Styling updates for the 2012 model are limited, with the introduction of a new grille and new badges.
Engine power has been boosted by 20kW and the price tag has dropped from $39,990 to $37,990.
Powering the model update is a revised version of the 2.0-litre turbo-diesel four-cylinder engine, now producing 120kW of power and 340Nm of torque - up from 270Nm. With the power increase comes improved acceleration, 0-100km/h is now achievable in 10.6 seconds - 1.9 second quicker than the old model.
Despite the increase in power and improved acceleration, the C4 Picasso's combined cycle fuel consumption has dropped from 7.4 litres per 100km to 6.8L/100km. The emissions rating has also been improved thanks to a cleaner-running engine to meet new Euro 5 standards. It now emits 177 grams of CO2 per kilometre.
The 2012 Picasso comes with three rows of seats, with recesses in the floor of the third-row area for comfortable legroom. Boot space is 576 litres in five-seat configuration, or 1951 litres with the second row folded down.
Safety-wise, the Picasso comes with electronic stability control, ABS and traction control, and has been awarded the maximum five-star Euro NCAP safety rating.