The following review is for a 2013 Model Year. There may be minor changes to current model you are looking at.

Urban commuter is small outside, roomy inside.

Introduction

The Scion iQ is a pint-sized microcar perfect for city dwellers seeking easy maneuverability and admirable fuel economy. Unlike other tiny subcompacts, the iQ seats four (or at least three people comfortably). 

Although one would expect cars in this segment to be hopelessly cheap-looking, the Scion iQ does a decent job striking a balance between quality and economy. Bold exterior styling, consistent with the Scion brand, helps to fend off any would-be bullies. But let's be clear, you're not going to look macho driving down the road in a Scion iQ. But at least it won't look like you're piloting a rollerskate, either. 

The iQ was all-new for 2012, so changes for 2013 are minor. The standard Pioneer audio system now has six speakers instead of four. A new BeSpoke premium audio system with 5.8-inch LCD display is also available. 

Powering the Scion iQ is a 1.3-liter, four-cylinder engine that makes a modest 94 horsepower and 89 pound-feet of torque. A Continuously Variable Transmission (CVT) kills some of the fun but, on the upside, helps to achieve an estimated 36/37 mpg city/highway, which beats both the Smart Fortwo and the Fiat 500 with the automatic transmission. 

Sure, the car is tiny, but it doesn't feel that way inside. Several features enable the iQ to stay small without forcing occupants to feel like sardines. It's proportionately wider than other cars, allowing not only more space, but a greater sense of confidence on the road. In the cabin, that means an offset passenger seat along with thinner seat backs to give rear passengers more space. Under the hood, it's smaller, more compact components such as the front-mounted differential and air conditioning unit, as well as a high-mount steering rack with electronic power-steering. Underneath, a flat gas tank beneath the floor reduces rear overhang. 

The 2013 Scion iQ's closest competitors appear to be the Smart ForTwo hatchback and the Fiat 500. Dimensions-wise, the iQ sits in between the two (20 inches shorter than the Fiat, but 14 inches longer than the Smart). The iQ could even be considered an alternative to the Mini Cooper. And while the iQ's base price seems fair at around $16k compared to the latter, that's not a lot of car for the money. Springing for upgraded audio, suspension enhancements and other options can skyrocket the iQ's sticker price to nearly $20k. So unless you live in a congested area and are specifically looking for a diminutive footprint to ease urban parking woes, you might get more bang for your buck with slightly larger vehicles such as the Mazda2, Hyundai Accent, Ford Fiesta, Kia Rio or Honda Fit. 

Scion iQ is powered by a 1.3-liter, four-cylinder engine that makes 94 horsepower and 89 pound-feet of torque. It's paired with a Continuously Variable Transmission (CVT) and gets an EPA-estimated 36/37 mpg City/Highway. 

Lineup

The 2013 Scion iQ ($15,495) comes in one trim level. Standard features include air conditioning, cloth upholstery, power door locks, windows and outside mirrors, a leather-wrapped tilt steering wheel with audio controls, 50/50 split folding rear seats, trip computer, Bluetooth handsfree phone system and a six-speaker, Pioneer audio system with HD radio, single MP3/WMA CD player, USB and auxiliary audio ports. Steel 16-inch wheels are standard with a choice between two plastic wheel cover designs. 

Options include Blizzard Pearl paint ($395), a rear spoiler ($285) 16-inch alloy wheels ($749), wheel locks, fog lights, body side moldings, mudguards, a rear spoiler and paint protection film. Performance options include Toyota Racing Development (TRD) lowering springs ($399), sway bar set ($345) and shift knob ($80). Interior accessories include floor mats, cargo mat, cargo net and a seven-color interior light kit. 

An upgraded BeSpoke premium audio system is also available ($845), with a 5.8-inch LCD color touch-screen display and a variety of apps, like Pandora live audio streaming, Twitter, Yelp and traffic information. It's important to note that at the time of this writing, BeSpoke is currently only compatible with iPhone 4 and 4S, not iPhone 5. 

Safety features standard on the 2013 Scion iQ include 11 airbags (driver- and front-passenger airbags; driver- and front-passenger seat-mounted side airbags; side curtain airbags; driver- and front-passenger knee airbags; driver- and front-passenger seat-cushion airbags; and a rear-window airbag), antilock brakes (ABS), electronic brake-force distribution, brake assist, traction control, electronic stability control, and brake-override. 

