I agree with Fox's comments. About a year ago I was ready to change my car from an E46 BMW coupe. Looking around at the BMW line up at the time I did not fancy the E90 saloon, the E92 coupe was a month from release but the dealers were not budging on pricing as they had waiting lists.
I then went to visit my local Audi garage, they were very friendly and came in with reasonable and realistic offers on both trade in value and the discount off the OTR price of the new car.
I had a test drive in both an A4 and A3 and in all honesty I actually preferred the look and feel of the A3, so I bought a 2 litre TDI SLine. Over the last year of ownership I cannot fault it, I can drive a couple of hundred miles and get out feeling refreshed and looking forward to the journey back. It looks fantastic and still gives me a smile when I see it on the driveway in the morning, running costs are not too bad and I don't seem to get as much road rage from other drivers as I did in the E46 coupe.
Only problem I have is now that I plan to get rid of it in August this year I am having trouble finding anything that ticks as many boxes for me. Sure it is not the fastest, nor the best handling but as a whole package it is very very good. At this point I am not sure if I will buy another A3, not because I don't want another it's just that I normally like to get something different each time (any suggestions for an alternative would be welcomed), If I did buy another I would definitely buy a petrol version.
Perhaps the S3 would tempt me.
But just to show that even non-S3's can look good heres a pic of mine..