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Audi Targets Mass Market With A3

9/16/2013 2:00:25 AM
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Audi will bring the A3 saloon here in 2014. It will be the new entry point to the Audi brand.

Rewind a few years, and youd see a handful of Mercs, BMWs, and Audis plying the streets. They were reserved for the sahib. But India is a country that has developed more in 20 years than in the 50 preceding it. There’ s a new buyer in town the young professional’ – and luxury carmakers are targeting them with their new compact saloons. With the recent crop of ‘cheaper’ luxury cars such as the CLA, A3 and the upcoming 1-series saloon, luxury carmakers have decided to go after people with Toyotas and Hondas.

New Audi A3 saloon front

New Audi A3 saloon front

In most parts of the world, especially India, saloons sell much more than their estate versions, which explain why Audi is counting so much on the A3 saloon being a big seller. In fact, one in every five Audis sold in the world is an A3 hatchback, and once the A3 saloon is out, it could even go as far as becoming the carmaker’s largest selling model. The two cars actually have the same wheelbase, but crucially, the A3 saloon is 150mm longer, 11mm wider, and 9mm lower. The car comes with changes to the bonnet, bumpers, air intakes, and wheel arches to give it a sleeker and lower profile.

New Audi A3 saloon side

New Audi A3 saloon side

The A3 saloon is based on the A3 Sportback sold in markets abroad, which is built on VW’s variable MQB platform. This is the same platform that underpins the new VW Golf. Audi will continue to use the same engines in this car – 138bhp 1.4 TFSI and 178bhp 1.8 TFSI petrol’s, and a 148bhp 2.0 TDI diesel. Now, another car that has us excited is the range-topping S3 version. The S3 comes with four-wheel drive and a turbocharged 2.0-litre petrol engine that puts out a whopping 296bhp, propelling it to 100kph in a claimed 4.9sec!

A3 saloon’s dashboard is identical to the A3 hatchback’s.

A3 saloon’s dashboard is identical to the A3 hatchbacks

When the A3 saloon is launched in India in 2014, it could be the cheapest Audi on sale. Audi needs to price this new car at a significantly lower point than the A4 for it to sell in decent numbers. Localization will be the key, more so since the Union Budget hiked the customs duty on CBUs. Audi already plans to assemble 90 percent of its India portfolio here by mid-2013 to keep costs down. And the company is also looking to take advantage of global sourcing of parts to further reduce costs. Audi’s statement actually sums up the company’s intent, “We’re now entering the world’s biggest segment – the compact saloon.” Profits earned from Audi are critical to financing parent company Volkswagen AG’s strategy to overtake General Motors and Toyota as the world’s biggest automaker by 2018. The downside though, is that targeting these volume segments may lead to the badges losing their exclusivity tag. But then again, there’s always safety in volume selling. However, Merc’s CLA is expected to hit Indian shores around the same time as the A3 saloon, and it’s going to be a tough battle to win over the ‘young professional’. Game on.

New Audi A3 saloon back

New Audi A3 saloon back

 
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