In its latest move to break into the automotive market, online classifieds giant Amazon has struck a deal with US auto suppliers to sell car parts through their website.
The US aftermarket auto parts space has been steadily growing over the past few years with sales shifting to online marketplaces. Amazon will now be in direct competition with aftermarket auto parts retail chains like Autozone, Advance Auto Parts, and O’Reilly Auto Parts.
However, Amazon is trying to get the edge over the competition by offering convenience and lower prices. For example, one RedTop Optima car battery that sells for $216 at AutoZone is listed at $166 on Amazon. Early reports also claim that Amazon offers same-day delivery on auto parts in 40 US cities.
Amazon’s expansion into aftermarket auto parts could help it eventually sell cars online.
Last November they signed a deal with Fiat Chrysler to sell vehicles online to customers in Italy. Venturing in to automotive parts allows them to gather data on customers who use their marketplace for car-related purchases and gauge their interest in buying cars through Amazon.
With Wal-Mart recently launching its own online sales platform with CarSaver, things seem to be heating up in the space.