Ford partners with Amazon to enable online purchases of its used cars.
Ford Motor Company has entered into a strategic partnership with Amazon.com Inc. to offer certified used vehicles through its e-commerce platform, a move that underscores a significant shift in the automotive sales landscape. This initiative positions Ford as the second prominent automaker, following Hyundai Motor Company, to utilize Amazon’s expansive online marketplace for vehicle sales.
As part of the Amazon Autos portal, customers now have the ability to navigate, finance, and purchase certified used vehicles from Ford with relative ease, leveraging the familiar “add to cart” functionality. While Hyundai has previously initiated sales of new vehicles on this platform, Ford’s offerings will focus exclusively on its “Blue Advantage” certified used cars, marking a new frontier for the American automaker.
Deliveries of these vehicles will be facilitated by Ford dealerships that are participating in the program. Initial dealer participation includes locations in major metropolitan areas such as Los Angeles, Seattle, and Dallas, with plans to expand availability to a national scale in the upcoming months. Approximately 200 of Ford’s 2,800 dealerships across the United States have shown interest in engaging with this innovative sales approach.
This initiative coincides with a growing consumer trend towards digital car buying solutions, as buyers increasingly turn to online marketplaces such as Carvana Co. and CarMax Inc. The urgency for streamlined purchasing solutions is clear, especially as average new car prices have recently surpassed ,000, prompting many buyers to consider more affordable used vehicle options. According to data from Edmunds.com, the typical price for a three-year-old used car rose to ,067 in the third quarter, the highest figure recorded in three years.
While some automakers have sought to replicate Tesla’s direct-sales model that bypasses traditional dealerships entirely, Ford is choosing to maintain and collaborate with its independent retailers in this venture. The company hopes to leverage Amazon’s trusted standing among consumers to drive traffic to their dealers’ used car lots, thereby embedding buyers within Ford’s ecosystem for ongoing service needs and future vehicle purchases.
Cars will be offered at pre-established prices without the customary negotiation process. Each vehicle will undergo extensive multi-point inspections, ensuring quality, and buyers will benefit from limited warranties that can extend up to one year or 12,000 miles. Furthermore, the Amazon platform enables prospective buyers to access detailed vehicle service histories and condition reports, enhancing transparency in the buying process.
By partnering with reputable Ford dealers who share a commitment to customer service, this collaboration aims to streamline the car buying experience while providing the convenience associated with Amazon. Ford plans to utilize insights gained from this initiative to assess potential future expansions into new car sales through the Amazon platform.
This strategic alignment between Ford and Amazon represents a significant development in automotive retail, potentially transforming the traditional vehicle buying experience into a more accessible and consumer-friendly process.
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