Amazon Autos Takes On Car Dealerships With A New Way To Buy Cars Online
Amazon (NASDAQ: AMZN) launched Amazon Autos on Tuesday, an e-commerce platform allowing customers to browse, purchase, and finance new vehicles entirely online. Initially partnering with Hyundai, the platform is available in 48 major U.S. cities, including Atlanta, Chicago, Los Angeles, New York, and Boston, with plans to expand both geographically and in manufacturer partnerships in 2025.
The platform allows buyers to search for vehicles by model, trim, color, and features, mirroring Amazon’s familiar search functionality. Customers can secure financing, e-sign paperwork, and schedule a pickup time at the dealership, all through the Amazon Autos site. The service also accommodates trade-ins, with valuations provided by an independent service.
Unlike most players in the crowded online car sales market, such as AutoTrader, Carvana, and CarMax, Amazon Autos exclusively focuses on new cars. The company aims to provide a no-haggle experience, with pricing inclusive of taxes and fees clearly displayed at checkout.
“With Amazon Autos, we’re bringing the simplicity and ease customers expect from Amazon to car shopping, one of their largest purchases, while offering dealers a new channel to connect with a broad audience,” said Fan Jin, Global Head of Amazon Autos.
Hyundai is the first automaker to join the platform, a strategic partnership that reflects the brand’s forward-thinking approach to digital retail. “Amazon is the ideal partner to help realize our vision of progress for humanity, including improving how people and goods move more efficiently and sustainably,” said Jaehoon Chang, President and CEO of Hyundai Motor Company.
By leveraging Amazon’s massive reach, Hyundai hopes to attract a tech-savvy audience that values convenience and transparency. Hyundai vehicles have consistently performed well in customer satisfaction surveys, making them an appealing launch partner for Amazon.
Amazon’s entry into the automotive market has been years in the making. The company announced its intent to sell vehicles online in mid-2023, and the launch of Amazon Autos marks the realization of that vision. In 2025, Amazon plans to expand its offerings to include additional automakers and new features like leasing and enhanced financing options.
As an incentive, Amazon is offering a $2,300 gift card for purchases made through the site by January 10, 2025.
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