Honda has been around for 77 years, but can it compete in the modern age? Honda argues that the new CR-V offers a premium car and experience.
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Honda says it’s making a premium play with its new updated CR-V mid-sized SUV, but not in the way you might think.
While premium usually means high-end, Honda says the CR-V represents a different definition of the term, focusing on factors like customer experience and reliability.
Honda’s best-seller has just been treated to a mid-life update that includes more hybrid variants at lower prices, more tech, and all-wheel drive for its flagship RS.
The brand’s General Manager of Automotive, Nick Parkington, told Drive that the word premium for Honda means more than fancy features.
“[It’s the] overall package: the fit, the finish, the quality, the ownership experience, the way that we provide that positive customer experience through our whole network,” he said.
“We're really proud of that whole life cycle experience. The word premium, whether that gets attributed to Honda or not, is a reward that you get from your market for a long, consistent series of behaviours.
“And I think that the product (CR-V) stands on its own two feet. We want more people to experience that, to test drive and to fall in love with it. But the overall ownership aspect is a key element as well.”
After switching to the agency sales model in 2021, which introduced fixed pricing for its models rather than allowing customers to negotiate with dealers, sales dropped to a low of 13,734 in 2023.
Since then, the car maker has enjoyed back-to-back increases with 14,092 cars sold in 2024 and 15,383 in 2025.
Although still a far cry from its peak of 60,529 sales in 2007, Honda expects 2026 to see another increase, aiming for 10 per cent year-on-year growth thanks to updates to the CR-V and ZR-V.
According to the new President and CEO of Honda Australia, Jay Joseph, the company’s most valuable asset is customer trust.
“The most valuable asset that we have is the trust of our customers. Of course, the trust of our investors, trust of our partners, all of that as well, but the most important thing is the trust of our customers,” he told Drive.
“We’ve earned that over 77 years through the mechanical goodness of our internal combustion engines and the vehicles that we package around them.
“We're beginning to translate that into an electronic era, but we maintain, by maintaining that trust, the customers keep coming back and we're seeing that loyalty.
“We’ve got an unusual characteristic in Australia where we have a very high pass-along rate. You buy a Honda to use, but it stays in your family for a long time.
“That demonstrates a very high level of trust. You're putting your loved ones in this Honda because you trust this Honda to keep them safe.”
Joseph added that many brands, particularly new ones entering the Australian market, are now too focused on offering high-end features without spending time fine-tuning the calibration of safety features.
“[The CR-V] is a reliable, durable, high-quality vehicle. The tech is easy. Does it have a high appeal, very flashy, huge screen? Maybe not. And we're adding those kinds of tech features, but we don't focus on them.
“What we focus on is, does your phone connect when you get in the car, does the tech work for you, is it relevant for you?
The updated Honda CR-V is on sale now, starting at $44,900 drive-away for the base petrol VTi X. Prices are up across the range between $1400 and $4500.
There’s now just one seven-seat version, the VTi L, but four hybrid grades to choose from rather than just the top-spec RS, which itself now comes with all-wheel drive and a handful of premium features such as ventilated front seats, heated rear outboard seats, and a heated steering wheel.
Honda has brought the price of getting into a hybrid CR-V down by $10,000 to make it more competitive with rivals, including the new Toyota RAV4.
The new RAV4 line-up, as before, is hybrid-only, but with two new plug-in hybrid grades at the top. Prices start from $45,990 before on-roads.
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A born-and-bred newshound, Kathryn has worked her way up through the ranks reporting for, and later editing, two renowned UK regional newspapers and websites, before moving on to join the digital newsdesk of one of the world’s most popular newspapers – The Sun. More recently, she’s done a short stint in PR in the not-for-profit sector, and led the news team at Wheels Media.