Walkaround

Aggressive-looking for its size, the iQ's styling elicits more respect on the road than a Smart ForTwo hatchback, but lacks the panache of the retro-inspired Fiat 500 or Mini Cooper. The Scion brand skews heavily male, so it's no surprise the iQ's creators favored strong lines and geometric angles over bubbly cuteness. 

To make the iQ seem less diminutive, Scion designers took a chance by straying from typical vehicle proportions. Although only 10 feet long, the iQ is unusually wide for a car in its segment. 

Interior

One of the biggest challenges in creating the smallest vehicles is designing a cabin spacious enough to accommodate taller drivers without inducing claustrophobia attacks on passengers. But the Scion iQ achieves this with relative ease. The cabin feels surprisingly airy, and Scion tells us the space between the front seats is larger than that of Toyota's Yaris or Corolla models. The front passenger seat is offset with a track that sits farther forward to give the passenger behind better legroom. Scion also ditched a proper glove compartment for a plastic box underneath the passenger seat that slides in and out, albeit flimsily. 

Thinner seatbacks eek out a little extra legroom, but they're comfortable enough that you won't miss the extra padding. Rear seats split and fold down 50/50 and offer enough space for a couple of large suitcases. 

Total cargo room is rated at 16.7 cubic feet with the rear seats flat. 

The instrument cluster, like other Scions, is simple and attractive, with a pleasing and easy-to-read blue lighting scheme. The flat-bottomed steering wheel is substantial and feels good in hand. We liked the wheel-mounted audio controls, but wish there were also a button to access to the Bluetooth hands-free phone feature. 

Climate controls consist of three large, vertically placed knobs on the center stack that are easy to see and reach. Audio controls vary depending on what system you choose. On base and premium versions, controls are adequate and are easy to use once you get the hang of what everything does. On systems equipped with the optional navigation, buttons are integrated into the touchscreen display. 

Sound quality from the Pioneer audio system is fair, but, since Scion customers tend to be big on customization, we expect music aficionados will roll with aftermarket speakers anyway. An upgraded BeSpoke premium audio system is also available, with a 5.8-inch LCD color touch-screen display and a variety of apps, like Pandora live audio streaming, Twitter, Yelp and traffic information. It's important to note that at the time of this writing, BeSpoke is currently only compatible with iPhone 4 and 4S, not iPhone 5. 

Driving Impression

We drove a Scion iQ equipped with navigation, the premium audio system, and TRD suspension elements. The comparatively wider track kept the iQ feeling stable, even at freeway speeds. Acceleration is steady and smooth with the1.3-liter, four-cylinder engine, and had just enough oomph to make it up steep hills laden with two svelte adults. We expect a full load would give the 94-hp car a strenuous workout. 

Sharp steering and a tiny turning circle of only 13 feet make for some snappy maneuvers in parking lots and through city streets. We nearly lost our lunch circling a roundabout in our iQ in what turned out to be just a few too many times. 

Our biggest complaint about the Scion iQ is the continuously variable transmission (CVT). While good for fuel economy and not as gutless as some incarnations, it robbed the iQ of its potential pep. We'd love to see a manual option in the U.S. in hopes the iQ could emulate any of the famous go-kart handling found in the Mini Cooper. Still, the CVT in the iQ is miles ahead of the angst-inducing sequential gearbox found on the Smart ForTwo, which with every shift simulates the movement of whiplash in uber-slow-motion. 

The TRD springs and sway bar on our Scion iQ made the car feel a little more sporty and hunkered down compared to the base model. MacPherson struts up front and a compact torsion beam suspension kept the ride relatively smooth and controlled, but it was rough riding over railroad tracks. 

Ventilated disc brakes in front and drums in rear stopped the car without any drama. 

Summary

If you're looking for a tiny city car that won't get you beat up or laughed at, the Scion iQ is one of the better choices out there. Still, it's wise to consider larger choices for the money as long as size doesn't matter. 

Laura Burstein filed this NewCarTestDrive.com report from San Francisco. 

Model Lineup

Scion iQ ($15,495). 

Assembled In

Toyota City, Japan. 

Options As Tested

BeSpoke premium audio system ($845), TRD lowering springs ($399), TRD sway bar ($345), TRD shift knob ($80).