The £2 million campaign breaks on 3 February and follows on from the launch of the model last August.
Like the launch ad - which showed a group of islanders running to meet a consignment of new cars off a ferry - the new campaign focuses on promoting the car to 30- to 40-year-old men and women looking for a stylish but practical family car.
The spot shows two men, both of whom have seen better days, who are walking a dog and have spotted an old school friend in the street. He looks young, sprightly and well dressed, and is driving a Peugeot 307.
The two men remark on how "Billy" has not changed a bit, is still chasing women and fast cars and should grow up and get a mortgage and family.
They are then dumbstruck when his wife and two children appear.
Media planning and buying was handled by OMD UK, and the campaign will run for two months. The ads were written and art directed and directed by the Euro RSCG chairman, Mark Wnek, and art directed by Olly Caporn.
The Peugeot advertising director, Dean Drew, said: "Eighteen months after a very successful launch, we need to add more substance to the 307 range. We know that the 307 has all the Peugeot values of style and dynamism, and now is the time to add more rational family benefits to attract consumers."
Caporn added: "The premise of the ad is to show consumers how looks can be deceiving. The 307 is a family car in disguise."