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What's the difference?
The 2025 Audi Q3 Sportback is a small but not-too-small SUV that sits within a close-knit segment. The Q3 Sportback attempts to spice up the premium end of this small SUV market by offering a design-focused 'coupe' body style, but is it enough for it to go 'tyre to tyre' against its main rival, the new BMW X2?
It's other rivals are also renowned for their luxury and on-road prowess - think the Mercedes-Benz GLA and Lexus UX. However, the changes for the new Q3 are small and its rivals have all benefitted from a recent refresh.
In this review we explore how the top-model Sportback S line 40 TSFI quattro handles being an urban dweller.
In 15 years as a car reviewer there have been plenty of super luxurious cars and there has been plenty of people moving. But not many super luxurious people movers. Until now. Until the Lexus LM 500h.
This people mover costs a quarter of a million dollars. And if that caught your attention you probably also want to know what that buys you. My family and I found out when we lived with the LM 500h Ultra Luxury for a week.
The Audi Q3 Sportback S line 40 TFSI quattro is a quiet achiever.
Not as flashy or performance driven as some of its rivals, it still manages to tick almost every box when it comes to comfort and features. Like most models in the class, space in the back seat is modest but for a top-spec non-performance model, the price is alright and it’s lovely to drive.
The Lexus LM 500h is luxurious, comfortable, practical, easy to drive and expensive. While it may appear to be the ultimate family car, with only four seats it's limited in terms of how many kids and their friends you can carry. On top of that, the privacy screen introduces accessibility issues to the kids you wouldn't encounter on other vehicles. If you are thinking of a Lexus people mover as your next family car I'd suggest looking at the LM 350h which has seven seats and no privacy screen. If you’re looking at a business class executive van the LM 500h would be perfect.
The Q3 Sportback blends the practicality of an SUV with a sports-car presence due to its wide 2022mm stance and coupe-styled rear. With the black accents across the body, big 20-inch alloys and sharp Matrix LED headlights, the Q3 Sportback more than holds its own against the sporty prowess of its rivals.
The cabin establishes that it sits within the premium market with its leather mix upholstery and flashy-looking tech that headlines an angular dashboard. However, it's understated compared to its rivals, which all boast a stronger cabin presence.
Overall, it's not a ‘look at me car’ but the longer you look, the better it gets.
The LM 500h doesn't look real. More like a concept vehicle with its vertical face wearing that enormous grille. Feels like if you watched it for long enough you’d catch it transforming into some kind of robot. Yet, at the same time its styling is elegant and prestigious.
I have a confession to make. I used this Lexus as my office. Its interior is that comfortable and spacious. I'm also a parent and there were times where it was the quietest place to get some work done.
It also let me observe people's reactions as they walked past with their dogs not knowing what was going on inside behind those tinted windows. The people that noticed were clearly car enthusiasts as they knew what they were looking at and couldn't pass without gaping it awe.
The LM 500h’s interior is superbly plush with thick carpets, beautiful copper metallic trim and nappa leather seats.
As I’ve said, the cockpit up front is less luxurious than the extravagant first class section in the back behind that dividing wall.
And yes, I’ve seen large screens before but nothing that stretches the width of the vehicle.
The Q3 Sportback offers plenty of head- and legroom up front, with access that is accommodating because of the wider door apertures.
Like its rivals, the back seat offers modest space for my 168cm height, but it might be a squeeze if you taller. The middle seat suffers the most with legroom due to the tall transmission tunnel – keep this seat for kids only.
However, all other seats offer well-rounded comfort with decent-padding, side bolsters and the front get extendable under-thigh and lumbar supports, as well as heat functions.
The rear row also gets directional air vents, reading lights, two USB-C ports and a 12-volt socket. Longer trips will be comfortable for four occupants but five will elicit some grumbles.
Storage is good for the class with a glovebox that can fit a manual, a medium-sized middle console and a large phone tray. There are four cupholders and four drink-bottle holders throughout the car, and the rear row also get two map pockets.
The boot offers class leading space with its 530L capacity and only the BMW X2 beats it (by 30L). Storage options open up again with the 40/20/40 split of the rear row. The top model gets a powered tailgate with gesture control and temporary spare tyre.
Technology looks high-end and the touchscreen multimedia system is easy enough to use once you get your head around the menus. The built-in satellite navigation is top notch and the directions are pulled through to the digital instrument cluster.
The Q3 now gets wired/wireless Apple CarPlay and wired Android Auto. The CarPlay maintained a steady connection this week. Charging options are great with a total of four USB--C ports, two 12-volt sockets and a wireless charging pad to choose from.
You might be able to take Lexus out of Toyota but it's very hard to take Toyota out of Lexus and this particularly applies to the practicality of the LM 500h.
Every day I discovered new compartments, tray tables and storage areas. There are so many cabinets, lockers and hidey holes that we almost left my belongings (an entire family of plushie toy capybaras) behind because there are so many places to check.
