Amazon to Launch Online Vehicle Sales in the U.S., Starting With Hyundai in 2024

At the recent Los Angeles Auto Show, José Muñoz, Global Chief Operating Officer for Hyundai and President and CEO of Hyundai and Genesis Motor North America, alongside Marty Mallick, Amazon’s Vice President for Worldwide Business and Corporate Development, made a joint announcement that has stirred significant interest within the automotive industry. The meaningful information was that Amazon and Hyundai Motor Company announced a broad strategic partnership to sell Hyundai vehicles on Amazon’s online platform. The historic collaboration is set to redefine the landscape of automotive technology and commerce, allowing customers to purchase cars online.

“Hyundai is a very innovative company that shares Amazon’s passion for trying to make customers’ lives better and easier every day,” said Amazon CEO Andy Jassy. “Our broad, strategic partnership should do just that, from changing the ease with which customers can buy vehicles online to making it simple to use Alexa in Hyundai vehicles for entertainment, shopping, smart home adjustments, and calendar checks, to enabling Hyundai to transform their customer experiences and business operations by moving to AWS. We look forward to inventing together for many years.”

In an unprecedented move, auto dealers will be able to sell vehicles on Amazon for the first time in 2024. This innovative approach to automotive commerce is set to revolutionize the industry, offering consumers a streamlined and novel online shopping experience to purchase cars online. Topping off the excitement, Hyundai, the renowned global auto manufacturer, is slated to be the first brand available for customers to purchase on Amazon. The partnership signifies a groundbreaking shift in how vehicles are marketed and sold, ushering in a new era of e-commerce in the automotive domain.

“Partnering with one of the world’s most customer-centric organizations unlocks incredible opportunities as we continue to expand our portfolio, grow our sales network, transition to electrification, and realize the future of smart mobility,” said President and CEO of Hyundai Motor Company Jaehoon (Jay) Chang. “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. Hyundai is the first automotive company available for full end-to-end transactions in Amazon’s U.S. store, and this is another example of how we continue to push for ways to elevate the customer journey together with our outstanding retail partners.”

This revolutionary digital shopping experience is designed to streamline the process of customers to purchase cars online. Now, customers can order their new car online and then pick it up at their convenience from their local dealership or arrange delivery. Customers will have the capacity to use Amazon’s search function to locate available vehicles in their vicinity based on a set of preferences that include model, trim, color, and additional features. After selecting their desired vehicle, they can proceed to an online checkout using their preferred payment and financing options—all within the familiar and trusted Amazon shopping environment. This innovative shopping experience provides auto dealers with another avenue to demonstrate their range of options and offer increased convenience to their customers.

Hyundai Selected Amazon Web Services (AWS) as Its Preferred Cloud Provider

As part of a new multi-year agreement, Hyundai is set to transition into a more data-driven organization, adopting a cloud-first technology strategy. This shift will involve migrating all current on-premises applications—which span research, product engineering, and customer engagement—to Amazon Web Services (AWS). Hyundai’s primary focus will be on business aspects such as manufacturing and supply chain, aimed at optimizing production processes and curtailing costs, prioritizing security and disaster recovery for enhanced resilience. This migration also extends to connected vehicle development, promising new features to drivers worldwide. In collaboration with AWS, Hyundai has also designed and executed a Master Builder training and certification program to equip Hyundai engineers with crucial cloud skills. This progressive step symbolizes Hyundai’s commitment to innovation and delivering top-notch services to its customers.

Next-Generation Hyundai Vehicles Will Be More Interactive and Responsive With Amazon Alexa Built-in

Starting in 2025, Hyundai is poised to offer a game-changing, hands-free Alexa experience in the next generation of their vehicles. Drivers will be able to invite Alexa’s familiar convenience and functionality into their cars, enriching their driving experience with many features. They can ask Alexa to play music, podcasts, or audiobooks, set reminders, update to-do lists, and check calendars. Hyundai’s integration of Alexa extends far beyond in-car entertainment. Drivers can also control their smart home from the road, warming up their house before they arrive home, verifying if doors are locked, or managing smart lighting and Alexa routines. In addition, Alexa will provide real-time traffic updates or weather reports, and the in-vehicle media player or navigation system can be controlled via voice. Certain features will remain accessible even in areas where internet connectivity is intermittent or unavailable, elevating the user experience to new levels of convenience and reliability.

The Ability to Purchase Cars Online Is a Sea Change in the Automotive Purchasing Experience

Electric car manufacturer Tesla was the first to implement the online car-buying process, making almost the entire purchase process possible online, with other car companies now beginning to follow Tesla’s lead. Unlike traditional car dealerships, Tesla outlets merely function as showrooms. The customers themselves complete the actual buying process, either at an in-store kiosk or online, from the comfort of their homes. The price of a Tesla on a given day is the definitive cost you will incur, as their system does not accommodate negotiation. This streamlining has considerably simplified the car buying process, reinforcing Tesla’s position at the forefront of the automobile industry’s evolution.

The ability of customers to purchase cars online has significant advantages over traditional car-buying. One of the primary benefits is the elimination of face-to-face negotiations, a daunting prospect to many consumers. The game of negotiation, a constant back-and-forth between car buyers, salespeople, and sales managers, is often stressful and time-consuming. This practice, reminiscent of a bygone era, might be on its last legs as the online car buying trend continues to surge. Transparent pricing in the online marketplace lends a sense of confidence to buyers, freeing them from the anxiety of negotiation and ensuring a more satisfying purchasing experience.

Fortunately, nearly every step in the car-buying process can be completed online with much less stress. In most cases, though, a final trip to a dealership is still needed to go for a thorough test drive, to sign the paperwork, and to take delivery of the car. However, even that part of the process is changing, with more dealers willing to deliver the vehicle to your home. Moreover, electronic signatures are beginning to replace signing paper documents. This evolution in the car buying process reduces or eliminates the time spent at a dealership and adds a layer of convenience that appeals to the modern, tech-savvy consumer.

Can Attendees of Events Like Electrify Expo Buy Cars at the Event?

The short answer is yes, if you buy a Hyundai, beginning in 2024. With the advent of online Hyundai car-buying on Amazon, attendees of automotive events such as Electrify Expo could complete the test drive at the event and complete the purchase right there at the event, through their Amazon accounts. With purchasing moving online, one of the only remaining reasons for visiting a dealership is to complete the test drive. Some dealers offer vehicle delivery, and if the test drive is completed at an event, a customer could go through the entire purchasing process without ever visiting the dealership.

Electrify Expo is the most fun, largest, and fastest-growing electric vehicle event in the United States. In addition to offering exciting ride-and-drives for attendees, the event offers “Industry Day,” the number one networking event for the eMobility industry. It also features the “Electrify Showoff,” the leading showcase of EV customization. BJ Birtwell, Founder & CEO of Electrify Expo, recently announced three new stops for the event in 2024 in Orlando, FL, Phoenix, AZ, and Denver, CO, as evidence of the event’s fast growth. 

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