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Automotive Ecommerce: Solutions & Trends to Scale Online Business

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Automotive E-commerce

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5 Min Read

Growing technology and artificial intelligence have completely changed the face of automobile shopping. Selling and buying cars from dealerships has transformed drastically in recent years. The demand for automobile ecommerce sites rapidly increased, and the trends still favor automotive ecommerce. Consumers are now more inclined toward e-commerce vehicles than the traditional dealership process. Adapting and growing with automotive ecommerce trends is necessary to gain the maximum customers and trust. The primary reason behind this drastic shift is the comfort and trust of consumers in automotive digital retailing. Maintaining that is the key to success in the e commerce in automotive industry.

This article will thoroughly discuss the meaning and importance of ecommerce automotive and some important points for a successful automotive e-retail market business. Let’s begin!

 

What is Automotive eCommerce?

Automotive Ecommerce or automotive electronic ecommerce refers to the online selling and purchasing of vehicles and their parts using various tools such as phones, PCs, and mobile tables. The industry changed its approach to an online business model to effectively sell automobiles and auto parts. This platform’s buying and selling includes each type of automobile, such as cars, trucks, etc. E-commerce offers shoppers the convenience of comparing different car models (or parts) and paying for them directly via the Internet.

 

 

Business-to-business (B2B) and Business-to-Customers (B2C) are the two main automotive e-commerce business models. E-commerce in the automotive industry is essentially online shopping for cars. It’s when your dealership can sell a car 100% digitally. Launching your automobile e commerce business for sale online through a website or virtual store and promoting it online with Social Media Auto is a crucial aspect of e-commerce in the automotive industry.

 

Benefits of Automotive E-commerce Platforms

The shift from traditional dealerships to ecommerce allowed the industry to increase revenue, build trust, and streamline the process. Therefore, we have mentioned the best benefits automotive e commerce brings if you integrate it into your business.

1) Personalized Customer Experience

You can provide an exceptional car-buying experience to your customers by guiding them to the best vehicle and the parts they want to shop for. E commerce in automotive industry allows car shoppers to inspect cars, compare brands, and order vehicle parts through product pages and data.

2) Customer Base Expansion

Automotive e-commerce logistics helps dissolve geographical boundaries and expand your business, reaching people from different locations. It will increase your dealership’s sales and brand reach.

 

Benefits of Automotive E-commerce

 

3) Cut Costs & Streamlines the Process

Businesses can expand their market and grow their business and online inventory. Therefore, they will save money on real estate and lot space. It also lets them directly send the vehicle to the consumer without spending additional money on intermediate processes.

4) Omnichannel Selling Offers Innovatively to Drive Revenue

Omnichannel can switch its sales approach by shifting online. They can allow car buyers to inspect vehicles online and schedule a test drive before purchasing. Therefore, it will elevate your consumer experience, raise revenue, and increase conversions.

5) Increase Profit and Trust

Providing the best-customized deals and increasing buying transparency on ecommerce for car retailers will build trust and increase business profits.

6) Future branding

Automotive Digital Retailing Solutions result in high sales and increased customer trust. This results in promotions and increased brand reach, which will be helpful for future deals.

 

Top Automotive Ecommerce Websites or Stores Examples

A good website can always leave a good impression on visitors and bring potential customers. Here are the best ecommerce platforms for auto parts examples focused on exceptional customer experience. Therefore, these automotive ecommerce providers are designed to drive revenue, sales, and market share. They will give you an idea of how the best automotive ecommerce platform for car retailers should be:

  • CruiseMaster: CruiseMaster is indeed the leader in all-terrain towing technology.
  • Indianapolis Motor Speedway: They sell a wide range of car accessories.
  • Enjuku Racing Parts: They sell parts and accessories for Japanese import-performance cars.
  • Brock’s Performance: They specialize in performance parts for American muscle cars.
  • Metal Tech 4×4: Aftermarket automotive parts ecommerce solutions and accessories for off-road vehicles are offered.
  • Sportbike Track Gear: They sell gear for sportbike track riding.
  • Spindle-Source: They sell a variety of spindles for industrial applications and machine tools.
  • BB Wheels: BB Wheels automotive ecommerce software specializes in custom and performance wheels for various applications.

How to Increase Automotive Ecommerce Sales?

E-commerce in the automotive industry allows automotive ecommerce companies to understand how big and beneficial the automotive e-commerce market size can be. Therefore, here are some ways to boost your car ecommerce sales:

1) Social Media

You can create pages on social media platforms like Facebook and Instagram to increase recognition and establish engagement with new customers. Therefore, succeeding in building an established name on social media will bring positive sales figures over time.

