and even the layout and operation of the dials and readouts - as it is aimed at people who could be spending more than $20,000.The seats are well shaped and have space for four adults, visibility is good in all directions and the final finishing is as good as anything in the class.The i20 comes with everything you need and expect these days, from six airbags to anti-skid brakes, but there is a catch. The first shipment of basic Active cars only has a pair of front airbags and there will be a price increase in September when it, too, moves to a six-airbag interior.So Hyundai currently claims a four-star rating for the $14,990 car and a full five-star result for the rest of the range, with five-star across the board soon.The car has ABS braking and ESP stability control, with traction control included, as well as electronic brakeforce distribution. But there is no chance to compare the operation of the electronics with its rivals, or the sort of cars - let's say a BMW 5 Series - which set the benchmark for calibration of active safety systems to avoid a crash.The i20 is nice enough for the size and price, although it does not rival the sporty feel of a Ford Fiesta or the all-round quality of the pricier (much) Volkswagen Passat. The best comparison is against the Getz and the i20 is roomier, quieter, more comfortable and compliant than Hyundai's current baby-class contender.The engine is quite spritely up to around 4000 revs, but is not keen to push to the redline, while the gearbox is slick and easy to use. The suspension is alright for the job but I find the steering has the same sort of 'binding' feel which mars the bigger i45, without the wobbly front suspension of the Sonata replacement. So it's fine for the price and everyday commuter work, but not remotely sporty.The i20 is what it is - a cheap small car, mostly for first-car buyers. It fits four people fine, and it actually has a bigger boot than I expect. It doesn't have much guts, which I kind of expect. It's a bit tragic, but I've probably been spoiled by driving cars like last week's Maserati.I would definitely wait to get the six-airbag model, even if it cost an extra $500, because I care about safety. But I just couldn't buy one, for a single simple reason. The air vents in the centre of the dash blow straight onto my hands, all the time when I'm driving. You cannot get away from it and it freezes my hands and makes driving a pain. So that's game over for me.A big step up from the Getz, and solid for the size and price. But not a standout.

For the first time the Korean company is introducing an all-new baby car without putting the price first.  The bottom line on the i20 tiddler is $$14,990 for the three-door ($15,990 for five-door, with automatic a $2000 addition) which puts it up above the top selling Getz that does most of its work as a $12,990 drive-away deal.The car will be built in Chennai, India, and there will be two petrol engines – a 1.4-litre and a 1.6-litre.  "Without risk, nothing happens. But I think this is not risky, this is a good chance to make people understand our product," says Edward Lee, managing director of Hyundai Australia.Hyundai has the Getz as a safety net until it dies in the middle of 2011, and can also tap the tiny i10 from India if necessary, but Lee believes the time is right for Hyundai to dump its reputation as a price-is-everything company."We don't have to be a cheap brand. We want to give value, not just the price," says Lee.  "We will deliver more value. Price is important, but value is more important."Lee admits Hyundai cannot match the low-price potential of incoming Chinese brands, and says he is watching Suzuki's successful efforts with its price from $12,490 Alto.But he is determined not to back down on the brand-building work which is making Hyundai the fastest improver in Australian showrooms.  "I'm very confident we will create another good story through i20. We will challenge in this segment with our brand and product quality."Lee says the ix35 and i45 are both doing well without Hyundai's signature driveaway pricing and customers are even prepared to wait up to three months for cars."The customer database is quite different. This is the first time people want to wait for a Hyundai," he says.  "With i20 I think we will get the same result. We plan to challenge with the brand, not the price."The i20 is being sold as both a three and five-door hatch, moving into the Hyundai line-up above the Getz and below the i30.  By the end of next year there could be three all-new light-class contenders from Hyundai, with the i10 and another i20-sized car being built in Korea.But Lee says he will not fix a strategy - or plan introductions for the i10 or the still-secret newcomer - until he sees how the i20 is going.  The initial sales target in Australia is 1000 cars a month, about half the sales rate of the Getz, building over time.

Small car sales were up more than 40 per cent last month as the industry tracks to a bumper one million-plus sales year. Budget buys continue to dominate, filling out seven of the top 10 sales spots in April.South Korean importer Hyundai was one of the stars, recording 16 consecutive months of month-on-month sales growth. Its sales are up 65 per cent this year. Hyundai's budget sub-$15,000 Getz and i30 hatch, which starts around $20,300, are the big sellers. Spokesman, Stephen Howard, said more buyers are chasing value for money with small cars. "And that's our whole philosophy," he said.Toyota's HiLux ute was the No1 seller last month, beating the Holden Commodore by just 254 cars. Despite the popularity of the workman's ute, the home-grown Holden remains the country's top selling family sedan. More than 14,500 Commodores have been sold this year.Solid sales delivered the second highest April result on record. Figures released by the Federal Chamber of Automotive Industries show that 81,401 vehicles were sold last month, up 27 per cent on the same month in 2009. FCAI chief executive Andrew McKellar said most segments were strong."It is certainly very encouraging and shows the competition between the brands is intense," he said. "But challenges still remain."McKellar warns that interest rate increases could dampen demand in coming months. "However, the industry is hopeful that they are now at a level where further increases will be more difficult to justify," he said.Toyota holds on to its top selling position with a market share of 20.5 per cent. Holden is in second spot with 12.2 per cent and Ford third with 10.1 per cent. This year-to-date, 333,228 vehicles have been sold.Top 10 sellers1 Toyota HiLux 34192 Holden Commodore 31653 Mazda3 30794 Toyota Corolla 28295 Ford Falcon 27636 Holden Cruze 25147 Hyundai i30 24838 Hyundai Getz 21929 Mitsubishi Lancer 191210 Toyota Yaris 1799