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Why was the Toyota iQ discontinued?

The Toyota iQ, a compact city car produced by Toyota from 2008 to 2014, was discontinued due to poor sales and a lack of consumer demand. Despite its innovative design and features, the iQ failed to gain significant traction in the market, leading Toyota to ultimately discontinue the model.


The Rise and Fall of the Toyota iQ


The Toyota iQ was introduced in 2008 as a response to the growing demand for small, fuel-efficient vehicles, particularly in urban areas. The car was designed to be a compact, maneuverable, and environmentally-friendly option for city dwellers. It featured a unique, space-saving design that allowed it to be one of the smallest four-seater cars on the market.


Despite its innovative features, the iQ struggled to find a significant customer base. Several factors contributed to its lack of success:



  • Limited Practicality: While the iQ's small size was an advantage in tight urban environments, it also limited its practicality for many consumers. The car's limited cargo space and seating capacity made it less appealing for families or those with larger transportation needs.

  • High Pricing: The iQ was priced higher than many of its competitors, making it less accessible to the target market of urban commuters.

  • Lack of Demand: The global financial crisis of 2008-2009 and the subsequent economic downturn dampened consumer demand for small, niche vehicles like the iQ. Consumers were more focused on practicality and value, which the iQ struggled to provide.


As a result of these factors, the Toyota iQ failed to gain significant market share, and Toyota ultimately decided to discontinue the model in 2014 after six years of production.


Lessons Learned and the Future of Compact Cars


The discontinuation of the Toyota iQ serves as a cautionary tale for automakers attempting to introduce innovative, niche vehicles in a highly competitive market. While the iQ's design was impressive, it ultimately failed to resonate with a broad enough customer base to justify its continued production.


The experience with the iQ has also highlighted the challenges faced by compact car manufacturers in the modern automotive landscape. As consumer preferences shift towards larger, more versatile vehicles, the market for small, city-focused cars has become increasingly challenging. However, with the growing emphasis on sustainability and urban mobility, there may be opportunities for automakers to develop new, more successful compact car models in the future.

Why was the Scion iQ discontinued?


The main issues which had a negative impact on the iQ included its size, its more spacious competition, its more spacious and more affordable competition, and perhaps even the logo above its front grille. “Physics are physics,” Scion's Doug Murtha said, “and they're nervous about driving a vehicle that size.”



How many miles can a Toyota IQ last?


What is Toyota Iq lifespan? The estimated lifespan of a Toyota Iq is 148,000 miles, before reaching the life expectancy upper limit. Factors such as ULEZ compliance and BHP are major when looking into a vehicle's lifespan/life expectancy.



How many miles can a Toyota iQ do?


But we are interested to find out how far the iQ can go on a tank: we're aiming to average more than the car's official 65.7mpg, giving us a range of more than 460 miles.



Why did Toyota stop making scions?


Discontinuation. On February 3, 2016, Toyota announced that the Scion brand would be phased out in August after the 2016 model year, stating that the company no longer required a specific marque to target younger demographics.



Is a Toyota iQ reliable?


Toyota has an excellent reputation for reliability, though there are a few things to look out for with the IQ. The first concerns the gearbox, which can be hard to change gear, especially between second and third gear. If on your test drive it's hard to change gear, we'd recommend looking elsewhere.



What happened to the Toyota iQ?


Scion iQ. In the United States and Canada, the iQ was marketed under Toyota's Scion brand, then Toyota's North American small car brand. The car was introduced in 2012 and discontinued with its Toyota counterpart in 2015.



Is Toyota IQ bigger than smart?


Results: Toyota iQ vs Smart ForTwo
Imagine a Smart ForTwo with room for an extra person, strong refinement and a decent manual box... That sums up the iQ. It's pricier and larger than its rival, but has much broader talents. If size is everything, the Smart is the ultimate choice – but it demands compromises.



Is Toyota iQ bigger than smart?


Results: Toyota iQ vs Smart ForTwo
Imagine a Smart ForTwo with room for an extra person, strong refinement and a decent manual box... That sums up the iQ. It's pricier and larger than its rival, but has much broader talents. If size is everything, the Smart is the ultimate choice – but it demands compromises.



Why did Toyota discontinue the iQ?


UK sales of the Toyota iQ stopped in 2014. Unfavourable exchange rates between Europe and Japan hampered sales, and alterations needed to meet upcoming EU emissions regulations would have further increased the model's price. The model went out of production for other markets in 2015.



What is the life expectancy of a Scion iQ?


According to theautopian.com, the typical lifespan of the Scion iQ is around 200,000 miles. Some items are out of your control in longevity, but many you can take control of to improve this lifespan.


Kevin's Auto

Kevin Bennett

Company Owner

Kevin Bennet is the founder and owner of Kevin's Autos, a leading automotive service provider in Australia. With a deep commitment to customer satisfaction and years of industry expertise, Kevin uses his blog to answer the most common questions posed by his customers. From maintenance tips to troubleshooting advice, Kevin's articles are designed to empower drivers with the knowledge they need to keep their vehicles running smoothly and safely.