2) Digital Ads

Advertising vehicles through digital ads will help dealerships reach a broader potential car buyer audience with relevant ads related to their searches.

3) Integrating into Marketplaces

Companies can easily tap into existing customer bases on platforms with demonstrated track records of success with the help of existing marketplaces like Amazon, Walmart, and eBay.

4) Customer Reviews

A recommendation is a crucial aspect of any ecommerce platform. Therefore, an automotive company that takes pride in its accomplishments and customer reviews can serve as a valuable platform to showcase its offerings and the excellence of its customer service.

5) Virtual Showrooms

Showrooms are essential in showcasing every detail of a vehicle. Businesses can use a brick-and-mortar dealership with those online stores through a virtual showroom. Therefore, by seamlessly integrating captivating imagery that showcases visual appeal and detailed vehicle specifications, automotive enterprises can instantly breathe life into their vehicles with a simple click.

6) Improve Sales Funnel

Organizations often have some loopholes that pull them back in terms of their increase in revenue or success. However, the automotive sales funnel can help you identify the weaknesses and allow you to optimize your efforts, leading to your dealership’s profits.

7) Partner With an Influencer

Influencers can help organizations reach a broader audience and engage them with creative marketing. Long-term partnerships or brand ambassadorships can also increase brand awareness and boost sales.

8) Loyalty Programs & Purchase Incentives

Dealerships can offer incentives and rewards to customers who purchase or refer your business to their knowns. Additionally, it will help you to create long-term relationships with your clients, which will lead to increased sales and win customer loyalty.

 

How is Ecommerce Software Changing the Auto Industry?

Car sales in the US have decreased significantly in the past twenty years. In 2020, only 3.5 million cars were sold, much less than the 9 million units sold in 2000. The pandemic has limited consumers’ ability to purchase vehicles during physical visits. However, ecommerce allowed dealerships to increase their sales by almost 100%. Further, dealerships are ready to adopt e-commerce to increase their sales as they shift their gears towards an online model for selling vehicles and their parts.

How E-commerce Affects the Auto Industry?

Ecommerce has revolutionized the way consumers engage with brands while selecting products. Uploading vehicle listings online has allowed potential buyers to increase their buying radius. Therefore, the radius has doubled in the past 3 years, from an average of 45.9 miles to 89.3 miles above. Implementing ecommerce will allow auto companies to increase revenue and profit by cutting costs, removing intermediaries, boosting market share, and having greater control over their business.

Future Growth & Emerging Trends of Automotive Ecommerce

Ecommerce growth in the automotive industry is likely to evolve and grow rapidly & more than 6 million new vehicles are expected to be sold online by 2025. The changes in the buying and selling process patterns in previous years have indicated that the automobile industry could move to digital platforms completely. Additionally, ecommerce for car dealers allows businesses to grab innovative opportunities, including personalized products per client’s demand, augmented reality experience, and virtual showrooms.

  • Rise in Auto Ecommerce: The US automobile and its parts e-commerce sales are expected to reach $182.48 billion by 2026. The total retail e-commerce sales in all categories in the US is 6.8%. Further, according to eMarketer, the auto e commerce market will be the third-largest compound annual growth rate between the years 2023 & 2027.
  • Consumer Preferences: Customers want a convenient and seamless online shopping experience. Additionally, they want interactive visuals, comprehensive product information, and a straightforward purchasing journey.
  • Rising Demand for Customization: E-commerce allows customers to seek customized and unique solutions for their cars. Additionally, automotive businesses can seamlessly fulfill their clients’ personalized product demands online. Therefore, addressing and implementing these solutions will help dealerships set themselves apart.

 

Future Of Auto E-Commerce

 

Automotive eCommerce Growth & Evolution Over the Years

Automotive digital retailing stats show that more people purchase cars and car parts online. In 2021, auto and parts sales made up almost 5% of all online sales in the U.S. Then, the following year, these sales jumped by 30.1% despite significant supply shortages. This pushed the car industry to sell more online. Also, a study by Deloitte found that nearly half of consumers—48% to be exact—like buying from an authorized dealer. It doesn’t look like things will slow down soon.

According to a CarMax study from 2022, only 44% of car owners feel somewhat trusting of online car sellers. About 15% trust them a lot. People worry because they can’t check the car in person before buying it. They’re also unsure if the descriptions online are accurate and are scared of scams.