Of course, I'm talking about the rear compartment here because up front there's not much storage. In fact, it proved to be quite a problem in that I had nowhere to put my bag with somebody sitting next to me and no area behind the front seats to stow it, either.
Talking of seats, the LM 500h only has four of them, with two up front and two in the rear. Up front, the seats are supportive and large, but the rear seats - those are, well... have a look at the images.
We’re talking two large captain's chairs that look as though they’ve been removed from the first class section of a plane.
And while this might be suitable for businesses shuttling a couple of executives to and from meetings, for a family, even with two children, the extra couple of seats a third row offers would come in handy.
The LM 350h has seven seats over three rows and no privacy screen. A far better choice for families.
For device charging there are USB ports up front and in the rear. There are wireless phone chargers for those in the back seats but not up front.
The LM 500h has a cargo capacity of 752 litres with all seats in place.
There are four variants for the Q3 before you hit the high-performance model, and our test vehicle is the top S line 40 TFSI quattro model, which is priced from $70,800, plus on-road costs, making it the most affordable compared to its rivals.
Its closest rival is the Lexus UX300h AWD F Sport with a price tag of $73,210, then the BMW X2 20i M Sport at $75,900, and the Mercedes-Benz GLA 250 4Matic sits at the top at $79,700.
Our test vehicle has also been fitted with an upgraded Sonos 3D surround sound system and sunroof for an additional $3900.
As one would expect for a top model, the S line is well-equipped and includes electric and heated front seats, leather upholstery and high-end technology throughout, which includes a 10.1-inch touchscreen multimedia system, a 12.3-inch digital instrument cluster, satellite navigation, wireless Apple CarPlay, wired Android Auto, Audi Connect app with over-the-air updates, four USB-C ports, a 12-volt socket and a wireless charging pad.
Practical features include keyless entry and start, adaptive LED headlights, a frameless auto-dimming rearview mirror, rain-sensing wipers, a powered tailgate (with gesture control) and a park assist feature.
It's features list mostly mirrors that of its rivals, but it does miss out on ventilated front seats.
The Lexus LM 500h sits at the top of its range and is without a doubt one of the most expensive people movers on Earth with its list price of $220,888.
As you would imagine the standard features list is as extensive as it is extravagant.
For starters, while the regular LM 350h has two rows of seating in the rear (seven seats all up, including the front two), the 500h has the third row removed and just two super luxurious and enormous fully reclining seats fill the entire space. It’s like a theatre back there.
That theatre theme keeps going with a media screen in the back so large it stretches the width of the vehicle. Seriously, it's a 48-inch screen to watch movies or connect to your device.
The sound system is probably the best I’ve experienced - a spine tinglingly incredible 23-speaker Mark Levinson set-up.
What else can I tell you? Those rear seats are upholstered in beautifully soft semi-aniline leather. They’re heated and ventilated with a massaging function and... ridiculously comfortable.
There’s four-zone climate control, windows which have an electronic shade that turns the glass opaque, there are wireless phone chargers in the doors and carpet throughout so thick you sink down into it as you step inside.
Our LM 500h was upholstered in the 'Solis White' leather which also brings contrasting and mesmerising copper metallic trim.
Oh, and there’s a wall with an electric glass screen that can be raised or lowered to separate the rear passengers from the driver.
I should have mentioned this earlier. The kids loved it, but these parents spent a lot of time telling the 10- and three-year old not to put the screen up again.
The rear occupants, aka the kids, can also lock the screen in place. Which they did, and so sound proof is the dividing wall that we can only just hear their uproarious laughter.
Up front, the cockpit is comfortable but it’s clear all the space and luxury is for those being driven around.
Still, the front seats are leather with heating and ventilation, there’s a 14-inch media screen and 12.4-inch digital instrument cluster, plus a head-up display. Sat nav, Apple CarPlay and Android Auto are also standard.
Our test vehicle keeps it's tried and tested 2.0-litre four-cylinder turbo-petrol engine, which produces 132kW of power and 320Nm of torque. Those outputs are slightly less than most of its nearest rivals and it sports a slower sprint time of 7.8 seconds.
The Q3 Sportback is a quattro, which means it has an all-wheel drive and it boasts a silky-smooth seven-speed auto transmission.
While it doesn't induce strong sports-car vibes on road, it’s not a car you'd ever have the audacity to call slow.
The LM 500h is a petrol-electric hybrid with a 2.4-litre four-cylinder turbo-petrol engine which makes 202kW/460Nm and works in concert with two electric motors.
The front motor makes 64kW/292Nm and the rear makes 76kW/169Nm. The combined maximum power output of the two motors and the petrol engine is 273kW.
The LM 500h is all wheel-drive and has a six-speed automatic transmission.
The official combined fuel cycle figure is 8.2L/100km, but the real-world usage is at 8.6L after doing a mix of open-road and urban driving. Considering the lack of restraint shown for really giving this model a real 'go' on the open-road, the fuel usage is respectable.
