# Hyundai and Amazon Partnership: Dealers Express Frustration Over Slow Roll-Out


## Introduction

Nearly a year has passed since Hyundai and Amazon announced their ambitious collaboration to facilitate online car sales. However, the slow implementation of this program has left many dealerships feeling frustrated. Industry experts emphasize that for this initiative to succeed, both Hyundai and Amazon must prioritize an exceptional customer experience.

## The Importance of Dealerships

According to industry analysts, traditional dealerships will continue to play a crucial role in the car-buying process. Mike Stanton, CEO of the National Automobile Dealers Association (NADA), highlighted the ongoing collaboration with legal teams from both Amazon and Hyundai to ensure compliance with state automotive franchise laws. He stressed that delivering a superior customer experience is paramount for the partnership’s success.

## Ongoing Challenges in the Pilot Program

Despite the initial announcement, Stanton noted that the pilot program is still not fully operational. He expressed concerns regarding the current capabilities of the platform, stating, “What I am hearing right now is that the dealers are frustrated. They’re not there yet with the agreement.” He pointed out that the existing system lacks essential features, such as the ability for dealers to manage multiple financing options or handle trade-ins effectively.

## Consumer Behavior and Online Car Buying

Stanton also questioned the likelihood of consumers purchasing vehicles through Amazon, suggesting that buying a car is a significantly more complex process than purchasing everyday items like toothpaste. He remarked, “I don’t think I am going to go over and buy a car after I buy my toothpaste,” during a recent Automotive News Congress event in Michigan.

## The Role of Dealerships in the Future

Eddie Hall III, CFO of Hall Automotive Group, echoed Stanton’s sentiments, asserting that while Amazon presents a new avenue for car purchases, dealerships will remain integral to the buying experience. “By and large, customers are still going to want to come in to see a car,” he stated, emphasizing the need for dealerships to adapt and simplify the purchasing process.

## Current Status of the Hyundai-Amazon Partnership

Hyundai and Amazon began testing their partnership with 18 dealerships in select markets earlier this year, including major cities like Los Angeles, Atlanta, Seattle, Denver, and New York. As the pilot progresses, both companies will need to address the concerns raised by dealers and enhance the platform to meet consumer expectations.

## Conclusion

The collaboration between Hyundai and Amazon represents a significant shift in the automotive sales landscape. However, for this partnership to thrive, it is essential that both companies focus on improving the customer experience and addressing the frustrations of dealerships. As the pilot program continues to evolve, the automotive industry will be watching closely to see how this innovative approach to car buying unfolds.

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By optimizing the customer experience and ensuring that dealerships remain a vital part of the sales process, Hyundai and Amazon can potentially reshape the future of car buying.