Amazon is set to expand its automotive product lineup by integrating used cars into its Amazon Auto platform.
On Thursday, Fan Jin, the Director of Amazon Auto, announced that used car sales will be integrated into the platform to facilitate this expansion.
Fan emphasized that this program aims to help dealers maximize their inventory turnover. She added that the focus is on providing services to all dealers, enabling them to sell everything they want in their preferred manner.
This initiative is designed to streamline the car-buying process for customers while maintaining existing dealership models.
Amazon’s expansion into the used car business could challenge traditional automotive retailers.
Introducing used cars to Amazon Auto marks a significant step in the company’s automotive strategy.
Amazon Auto initially launched by enabling customers in 48 U.S. cities to order new Hyundai vehicles directly from local dealers. The service offers financing options and a pickup schedule.
Recently, Amazon Auto transitioned from a private pilot to a public beta. It is now operating in 68 markets across 54 locations.
The expansion into used cars could further disrupt traditional car-buying models by offering consumers a more streamlined and convenient process.
The timing of Amazon’s business expansion is noteworthy, given the current challenges facing the used car market, including price declines.
Recent analyses have highlighted concerns over the sharp drop in used car prices, which could impact demand and pricing strategies for companies like Tesla.
Despite these market fluctuations, Amazon’s stock remained stable at 194.95 USD.