Based on the official combined fuel cycle and 60L fuel tank, you should see a theoretical driving range of up to 732km, which is good for any longer road trips you might want to tackle.
Lexus says after a combination of urban and open roads the LM 500h should use 6.6L/100km. In our own testing we found consumption was higher at 9.4L/100km.
Worth noting my driving environment was mainly a hilly suburban one filled with school drop offs. Achieved some personal bests this week, with one long run to Sydney’s outskirts, only to return in nightmarish peak hour traffic.
Premium (95 RON) fuel is required and the tank size is 60 litres. In theory the driving range is a smidge more than 900km, which drops to around 640km using our real-world average.
The power delivery for the Q3 Sportback S line model is effortless. It doesn’t have the thrum or burbling of a turbo, but the power is well and truly there whenever you need it. So, while not as ‘powerful’ as some of its rivals, you don’t feel like you’re missing out.
The low and wide stance of the Q3 Sportback translates to nimble and direct handling – you can take corners at speed with almost no roll and the steering sits within the goldilocks zone for firmness.
A downside is the cabin noise, which is fairly loud with road and wind no matter the speed – but you don't have to raise your voice. You'd expect a bit of noise with the big wheels, but you always hope for more refinement at this grade level.
The Q3 isn’t difficult to park, but it does take a moment to get your bearings on how it fits a space, as it’s bigger than you might expect. The 360-degree camera is super clear, which takes out a lot of the guesswork.
The car feels like an extension of you as a driver which elevates the overall on-road experience despite not being a performance model. This would be well-suited for a driver who wants great on-road performance without feeling like someone who is in a mid-life crisis.
Quite simply, driving the LM 500h is like piloting a limousine on stilts. Superbly comfortable, but with an elevated driving position that offers outstanding forward and side visibility, the LM 500h is an easy vehicle to drive for long periods of time.
A digital rear vision mirror means visibility behind is good and unobstructed by the privacy screen or the seats.
The drawbacks are down to the lack of space up front, with the driver’s chair limited in its ability to recline or slide back due to the bulkhead behind it.
And that's compounded by the lack of cabin storage for bags if the front passenger seat is taken.
As for the rear passengers there aren't many people movers offering this level of comfort, except perhaps the Zeekr 009.
Variable suspension that adjusts continuously keeps the vehicle composed and provides a high level of comfort for those in the rear. At the same time, the LM stays nice and flat through roundabouts while remaining civilised over speed bumps.
And then there's the acceleration, which, while not supercar-like is incredibly brisk for a van. The all-wheel drive system provides outstanding traction in wet and slippery conditions, too.
Our family used the LM daily for everything from school runs to shopping trips and weekends away and not only was it fun to drive, our lucky rear passengers enjoyed sitting high and being able to see clearly out their windows along with the luxury of a giant movie screen.
The Q3 has a maximum five-star ANCAP safety rating from testing done in 2018 and it scored highly with the adult protection score sitting at 95 per cent, child protection score at 88 per cent, and safety assist systems score at 85 per cent, and it's vulnerable road sits at 76 per cent.
Unfortunately, the Q3 only features six airbags, which is fairly low for this day and age and misses out on a front centre airbag.
Standard safety equipment is robust and includes blind-spot monitoring, driver attention alert, a First Aid kit, a warning triangle, tyre pressure monitoring, rear cross-traffic alert, lane keeping aid, lane departure alert, traffic sign recognition, intelligent seatbelt warning, adaptive cruise control with stop/go function, park assist, a 360-degree camera and front and rear parking sensors.
There are two ISOFIX child seat mounts and three top tethers but two seats will fit best.
The Q3 has AEB and forward collision warning with car, pedestrian and cyclist detection. This system is operational from 5-85km/h (and up to 250km/h for car detection).
The Lexus LM 500h is yet to be tested by ANCAP so it doesn't have a safety assessment score. There is, however, a high level of safety tech onboard including AEB which can detect pedestrians, cyclists, motorcyclists and other vehicles, emergency steering assist, lane keeping assistance, road sign recognition, rear cross-traffic alert, front and rear parking sensors as well as six airbags.
For child seats there are ISOFIX points and top tether anchor mounts on the two rear seats. We have a forward facing child seat and found it easy to install.
A space-saver spare wheel is located under the boot floor.
The Q3 comes with a five-year/unlimited-km warranty, which is a normal term for the class.
You can pre-purchase a five-year servicing plan, which costs $3330 overall, or $666 per service which is competitive for the premium segment.
Servicing intervals are reasonable at every 12 months or 15,000km whichever occurs first.
Lexus covers the LM 500h with a five-year, unlimited kilometre warranty.
The Lexus Encore Platinum program is complimentary for LM owners for three years, providing 24-hour roadside assist, a loan vehicle or pick-up/return service at service time, 'On Demand' vehicle evaluation options, valet and airport parking benefits as well as exclusive offers and event opportunities.
Servicing is recommended annually or every 15,000 kilometres, and impressively, pricing is capped at $695 per service over five years.