On Tuesday, Amazon launched its new e-commerce platform, Amazon Autos, enabling customers to search for, order, and purchase new cars, trucks, and SUVs online, as reported by TechCrunch.
Initially, Amazon is collaborating with Hyundai to roll out this service in 48 cities across the United States, including Atlanta, Boston, Chicago, Los Angeles, and New York. This platform was launched more than a year after Amazon announced plans to enter the automotive sales market in the second half of 2024. The company has stated that more cities and automakers will join the platform in 2025.
Amazon Autos will function similarly to its other e-commerce platforms, allowing customers to search for vehicles by model, trim, color, and features from participating dealers. Additionally, customers can access financing options and electronically sign documents online. Once the payment is complete, customers can schedule a pickup from the dealership.
Local dealers, currently limited to Hyundai dealers, will act as sellers on the platform. Amazon Autos will also manage trade-in processes.
This initiative marks a new direction in the new car sales market, which is traditionally dominated by platforms specializing in used vehicles, such as Autotrader, Carvana, and CarMax. Amazon Autos will focus exclusively on new car sales. Next year, the platform plans to introduce leasing and enhanced financing options.
Amazon has emphasized its commitment to ensuring transparent pricing for customers through local dealers. It stated that there will be no need for negotiation, as the price displayed at checkout will include all taxes and fees and serve as the final price.
This move is expected to appeal to automakers like Hyundai and gain popularity among customers due to its transparent pricing system.
