Big deal! Is Amazon going to start selling cars in the US?

Big deal! Is Amazon going to start selling cars in the US?

Starting next year, consumers in the United States will be able to browse and buy vehicles sold by car dealers on Amazon , according to an announcement from the company.

 

Amazon's head said the move was aimed at " promoting the convenience of buying cars online for consumers ."

 

The company said that initially only Hyundai- branded cars will be sold on the platform .

 


Online car sales still only account for a small part of the auto market, and some industry insiders believe that consumers will avoid buying such large products online. However, with the surge in online car sales since the outbreak, this view seems to be a little untenable.

 

“There’s definitely a segment of the population , and I think it’s growing, that has a lot of trust in Amazon and other online retailers, and they might prefer not to have to interact with a salesperson when they’re buying a car,” said Alan Heger, president of Florida-based Heger Partners.

 

It is understood that Haig Partners is a Florida-based company that specializes in providing consulting services to car dealers.

 

Since its beginnings as an online bookseller in 1994, Amazon has moved aggressively into other areas such as cloud computing, finance and health care services.

 

A few years ago, it teamed up with Hyundai to launch an "online showroom" where people could browse cars. Until now, sales have been made at dealers outside the site.

 

The president of Hyundai Motor Company said that the cooperation with Amazon will help the company expand its sales network and will provide significant assistance to its future intelligent transformation.

 

It is reported that Amazon's virtual assistant Alexa will be integrated into Hyundai's new cars starting in 2025. In addition, Hyundai has signed a multi-year Amazon cloud service agreement.

 

Amazon did not provide information on how many dealers had agreed to participate or how the relationships with dealers would be structured, however. The company said it expects vehicle sales to begin in the second half of 2024.

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