I think that the S3 just doesn't look special enough to warrant the huge price tag.
When I was shopping around for a new car recently (prior to getting the Ed30.) the Audi salesman was giving me the spin that he had some real mental trade ins for S3s (boxsters etc), but if that was the case, I would have expected to ahve seen more new S3's on the roads by now, and I just havent.
Buying a GTI , S3 or similar you want a head turner... and for me the Ed30 wins that hands down.
I personally like the old S3 look a bit more than the new S3.
I've had 4 Audi's in recent years, mostly A3's of various descriptions, and they are quite understated in looks...
From my experience the build quality is no better than the VW's I've had in that timeframe either.
Pound for pound too, the A3 is way more expensive than the similar VW... for near enough the same car.
I've also come to the conclusion that I actually prefer FWD to 4WD. I've had a couple of 4WD cars in recent years, and none of them have lasted too long before I feel the urge to trade them and get a FWD again.