Hyundai is taking on a direct-to-consumer sales model, although not in the way you might expect. Starting next year the automaker will allow its dealers to sell vehicles directly on Amazon.
The collaboration aims to streamline the purchasing process, allowing customers to browse, select, and purchase a new Hyundai online through Amazon’s user-friendly interface. The convenience extends to options for picking up the vehicle at the dealership or having it delivered. Hyundai said this new feature will “create another way for dealers to build awareness of their selection and offer convenience to their customers.”
The shift towards online car sales has been accelerated by changing consumer preferences, with pandemic-driven trends indicating an increased willingness to make significant purchases online. Tesla of course pioneered the direct-to-consumer sales model, ditching the traditional dealer network for online sales and operating their own network of Service Centers.
Hyundai’s decision to leverage Amazon’s digital retailing tool is a first in the industry, with other automakers likely to monitor the success of this partnership closely. Amazon’s massive brand presence and its integration into everyday life positions it uniquely to reshape how consumers purchase vehicles, bringing the dealership experience to the digital realm.
Amazon has been gradually making inroads into the automotive industry, previously offering digital showrooms for users to research and compare vehicles. However, this latest announcement signifies a huge shift from its previous efforts as customers will now be able to complete the entire car-shopping and buying process on Amazon, starting with Hyundai’s lineup.
Another piece to this partnership is the integration of Amazon’s Alexa voice assistant into Hyundai vehicles, beginning in 2025. This move will bring voice-activated functionality to drivers for music, reminders, navigation, and even smart home controls.