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For sub-compacts, the choice is either a pure hybrid Lexus UX, or Mild-Hybrid Volvo XC40.
Coming from the Audi, the Volvo will feel more luxurious and spacious than the UX, but does have some larger rear blindspots and an iffy reputation for reliability. Infotainment will be hit or miss also depending on if she likes touchscreens and a lack of buttons.
The Lexus is nice, however is based on the Corolla hatch and it does show in some areas. While she does want smaller this may feel very cramped in comparison.
I would recommend staying in the compact (Q5-sized) class. I feel that most sub-compact Luxury SUV's lack in luxury. The Lexus NX is a great choice that has been fully refreshed and is available in Hybrid and Plug-in-Hybrid models, and has a much nicer interior. In this class, other options will be the XC60 also offered in mild-hybrid and a very expensive plug-in, and the new 2023 MB GLC 300 will be a mild-hybrid as well.
If she is willing to jump to electric, Audi also has a new Q4 SUV coming out very soon.
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Current Garage: 2022 Mercedes-Benz S 580 / 2023 Genesis GV70 2.5T / 2007 Mercedes-Benz E 350 / 1999 Mazda MX-5 Miata
Retired: '95 E36 325i 5MT / '04 E46 330i 6MT / '05 E83 X3 3.0i / '11 E90 335xi / '17 G30 540i / '19 F87 M2C 6MT / '19 MB CLS 53 / '20 MB GLC 300
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