EYE ON AUTOS: You Can Now Buy Cars on Amazon ...
... but before you hit "purchase," think about these buying realities.
By Martin Davis
EDITOR-IN-CHIEF
Email Martin
When it comes to shopping for cars, finding a way to reduce the pain of buying a car appeals to consumers. Perhaps there’s no better example of this than CarMax, a Richmond-based company that turned no-haggle pricing, 30-day returns, and peace-of-mind shopping for used cars into a thriving business.
Now, Amazon is bringing some of this mindset to new-car shopping.
Starting this month, Amazon is selling new Hyundai vehicles on its website, promising the “ease of Amazon shopping” and four easy steps: Find, Pay, Protect, and Pick-up.
Whether serendipitous or intentional, Amazon has helped its cause by partnering with Hyundai. The company has developed a reputation for building cars that fare well in IIHS testing. The cars are also popular. Hyundai is the sixth-largest car seller in America, according to CarPro.
But should you buy your car online? The answer, as ever, is — “It depends.”
No Haggle, No Breaks
The reality is that Americans already go online when buying cars.
A study by The Zebra found that 46% of people prefer to shop alone, and 48% of car buyers begin researching their next purchase online before ever walking onto a car lot.
It’s a smart move.
TrueCar is a must-stop for car shoppers before ever walking onto a lot. It allows people to identify the brand model they’re interested in, see the suggested MSRP, and then the price that people actually pay based on a “proprietary mathematical calculation based on actual recent transactions of other buyers,” according to TrueCar’s site.
Other car sites such as Edmund’s, Car and Driver, Kelly Blue Book, as well as U.S. News & World Report have built robust businesses helping car buyers make better buying decisions.
In addition to ratings and pre-negotiated deals that users can take to the lot when they’re ready to buy, shoppers can also find out what their current vehicle is worth. This strengthens the buyer’s position when negotiating a trade-in.
In short, customers are coming to dealer lots with a solid understanding of how much off sticker price they can expect to pay, pre-negotiated deals, and solid knowledge of what their car’s trade-in value is.
Buy from Amazon online, and you forfeit those benefits.
This doesn’t mean, however, that Amazon should be off the table when it comes time to buy.
Put Yourself in the Seat
While online shopping is now a natural part of our day-to-day lives, there are still some things that the online experience can’t replicate. The most important being putting yourself behind the wheel before signing any papers.
Even if you’re going to ultimately purchase online, you should still take the time to go to the dealer first and take a test drive.
There are more than 270 different models of vehicles available for sale, which makes for a lot of choices by car class.
For example, U.S. News lists 23 midsize SUV models currently for sale, 22 luxury midsize SUVs, 19 compact SUVs, and 18 luxury compact SUVs. That’s 82 models that people searching for an SUV have to choose from — minimum.
Online research can help narrow that list down, but when it comes to making the final decision, nothing replaces sitting behind the wheel.
Here are some of the things that just sitting and looking into the car will tell you, that can be difficult to decipher when buying online:
Does your head have sufficient clearance from the roof?
Does the door impinge on your side?
Does the seat offer sufficient adjustments for you to find a comfortable driving position?
Is the infotainment system touch screen within easy reach?
Are the buttons on the screen responsive in a way that works well for you?
Is the infotainment screen intuitive?
Where are the toggle switches for the active-safety features located?
Is there sufficient legroom for the passengers?
Will the cargo area be sufficient for your needs?
If the thought of visiting 8-10 dealerships to see up close the vehicles that you’re interested in is too much to handle, there is an alternative.
The Washington Auto Show runs from January 31, 2025 - February 9, 2025 at the Washington Convention Center.
Weekday tickets are $15.60 per adult. The cost rises to $20.60 if you go on the weekend.
Well over 200 models will be on the floor, and people can look in and often sit inside many of them.
For those considering buying a car this year, it’s an excellent opportunity to get an up-close look at the options you have.
Time to Buy
That first-hand experience, combined with the research tools readily available at your fingertips, will make the process of buying your next car fairly simple.
If you’re looking to buy a Hyundai, visit the dealership or see the models at the Washington Auto Show, do some research online so that you know the trims and features you do and don’t want, and then prepare to buy.
Once you know which car you like, visit Amazon and see what price is offered. Compare that with a price from TrueCar, and then head to the dealership to see what their best offer is. And if you’re a member of Costco, don’t forget to give them an opportunity, too.
At that point, the decision is easy — which one gives you the best price?
But That’s a Lot of Work …
Yes, there’s a lot of research involved. But keep the following in mind.
Americans hold on to their cars for an average of 12.6 years
Cars are more expensive than ever. According to Kelly Blue Book, the average transaction price in September 2024 was $48,397.
Given that cost, and the average time that people will live with their vehicle, it’s worth taking the time to really look and research before making that final decision.
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