Amazon Enters the Used Car Game — Here’s What Dealers Need to Know
The automotive industry just got a wake-up call. In this episode of Lot Talk, hosts Chris Keene, Renaldo Leonard, and John Anderson break down Amazon’s bold entrance into the used and certified pre-owned car market — and what it means for dealers trying to stay competitive.
From digital retailing lessons to the “seven metrics” that drive fresh sale rates, this conversation isn’t just about what’s coming — it’s about how to prepare so you’re not left behind.
Amazon’s Big Play: More Than Just New Cars
Amazon Autos has officially launched nationwide used and CPO sales. Initially tested with new Hyundai vehicles, the platform now allows participating Hyundai dealers to list all makes and models in their used inventory — Ram, Nissan, Land Rover, you name it.
Key points about Amazon’s model:
- Simplicity sells – The process is laid out in plain language: pick your car, pick it up at the dealer.
- Transparency – Step-by-step timelines for financing, document uploads, and pickup keep buyers informed.
- Trust factor – Amazon’s reputation as a customer-first retailer means instant credibility with buyers.
- Full-service offerings – Beyond sales, customers can lease, trade in vehicles, and purchase protection plans through the platform.
Carvana pioneered this space, but Amazon has the brand trust, logistics, and customer base to refine and scale it faster than anyone else.
“Amazon has created an expectation — simple, fast, transparent. Dealers need to match that.” – Chris Keene
Why Dealers Should Pay Attention
This isn’t just about competition — it’s about a rising bar for customer experience. Younger buyers (think 30-somethings) already trust Amazon implicitly. As soon as they see they can buy a car there, they’re intrigued.
If you’re a Hyundai dealer: Call Amazon today. This is a golden opportunity for exposure to millions of buyers.
If you’re not a Hyundai dealer:
- Tighten up your own online process so it’s as smooth as Amazon’s.
- Eliminate unnecessary friction from your buying journey.
- Focus on meeting customers where they are — online, on their terms.
“Meet customers where they are, not where you want them to be.” – John Anderson
The Seven Metrics That Drive Fresh Sale Rates
Your “fresh sale rate” (percentage of vehicles sold within the first 30 days) is critical. The Lot Talk team recommends aiming for 65%+. To get there, you must:
- Maintain enough fresh inventory – If you want to sell 65% fresh, you must stock 65% fresh.
- Price properly from day one – Follow market trends; depreciation waits for no one.
- Get descriptions and pricing online fast – The clock starts the moment you take in the car.
- Post complete photos – No photos = no interest.
- Stock the right vehicles – Don’t fill holes with units that don’t move in your market.
- Balance high-dollar units carefully – If your market sweet spot is $31K, stocking $60K cars will slow sales.
- Display all fresh cars online – Don’t let ad package limits hide inventory.
“If you can’t see the car, it doesn’t exist.” – Chris Keene
Bonus #8: Don’t take personal ownership of units. Cars are metal, not trophies — if it’s not selling, move it.
“Don’t take personal ownership of your inventory. It’s metal. It’s got to go.” – John Anderson
Five Factors You Control That Impact SRPs
Search Results Pages (SRPs) are the first step to generating VDPs and leads. While some factors are out of your hands, you can control:
- Inventory volume.
- The right mix of vehicles.
- Speed to market.
- Acquisition spend aligned with market demand.
- Accurate, detailed descriptions paired with matching photos.
Remember: 19 hours is the average time a buyer spends researching online. Make that time work in your favor with merchandising that sells the vehicle’s story — especially its interior, where customers spend 99% of their time.
Meeting Customers Where They Live
Amazon succeeds because they meet customers exactly where they are and give them what they want in the simplest way possible. Dealers need to adopt the same mindset:
Video walkarounds and interactive photos make your inventory more engaging.
- Mobile-first experiences are crucial.
- Remove dealership “rules” that create friction for buyers.
“Adapt, adjust, evolve — or become a dinosaur.” – Renaldo Leonard
“Video is the new showroom walkaround. Use it to get attention and build trust.” – Renaldo Leonard
As Ronaldo put it, “Take the car guy hat off and think like a consumer.”
The Bottom Line
Amazon’s move is not the end for dealers — it’s a challenge and an opportunity. Whether you partner with them or not, you must adapt your process, merchandise better, and focus relentlessly on customer experience.
In this new landscape, it’s simple: Adapt or die.
📋 Dealer Action Checklist To Compete in the Amazon Era
🚗 Fresh Sale Rate Goals
- ✅ Keep 65%+ fresh inventory on your lot at all times.
- ✅ Price right from day one — follow the market, avoid depreciation traps.
- ✅ Get descriptions & pricing online immediately after acquisition.
- ✅ Upload complete photo sets — show interior and exterior clearly.
- ✅ Stock only what sells in your market.
- ✅ Balance high-dollar units with your store’s price sweet spot.
- ✅ Display all fresh cars online — avoid ad package blind spots.
- ✅ Don’t get attached — cars are metal, not trophies.
📈SRP & Merchandising Best Practices
- 🔍 Maintain enough inventory volume to boost search appearances.
- 📊 Match your mix to local sales data.
- ⏱ Be first-to-market with listings and photos.
- 💰 Price in line with buyer expectations from the start.
- 🖼 Pair every feature in your description with a matching photo (and vice versa).
🤝 Customer Experience Essentials
- 📝 Offer a clear, step-by-step buying process.
- 💵 Provide transparent pricing & trade-in options.
- 🎥 Use video walkarounds & interactive 360° photos.
- 📱 Make your site mobile-first and lightning fast.
- 📍 Meet customers where they are — online, on their terms.