Dive Brief:
- Customers can now add new Hyundai Motor Co. vehicles to their shopping carts on Amazon Autos, marking the first time that an automaker has sold cars through the e-commerce giant, made cars available online through e-commerce giant Amazon, the automaker announced Jan. 7.
- The newly launched Amazon Autos retail platform allows car shoppers to browse, order and finance any new Hyundai vehicle through participating dealers in 54 U.S. markets, with additional locations planned for later this year. These markets account for 71% of Hyundai’s U.S. sales volumes.
- “It represents the future of automotive retail and our commitment to redefining how cars are marketed and purchased,” Hyundai Motor Co. President and CEO José Muñoz said in the release.
Dive Insight:
Hyundai’s plan to sell vehicles on Amazon was first announced in November 2023 and customers could browse for new Hyundai vehicles on Amazon Autos as of Dec. 10. For its U.S. dealers, the official launch of the retail partnership is an opportunity to reach more customers via Amazon.
Hyundai is kicking off its partnership with Amazon Autos with a nationwide marketing campaign highlighting the convenience of online car shopping. Additional dealer participation and functionalities will continue to roll out throughout the year, including new financing and lease options.
“This collaboration allows customers to conveniently discover, learn about, and purchase their preferred Hyundai model from their local dealer through one of the world’s most trusted shopping experiences,” Muñoz said in the release.
Through Amazon Autos, customers can search for available Hyundai vehicles by model, trim, color, features and other criteria. They can also arrange financing, sign paperwork electronically and complete the purchase in just a few clicks.
Once payment arrangements are finalized, buyers select a date and time to pick up their new Hyundai vehicle at a local dealer. Shoppers can also read reviews of dealers before deciding on a pickup location.
Amazon Autos offers no-haggle, transparent pricing set by the Hyundai dealers, eliminating the need for price negotiation. The advertised prices are what buyers pay at check-out with the exception of taxes and fees. The site will also help shoppers find any savings or rebates.
The platform also offers trade-in options online, where trade-in values are provided by an independent third-party, which can be applied toward the purchase. Customers complete the process when dropping off their trade-in to get their new vehicle.
Since customers pick up their new vehicle from a local Hyundai dealer, there are no violations of franchise laws that prohibit direct-to-consumer sales in some states. These restrictions have limited Tesla’s ability to sell its electric vehicles directly to consumers in Michigan, Connecticut, South Carolina and other states. Tesla is also restricted from selling directly to customers in Texas, where the company is headquartered.
