Amazon (AMZN.US) Expands Used Car Market, Accelerates Auto Business Amazon Autos

Amazon (AMZN.US) is expanding its automotive market presence, following its collaboration with Hyundai, by planning to expand its auto sales project to more car brands. On Wednesday, Fan Jin, director of Amazon's auto business, said the e-commerce giant is set to launch a used car sales service on its platform, marking further expansion in the auto sector.

Amazon Autos, the company's auto project, recently moved from a closed beta stage to an "open beta" stage. Currently, the project is operating in 68 markets, a significant increase from 54 markets in January.

Jin said Amazon Autos aims to help partner dealers maximize inventory clearance. "Our focus has always been on dealers, dedicated to providing comprehensive service support - allowing them to sell whatever they want in their own way," she explained, adding that the project is designed to streamline the car-buying process while offering a convenient online shopping experience, while retaining the existing dealer framework for consumers.

It is noteworthy that Costco (COST.US) has seen significant success with its car recommendation project for its members. Analysts expect that in the future, as Amazon and Costco's auto purchase projects continue to expand, they may bring incremental competition pressure to traditional auto retailers such as CarMax (KMX.US), AutoNation (AN.US), LAD.US, and Carvana (CVNA.US).