Can Kia Pick Prius' Lock on Hybrid Market?

Kia Motors Corp. thinks it can succeed where others have failed.

With the Niro, its first built-from-scratch hybrid, the Korean automaker hopes to replicate the formula that turned the chunky Soul hatchback into America's best-selling subcompact car: distinctive trucklike looks and the promise of utility. The hybrid, unveiled this week at the Chicago Auto Show, promises 4.7 L/100km in combined city and highway driving -- just shy of the Prius' benchmark of 4.7 L/100km.

The most important success factor for the Niro is a "design that doesn't shout "hybrid,'" said Orth Hedrick, vice president of product planning at Kia Motors America. By delivering hybrid fuel economy in a crossover body, he said, "the Niro offers a uniquely alluring yet practical package that consumers haven't seen before."

Indeed, few automakers offer hybrid crossovers, as the vehicles' high-riding posture makes it difficult to deliver the fuel economy gains customers expect. If the Niro gets the promised 4.7 L/100km, it would handily beat the hybrid crossovers on the market today, including the Toyota RAV4 Hybrid (7.1 L/100km) and Subaru XV Crosstrek Hybrid (7.6 L/100km).

Kia plans to disclose Niro pricing closer to the vehicle's arrival in U.S. dealerships in early 2017.

Built on a dedicated green-car platform shared with Hyundai, the Niro has the same wheelbase as the Prius, 106.3 inches, though Kia's hybrid is 1.6 inches wider and 7.2 inches shorter. Powered by a 1.6-liter Atkinson-cycle gasoline engine paired with an electric motor, the Niro delivers 146 hp, compared with 121 hp for the Prius.

Power is a sore spot for Toyota, which has tried to mend a reputation for stodgy design and sluggish acceleration since it introduced the fourth-generation Prius. Toyota's Super Bowl ad this month depicted bank robbers in a bright red Prius leading police on a long-distance chase.

It was a sharp departure for Toyota, which had spotlighted the Prius' environmental credentials, but needed a new message in an era of low gasoline prices and proliferating green-car choices.

Last week, Kia also introduced hybrid and plug-in hybrid variants of the Optima midsize sedan, which was redesigned in 2015.

The plug-in hybrid Optima, powered by a 2.0-liter four-cylinder gasoline engine paired with a 50-kilowatt electric motor, has a total output of 154 hp. The hybrid, pairing the same engine with a 38-kilowatt electric motor, has a total output of 193 hp.

Kia didn't release fuel economy numbers for the hybrid and plug-in hybrid variants, but the Hyundai Sonata Hybrid, which shares the same powertrain, promises 40 mpg city/44 highway. The Sonata Plug-in Hybrid promises 5.9 L/100km combined and 2.4 L/100km-e when running on electricity.