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Amazon starts selling cars online—Hyundai first in line

Amazon's strategy includes plans to expand the service further in 2025, with intentions to add more cities, manufacturers, and additional functionalities

byKerem Gülen
December 11, 2024
in News, Industry, Retail & Consumer

Amazon has entered the online car sales market with the launch of Amazon Autos, allowing customers in 48 U.S. cities to purchase new Hyundai vehicles from local dealerships. The service officially debuted on December 10, 2024, marking a significant expansion for the e-commerce giant.

Amazon launches online car sales with Hyundai partnership

Amazon’s new platform enables shoppers to search for vehicles based on model, trim, color, and features. Customers can complete transactions online, including securing financing and electronically signing paperwork. Once payment is finalized, buyers can select a convenient time for vehicle pickup from the dealership. The local Hyundai dealership acts as the seller of record, and Amazon Autos will also facilitate trade-ins for customers.

The move comes more than a year after Amazon announced its intention to start selling cars online. The initial market focus will be on new vehicles, which sets Amazon apart from existing competitors like AutoTrader, Carvana, and CarMax, who primarily deal in used cars. Notably, Amazon has promised transparent pricing with no negotiation required; the displayed price encompasses all taxes and fees.

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Amazon’s strategy includes plans to expand the service further in 2025, with intentions to add more cities, manufacturers, and additional functionalities. While the online car sales landscape is crowded, Amazon leverages its extensive customer base and e-commerce infrastructure, which may provide a competitive advantage. The company aims to alleviate the traditionally cumbersome car-buying process, emphasizing convenience.

Kirsten Korosec, a notable transportation journalist, highlighted Amazon’s potential impact in the vehicle sales sector, stating that the key to success will rely on the company’s ability to streamline the purchase experience. With investigations ongoing into consumer responses and the broader implications for both the automotive market and Amazon’s expansion strategy, the developments are still unfolding.


Featured image credit: Hyundai Motor Group/Unsplash

Tags: amazon

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