SUVs have taken over Europe’s roads, but despite their dominance, cars are still holding strong. Once considered a uniquely American preference, high-riding, oversized vehicles are now the preferred choice for many European consumers. The SUV segment has grown from holding a 41.3% market share in 2020 to a staggering 59.2% in 2025, according to market research by Dataforce.
SUVs Lead, But Cars Are Still Winning
Volkswagen is a leader in the SUV market with models like the T-Roc and Tiguan. The T-Roc, for instance, increased by 4.5% in 2025, reaching 196,123 units sold. Meanwhile, the Tiguan saw a slight 1% increase to 180,562 units. However, despite the rise of SUVs, cars are still thriving in Europe. In fact, the Dacia Sandero remains the top-selling vehicle in Europe, with 225,862 units sold, despite a drop of 8.7% in 2025.
The Renault Clio and the Enduring Appeal of Hatchbacks
The Renault Clio, a direct competitor to the Sandero, ranked second on the best-seller list with 206,583 units sold, showing a 5.2% increase compared to 2024. The Clio is expected to continue performing well, especially with the launch of its next-generation model in 2026. However, the hatchback segment is in decline, now accounting for just 23.9% of the market, down from 35% in 2020. This shift highlights how much the crossover and SUV segments have taken over the market.
Impact of SUVs on Other Vehicle Types
While SUVs continue to dominate, other vehicle types, such as sedans and wagons, have seen a decrease in popularity. Sedans, for example, represented 4.7% of the market in 2020, but their share has fallen to just 3.5% in 2025. Similarly, wagons have experienced a market share drop from 10.2% to 7.1% over the past five years.
Crossover or Hatchback? The SUV Label Expands
It’s important to note that not all vehicles marketed as SUVs are truly distinct from hatchbacks. Models like the Toyota Yaris Cross and Peugeot 2008 are essentially hatchbacks with raised suspensions. Marketing teams have done an excellent job of branding these vehicles as crossovers, despite their similarities to the more affordable hatchback versions. This blurring of lines has played a significant role in the popularity of crossovers in Europe.
Pricing: The Key to Car and SUV Sales in Europe
Despite the SUV craze, pricing remains a dominant factor in vehicle sales. The Dacia Sandero and Renault Clio continue to perform well due to their affordability. Other cars like the Peugeot 208, Opel Corsa, Toyota Yaris, Citroën C3, and Skoda Octavia also made it into the top 20 best-sellers in Europe for 2025, showcasing that consumers still value affordable, practical options.