RETRO styling might have been a recipe for disaster for Jaguar - just look at how the firm's fortunes have been turned around since it ditched its old fashioned image - but for others it has been an undisputed formula for success.

The success stories that stand out are the MINI and the Fiat 500 -Volkswagen's reinvention of the Beetle hasn't quite captured the imagination in the same way.

Importantly both fuse the old and the new in a highly innovative and inspiring way, so although both take traditional design lines as a cue they also manage to be thoroughly contemporary creations in pretty much every respect.

For Fiat the 500 is part of a rebirth in recent years where the company has reaped the rewards of doing what it does best - making stylish and sporty small cars.

The 500 is probably its greatest success story of late, delivering a car that both captures the imagination and ticks every box demanded in a fun and funky small car.

Some billed the 500 as Fiat's answer to the MINI but in reality the two compete in different marketplaces, with the little Fiat costing significantly less.

Unlike the MINI it has also kept to a fairly simple formula with just standard and convertible versions, rather than a whole new family of spin-off cars.

The 500 convertible isn't a drop-top in the true sense of the word, with the pillars and window frames remaining in place when the electrically-operated canvas roof folds back. It can also be partially folded in the same way as a sun roof.

Nonetheless it captures all the fun of open-air motoring and also ensures it copes well driving at high speed with the roof down.

Even on the motorway with the roof folded down fully it felt comfortable, though I did get a little caught out when it started to rain and wasn't able to put it up again until I could slow down to a relative snail's pace. Having said that it can be operated at speeds of up to 37mph.

The 500 continues to be popular but the derivative that's undoubtedly all the rage at the moment is the TwinAir, which uses a comparatively tiny engine and therefore produces ridiculously low emissions.

Its 875cc engine is a curious beast in that it sounds a lot beefier and throaty than one might imagine.

If worked hard it also offers surprisingly good performance, though you will need to rev it hard to get the most out of it.

Therein lies a slight conundrum, in that if you do decide to drive it hard fuel economy decreases significantly, to the point where it kind of departs from small car territory.

However, it remains a fun car to drive. The 500 might not be as sharp or focused as the MINI but it still offers a decent and engaging drive.

The experience is enhanced by a smooth and short-shifting gearbox and well-weighted and adaptable steering which feels very grown-up and suitably stiff when travelling swiftly, yet is light and ensures the car is easily manoeuvrable at lower speeds.

Another eye-catching and commendable feature of the 500 is a range of instantly noticeable and intensely likeable paintwork colours. The deep rich red of my test car was certainly endearing.

But the best thing by far about the 500 and the convertible in particular is its cool chic and individual character, which manages to capture the spirit and charm of the original but also ensures it will in all likelihood stand out as one of the style icons of the 21 century too.