Why is Toyota getting rid of Venza?
Toyota appears to be winding down the Venza due to weak sales and a strategic shift toward more profitable, electrified crossovers, with the model likely to be retired after its current generation.
The Venza, a mid-size crossover first introduced in 2008 and revived in 2021, has struggled to match the demand of Toyota's best-sellers. As Toyota piles resources into the RAV4 family, the Highlander, and a growing lineup of electrified and battery-electric models, the Venza's niche appeal and lower margins have made it a lower priority in a leaner, more menu-driven product strategy. This article examines the factors behind the decision, the timing, and what it means for buyers and the rest of Toyota's lineup.
What spurs the decision
These are the core commercial and strategic forces pushing Toyota to reassess the Venza's role in its showroom.
- Weak demand relative to Toyota’s best-sellers, leading to slower sales and longer dealer turn times
- Overlap with other Toyota models, especially the RAV4 family and Highlander, which reduces the Venza’s distinct value proposition
- Profitability concerns given the Venza’s production costs and the company’s push toward higher-margin, electrified crossovers
- A broader electrification strategy that prioritizes models with broad appeal and faster growth potential, such as RAV4 Hybrid/Prime and new bZ EVs
- Operational considerations, including simplifying production lines and inventory to reduce SKU complexity and streamline supply chains
The combination of demand, margins, and strategy means Toyota can reallocate development and manufacturing capacity to vehicles with stronger market momentum.
What buyers should know
For consumers and current Venza owners, the discontinuation has practical implications for choice, price, and aftersales support.
- Potential buyers may shift toward the RAV4 Hybrid, RAV4 Prime, or Highlander Hybrid, which offer similar efficiency and space with broader demand
- Resale values and dealer incentives could be affected as the model ages and production winds down
- Toyota will continue to support existing Venza owners with parts, service, and warranty coverage through the remainder of the model’s lifecycle
Shoppers should compare total ownership costs and consider long-term availability of service and parts when evaluating a Venza versus its closest rivals in Toyota’s lineup.
Context in Toyota’s broader electrification push
Electrified lineup strategy
Toyota has been expanding its electrified portfolio with the RAV4 Hybrid and RAV4 Prime, Highlander Hybrid, and a growing family of new bZ battery-electric models. The company has signaled a shift toward vehicles with broad mass-market appeal that can meet regulatory targets and deliver higher margins, even as it experiments with new technologies. Phasing out niche models like the Venza is part of concentrating production on the models expected to drive volume and profitability in the near term.
Market implications
Industry observers view the Venza decision as emblematic of a broader trend among automakers to prune slower sellers in favor of crossovers with stronger demand and clearer electrification strategies. By aligning its lineup with top-selling platforms and new energy offerings, Toyota aims to keep its global sales stable while accelerating its transition to low- and zero-emission vehicles.
Timeline and status
Current status and what to watch for in the coming months.
As of the latest reporting, Toyota has not issued a formal public statement confirming a final retirement date for the Venza, but multiple automotive outlets have cited internal plans or lifecycle timing that point to the ending of the model in the near term. Dealers indicate remaining inventory and trims may be limited in the next model year, with factory support continuing for current owners. Always check official Toyota communications and your local dealer for the most precise timeline in your region.
The retirement of the Venza would reflect a broader reallocation of resources toward high-demand crossovers and electrified models, which Toyota believes will better position the brand for changing customer preferences and regulatory landscapes.
Summary
The Venza’s exit underscores Toyota’s strategy to focus on models with stronger demand and higher-margin electrified options. While the Venza offered a distinctive design and a practical package, its sales performance and overlap with better-selling models prompted a strategic pruning. For buyers, the move narrows the field but offers clearer choices within Toyota’s electrified-crossover lineup, including RAV4 Hybrid/Prime and Highlander Hybrid, along with the company’s expanding battery-electric lineup.
Why did the Toyota Venza fail?
Saturation of Midsize Hybrids
The midsize hybrid SUV segment has become increasingly crowded. With models like the RAV4 Hybrid, Highlander Hybrid, and even Lexus counterparts sharing similar platforms and features, the Venza found itself squeezed in a narrow space.
Why isn't the Toyota Venza popular?
The Toyota Venza is not popular due to a combination of factors, including its higher price point compared to other Toyota models like the RAV4, limited cargo space, and a driving experience that some find disappointing. It also faces stiff competition and lacks features like a standard towing capability, and earlier models were considered confusing hybrids of different vehicle types.
This video discusses some common issues with the Toyota Venza: 59sRealistickYouTube · Jan 25, 2024
Key reasons for its lack of popularity
You can watch this video to learn about common issues with the Toyota Venza: 59sTech AddictsYouTube · Nov 25, 2022
- Price and value: The Venza is often priced higher than the RAV4 Hybrid, which offers more cargo space and a lower starting price.
- Cargo and utility: It offers less cargo space than some key competitors and does not have a towing capacity, which limits its utility compared to traditional SUVs.
- Disappointing driving experience: Some reviews have found the driving experience to be a letdown, with critiques including a large center tunnel that hinders passenger comfort, a lack of physical buttons for the infotainment system (on some models), and issues with road noise.
- Confusing market position: The original Venza was considered an "oddball" blending sedan and SUV features, and its return was met with a similar identity crisis, as it was a hybrid-only vehicle that didn't have the rugged appeal of a traditional SUV but was also less practical than other options.
- Strong competition: It competes in a crowded segment with well-established and popular alternatives like the Honda CR-V Hybrid and the Toyota RAV4 Hybrid, which provide more cargo room and a lower price.
- Other drawbacks: Owners have also reported issues such as soft paint that scratches easily, a less-than-crisp JBL sound system at high volumes, and the expensive and non-opening "stargazer" panoramic glass roof.
Why is Venza being discontinued?
Market repositioning and overlap: Toyota phased out the first-generation Venza (2008--2015) because it overlapped with other Toyota models (Camry, RAV4, Highlander) and sales were modest. The Venza's mid-size crossover niche was narrow--between sedans and larger SUVs--so Toyota chose to consolidate offerings.
What will replace the Toyota Venza?
The Toyota Crown Signia is the vehicle that replaced the discontinued Toyota Venza. The Crown Signia is also a hybrid SUV but is positioned as a more premium and luxurious successor to the Venza. Key differences include the Crown Signia being longer and wider, with more cargo space, and a slightly less fuel-efficient but more powerful hybrid system than the Venza's.
You can watch this video to learn about the size and price differences between the Crown Signia and the Venza: 58sToyota WorldYouTube · Sep 20, 2024
Key differences
- Vehicle segment: The Venza was a mid-size crossover SUV, while the Crown Signia is positioned as a more upscale, premium mid-size hybrid SUV.
- Size and space: The Crown Signia is larger than the Venza, measuring about 7.5 inches longer and 1 inch wider. It also offers about 6.5% more cargo space with the rear seats folded down.
- Performance: The Crown Signia has a slightly less fuel-efficient but more powerful hybrid system than the Venza.
- Positioning: While the Crown Signia is a successor to the Venza, it is considered a more luxurious and expensive vehicle, with some customers opting to buy a 2024 Venza before they were discontinued to avoid the higher price tag.
