Amazon Expands Online Car Sales Program with New Brands and Cities
Amazon is significantly expanding its Amazon Autos program, moving beyond its initial experiment with Hyundai to include vehicles from major manufacturers such as Kia, Mazda, Subaru, Chevrolet, and Jeep. The service, which allows customers to browse and purchase new cars from participating dealerships while completing much of the paperwork online, is now active in over 130 U.S. cities, including Los Angeles, Dallas, and New York. Launched in late 2024, the initiative aims to disrupt the traditional $1.3 trillion U.S. auto retail market by reducing the time buyers spend in physical stores. Although Amazon does not intend to replace dealerships, it charges them fees for listings, aiming to capture a share of the lucrative automotive advertising market, projected to exceed $30 billion this year. While early sales figures remain modest, with some dealers reporting limited transactions, Amazon cites strong interest from both consumers and dealers. The expansion represents a strategic push into a complex, regulated sector where online adoption has historically lagged behind other retail categories, leveraging Amazon's vast customer base to attract automotive ad spending.
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Amazon Expands Online Car Sales Program with New Brands and Cities
Amazon is significantly expanding its Amazon Autos program, moving beyond its initial experiment with Hyundai to include vehicles from major manufacturers such as Kia, Mazda, Subaru, Chevrolet, and Jeep. The service, which allows customers to browse and purchase new cars from participating dealerships while completing much of the paperwork online, is now active in over 130 U.S. cities, including Los Angeles, Dallas, and New York. Launched in late 2024, the initiative aims to disrupt the traditional $1.3 trillion U.S. auto retail market by reducing the time buyers spend in physical stores. Although Amazon does not intend to replace dealerships, it charges them fees for listings, aiming to capture a share of the lucrative automotive advertising market, projected to exceed $30 billion this year. While early sales figures remain modest, with some dealers reporting limited transactions, Amazon cites strong interest from both consumers and dealers. The expansion represents a strategic push into a complex, regulated sector where online adoption has historically lagged behind other retail categories, leveraging Amazon's vast customer base to attract automotive ad spending.
WSJ.com: US Business