June 29, 2017 at 4:33 PM
This could significantly increase the annual income generated by the online behemoth, which has experienced a drop in the last year. The American company has been excited by the trials of car sales in Italy, further prompting the European rollout towards the UK market. It is not entirely clear whether Amazon
intends to supply used or new cars, but customers buying vehicles will be able to order online and pick up their purchases from a local car dealership.
Amazon UK will be the first company under the Amazon umbrella to take the online car sales service to a mainstream customer base, even though the service was initiated by the Italian branch of the company when they offered the Fiat 500, Fiat Panda, and Fiat 500L fully customised for delivery to customers. It
appears the service was successful enough for Amazon to seriously consider the rollout into the UK market, indicating an attempt to intimidate the current online car suppliers market.
The Auto Trader Group PLC reacted immediately to the news that Amazon was entering the car market with figures displaying an instant drop in shares as the company hit a two-month low. The news has unnerved shareholders throughout the entire UK market as Amazon tries to replicate what they have achieved on home soil and take over the sales that have dropped from traditional dealerships. The ease of access to the internet and the efficiency of ordering online means that people prefer to shop online these days, and other dealerships have reacted by offering specs and sales online in the wake of the bombshell dropped by Amazon. BMW AG is one of these companies, and has trialled online sales in selected markets in order to test the validity of online sales and supplies.