THE soaring popularity of the Crossover - a mix of SUV and hatchback vehicle - and utility vehicles has spawned an amazing boom in all-wheel drive.

The VW Group, propelled by its 4Motion and quattro models, is expected to outpace competition from BMW and Mercedes-Benz in the premium segment.

Analysis from vehicle market analysts Frost & Sullivan finds that the market was worth €3.83 billion in 2014 and expects this to touch €5.91 billion in 2021.

In Europe, Russians have the highest affinity towards AWD technologies, with 8.9 per cent of customers willing to spend more than €3000 on full time 4WD systems, which is much higher than what German, British and French drivers are willing to spend.

The number of vehicles with AWD technology in the so-called B and C hatchback segments - cars like the Suzuki Vitara and Fiat Panda 4x4 - is expected to double to more than two million by 2021, as customers prefer vehicles that aid better handling, especially in adverse weather conditions. However, being price-sensitive segments, they also demand that the vehicle be fuel efficient.

The majority of AWD vehicles have electronically controlled systems such as automatic AWD that provides the optimum balance between fuel consumption and performance. And the case for such technology is aided by considerable progress made by manufacturers in the fully electronic AWD segment aimed at further reducing fuel consumption.

Driveline downsizing and disconnect driveline systems offer better fuel efficiency than conventional AWD systems will give a boost to AWD technology.

Electric AWD (eAWD) is another technology that will gain traction due to its potential to improve fuel economy by 30 percent and support car makers in complying with increasingly stringent emission regulations.

The new eAWDs incorporate four-wheel-drive technology without reducing engine efficiency, while simultaneously achieving optimum lightweight requirements.