Jack Hollis, Scion vice president, calls the segment premium micro-subcompact. How many cars are sold will depend on gas prices, which are now down from their peak of last spring. But despite economic head winds, young consumers are migrating to urban hubs, and that’s the market the iQ is targeting.
“The youth of today are much more interested in mass transit, car-sharing and other transportation options,” Hollis said.
The iQ’s designers carved out more interior space, especially for front-seat legroom and overall headroom, than a glance from outside the car would lead one to expect. With a height of 59 inches and length of 10 feet, the 66-inch width provides nearly the same space between driver and passenger as the much larger Toyota Corolla.
The iQ was slated for launch this summer, but the disruptions caused by the March 11 earthquake and tsunami in Japan pushed back its production launch. Now Hollis expects West Coast dealers to see their first cars in early December. Showrooms from the Southwest to Southeast should receive the iQ in January and February 2012, and the marketing launch on the East Coast and Midwest is slated for next March.
The other challenge for Scion is that the 18- to 29-year-old demographic from which most iQ buyers will come is taking a disproportionate hit from the prolonged unemployment crisis.
“The market we’re aiming at has a 20 percent unemployment rate, but they are moving back into cities,” Hollis said.
An electric version of the iQ is scheduled for introduction next year, but Hollis said it will be sold primarily to corporate and government fleets.
The iQ will carry a base price of $15,995, including delivery.
“It’s definitely an interesting car,” said Dave Sullivan, an analyst with AutoPacific. “The problem is that Americans like to pay for cars by the pound. You have to give people a reason to want to downsize.”
The iQ expands Scion’s lineup from three to four models. Despite the earthquake’s impact, Scion’s sales through the first nine months of 2011 are up 13.2 percent from a year earlier. Sales of the redesigned 2011 tC sport coupe, launched about a year ago, are up 76 percent from last year through September.
Last April, Scion showed a concept car called the FR-S at the New York International Auto Show. A version of that is expected to be produced sometime in the next 18 months.
About the Author