What Is The Audi A2 And Why Did It Flop?

Audi's concept electric car, the A2, was ahead of its time in almost every regard. So why was it such a flop when it made its way to consumers?

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Audi called the A2 "a peek into the future of electric mobility" in a press release ahead of its reveal, but it now seems like most cars are going in way different directions. Still, many car enthusiasts called the Audi A2 ahead of its time, for which it was both praised by reviewers and overlooked by consumers. From 1999 to 2005, only 172,000 units were sold.

But why? The Audi A2 debuted as a concept car at the Frankfurt Motor Show in 1997. It was a round, tall hatchback with an aluminum frame, a ton of interior room, and incredible fuel efficiency. While it may look like an unsuspecting, cute car, it actually was quite revolutionary.



First, it was produced at Audi's aluminum-focused Neckarsulum plant in Germany, one of the first cars to be largely aluminum in the car market. Second, it was the first car to be launched with an eco-mode. When combined with its low drag co-efficiency (it has more wind resistance than most cars being built today) and lack of air conditioning, the A2 had an incredible 46 miles per gallon, making it one of the most efficient cars ever made .

With so many revolutionary design elements, efficiency, and legroom, why wasn't the Audi A2 a massive hit in the early 2000s? The Audi A2 wasn't a bad car; it just wasn't right for that moment. Consumers just weren't in the market for a strange supermini – especially once they heard the cost. The Audi A2 was being sold for about $16,700 in 2001.

While not crazy high, it was not an appealing price for a car focused more on efficiency and comfort over style. Around that time, people weren't looking to fork over a big stack of cash for a car just because it was aerodynamic and practical . The nearly $17,000 price tag could get families a much more stylish and status-focused car like the BMW 3-Series Compact.

But that's the thing — the Audi A2 didn't just cost more to purchase than the BMW, but it also cost Audi more money to make. Audi was said to be losing about $5,000 on every A2 due to its expensive production and lack of sales. It wasn't selling anywhere close to what Audi had predicted.

This forced Audi's hands after just six years of production, unable to justify the unique but floundering model any longer. So, it's not to say that the Audi A2 was a failed design, but it just wasn't the right design to meet consumer's needs at the time..