It makes sense to view the new Volkswagen Golf Alltrack as a competitor to the Subaru Outback. First off, Alltrack rhymes with Outback. Second, just like pet owners who know how to hide medicine within a treat, both companies disguise the earnest practicality of a station wagon beneath an SUV veneer. And while the premium-feeling Alltrack brings driving enjoyment to this newfound rivalry, it might not impress on the price and size front.

From the outside, changes that metamorphose the Golf SportWagen into the Golf Alltrack are minor. Sport/utility wagons like this aim to attract outdoorsy owners, and the Alltrack follows the successful Outback recipe. Black body cladding on the bumpers, fender flares, and side sills provide a bit of added protection but mostly just makes the car appear more rugged. Added ground clearance is more for an optical illusion rather than to tackle off-road excursions. With 6.7 inches of ground clearance, the Alltrack is less than an inch higher than the rather low SportWagen. (The Subaru has a hefty 8.7 inches of clearance.) Standard roof rails help with hauling bikes or kayaks.

2017 Volkswagen Golf Alltrack front

Mechanicals are shared between both all-wheel-drive versions of the Golf wagon. The 1.8-liter, 170-hp turbocharged four-cylinder delivers plenty of pep. The Alltrack has standard 4Motion AWD, which becomes an option on the base SportWagen SE for 2017. VW's six-speed dual-clutch DSG transmission is paired with the 4Motion system; a six-speed manual transmission arrives later. (You can't get a stick shift Outback anymore.) Don't expect a TDI turbodiesel version; the EPA hasn't approved any VW diesel engines for 2017. (Read more about the VW diesel emissions scandal.)

To be honest, we hoped for little change from the great-driving SportWagen, and the Alltrack delivers, driving almost identically to its lower sibling. Spry, nimble handling makes the Alltrack a joy to pilot along twisty roads. Monotonous highway miles are eased by the quiet cabin, and the car feels planted, secure, and substantial at speed. The Alltrack has a slightly firmer ride than the regular SportWagen, but it remains comfortable and composed.

All of these qualities mostly reward the driver. The Alltrack is definitely sized for small families—it's not a beast of burden. Firm, supportive front seats are decent road-trip companions, but full 12-way power adjustments, including lumbar, come only on the top SEL trim, pushing the car into the mid-$30,000s. Adults can fit in the rear seat, but space there isn't exactly generous; same goes for the cargo hold. When it comes to pleasing passengers, the much more spacious Outback wins.

Safety equipment is hit or miss. Forward-collision warning (FCW) and automatic emergency braking (AEB) are included in the VW's optional Driver Assistance package, along with adaptive cruise control. While the SportWagen includes blind-spot monitoring in its $595 Driver Assistance package, oddly it's not available at all on the Alltrack. That's a big disappointment for a car that typically stickers for above $30,000.

2017 Volkswagen Golf Alltrack interior

Value is where the Outback most clearly beats the Alltrack. You simply get a lot more outdoorsy wagon for your money at the Subaru dealer. A 2017 Outback 2.5i Premium with the EyeSight package, including FCW and AEB, blind-spot monitoring, and a power liftgate, comes in at $30,595.

Meanwhile, the Golf Alltrack SE with the Driver Assistance package that we bought stickered for $32,515. That's pretty steep, given that our car lacks that Subaru's full power driver seat, automatic climate control, blind-spot monitoring, and power liftgate—all features that we expect for its price. (At least the VW gets standard Apple CarPlay and Android Auto, which the Subaru lacks.) No question, the VW feels more premium and fun to drive than the slower and more utilitarian Outback. But it's hard to ignore some skimping on gear.

Perhaps this is all academic. Most buyers will go for a small SUV over a wagon anyway. And why not? Most SUVs are roomier, and if you pick wisely (say, a Mazda CX-5), you don't sacrifice much of the Alltrack's driving verve. Ultimately, the Alltrack will remain a novelty, a European station wagon that makes a nod toward SUV fashion to win a few more sales. 

Volkswagen Alltrack rear