June 30, 2006
 
ON THE ROAD: Versatile Versa Joins Small-Car Showdown
 
By Richard Williamson
Scripps Howard News Service
 

Nissan is rolling out the 2007 Versa hatchback with prices between at $12,450. and $15,450. dollars. (SHNS photo provided by Nissan) Click to Enlarge

The world is growing smaller every day, especially the automotive world. With DaimlerChrysler's decision this week to introduce its teensy Smart car to the U.S. market in 2008, its safe to say that automakers expect high fuel prices to keep driving buyers toward greater efficiency.
 
DaimlerChrysler (known to investors as DCX) has a running start on microeconomical transit thanks to Europe's high gas prices and tough environmental laws. While the continent demanded a "city car" sized for a tight parking spot in Paris or Rome, American buyers are likely to buy the Smart for its novelty as much as its frugality. The success of the Mini Cooper from parent BMW provides a template.
 
Although the Smart unit has failed to profit since its creation in 1998, the technological leadership has a halo effect on the DCX brand.
 
As DCX delves deeper into zero-emissions fuel-cell power, the Smart could provide a platform for the new technology when it arrives. The fact that prototype fuel-cell cars are already on the road goes a long way toward assuaging despair over current fuel prices.
 
Meanwhile, the Japanese pioneers are again building benchmarks in on a small scale using traditional gas engines.
 
In response to the recent arrival of Toyota's Yaris and Honda's Fit, Nissan is rolling out its 2007 Versa hatchback.
 
Prices on the Versa begin at $12,450 for the 1.8 S with a standard 122-horsepower 1.8-liter double overhead cam 4-cylinder engine and 6-speed manual transmission. Adding a four-speed automatic transmission drives the price to $13,250.
 
At the higher trim level, the Versa 1.8 SL with six-speed stick carries a base price of $14,450 while the SL with Xtronic CVT (Continuously Variable Transmission), which is priced at $15,450.
 
A sedan version of the Versa is coming out this fall.
 
With the Yaris priced at $12,500, the Nissan comes in $50 lower, just enough to let marketers claim price leadership. The Fit is pricier at $13,850 for the base model and $15,170 for the Sport version, but Honda provides a nice roster of standard equipment such as anti-lock brakes, side-curtain air bags, power windows, mirrors and locks, air conditioning, and AM/FM/CD sound system.
 
The base model Versa comes with AM/FM/CD audio system, 60/40 split fold-down rear seatbacks, front air bags and front seat side-impact and side-curtain supplemental air bags.
 
Versa SL models include standard 15-inch aluminum-alloy wheels, in-dash, six-CD autochanger with mp3 playback, auxiliary input jack, remote keyless entry, cruise control with steering wheel controls and soft-touch interior accents. Options include Intelligent Key keyless entry/ignition system, Bluetooth Hands-Free Phone System, power sunroof and satellite radio.
 
The name Versa comes from the concept of "versatile space," which has become the special province of economy cars. Versa, manufactured at Nissan's assembly plant in Aguascalientes, Mexico, is called Tiida in Mexico, Japan, China and other markets where the car is sold. Nissan says the design, specifications and equipment offerings are customized for each major market.
 
Still to come from Nissan this fall is the remodeled 2007 Sentra, which is built alongside the Versa in Aguascalientes. The more upscale Sentra and the entry-level Versa will give Nissan two models in the under-$20,000 segment, which accounts for nearly 2 million sales in North America each year.
 
"The Versa hatchback and sedan are slotted below Sentra in price, but not execution," said Jed Connelly, senior vice president, sales and marketing, NNA. "They are 'entry-level' in their affordability, but they make no excuses -- zero -- in terms of quality, design, performance, safety, technology and, especially, roominess."
 
With its rather long 102.4-inch wheelbase, the Versa is designed to provide a roomier interior than you might expect in a subcompact.
 
"Typically in a small car, the driver and front seat passenger have to pull their seats forward just to make minimal leg room for the rear passengers - which means nobody, front or rear, enjoys the ride," Connelly said. "With Versa, there's room in front and room in back at the same time."
 
Funny thing is, it's not hard to imagine someone buying the Versa this year and trading it in for a more fuel efficient car in 2008. With prices targeted at $15,000, the Smart "fourtwo" model can cover up to 69 miles on a gallon of gas.
 
Richard Williamson writes about automobiles for Scripps Howard News Service.