 

Top 8 Automotive eCommerce Solutions for Auto & Parts Businesses

Know the performance and features capabilities of the popular ecommerce solutions for your auto parts online stores. Therefore, we have mentioned the leading platforms for building automotive aftermarket e-retailing market online stores, including BigCommerce, Shopify, and X-Cart. Additionally, these e commerce websites for automotive parts projects focus on retailer reviews, technical support, integration compatibility, affordable customizations, and prebuilt automotive-specific features. Choose the most suitable platform for your auto parts store, including order routing, pricing updates, fitment data, and inventory management.

1) X-Cart

X-Cart Automotive is an API-driven ecommerce solution that provides automotive filtering options and native complex search functionality. Additionally, it offers affordable maintenance, constant updates, and functional limitations. It provides custom and flexible auto parts ecommerce website development with the technology stack of your preference. Additionally, X-Cart provides a content design team and in-house development to assist you with brand visuals and tailored automotive e-commerce solutions. Additionally, you get a dedicated project manager and 24/7 customer support.

2) Shopify Plus

Shopify Plus offers helpful features for building auto parts e-commerce websites with 24/7 customer support. However, the extra features and fees for payment processing are expensive. Automotive shopify themes provide a trade-off where you can avoid payment fees using Shopify’s payment system. However, then you can’t use other popular options.

3) BigCommerce

BigCommerce allows you to design responsive and visually appealing automotive ecommerce online stores. It offers features like product filtering, custom pricing, and inventory. Additionally, its drag-and-drop features provide a convenient way to select and position images, columns, and content blocks. You can also promote your web store while integrating its marketing tools. However, it requires extensive and constant optimization, and its page loading time is slow, lowering the rankings on SERPs.

4) Adobe Commerce (Magneto)

Magento offers broad customization options, multiple integrations, and feature-rich omnichannel functionality. Based on product type, sales channel, and customer location, you can manage inventories and connect physical stores and warehouses. However, it is a complex and technical solution that requires expert assistance.

5) Web Shop Manager

Web Shop Manager offers a user-friendly platform with features designed explicitly for auto parts businesses. However, if you need highly customized features, it might be less flexible than platforms like X-Cart, which allow access to the source code. Their customer support working hours are from 7:30 am to 5:00 pm PT via email, and they also offer customer support via phone in emergencies.

6) NopCommerce

NopCommerce integrations, including marketing tools, shipment and payment services, and warehouse management, provide a smooth performance to small or mid-sized businesses. However, this platform is insufficient for larger companies to offer an optimal user experience. Additionally, NopCommerce requires a steep learning curve for developers to add new features. You also get technical assistance 24/5 through the ticket system if you are a premium user.

7) SureDone

SureDone can be a multichannel connector that automates order fulfillment, inventory sync, listing, and product management. Therefore, this platform can be connected to ecommerce platforms like social media sales channels, Magento, Shopify, BbigCommerce, Walmart, Amazon, and eBay. You can get technical and customer support via email, phone, and live chat.

8) Shift4Shop (3dCart)

Shift4Shop is also known as 3DCart. It is a feature-rich, scalable, user-friendly, and free ecommerce platform with a robust app marketplace. It includes integrations, Quickbooks, and model/make/year search apps. Startups have an excellent opportunity to test the waters of ecommerce before they commit to a paid plan with a 3DCart free plan.

 

How to Scale Your Online Auto & Parts Business in the United States?

Automotive brands can give customers a one-of-a-kind experience with fast customer support, the ability to find products and purchase in easy steps, and deep personalization. Additionally, automotive industries must leverage features like augmented reality and 3D modeling to help car buyers understand the product details. Additionally, businesses can automate promotions and discounts, set free shipping thresholds, add local delivery options, and pre-calculate shipping costs to build customers’ trust. Consider the following to discover data to understand how to scale your automotive ecommerce vehicle and parts business in the United States.

1) Engaging Website Visuals

Car buyers are attracted to high-quality and attractive websites. Platforms like Spyne.ai can help you create an eye-catching inventory. Therefore, this will help you generate more sales and revenue, ultimately scaling and making your dealership profitable.

2) Create a Smooth Checkout Process

Ensure that your customers can complete the checkout process smoothly without any friction. Clear all the bugs and lags in your platform. Additionally, you can integrate automated discounts, delivery options, and shipping fee calculations to make the customer’s experience trouble-free.

3) Simplifying Inventory Management & Product Details

Ensure the performance of your website & your backend team; you must create a well-performing website that can handle bulk uploads of your vehicle inventory. Additionally, ensure that your inventory includes all the necessary details about the vehicle to simplify your customer’s experience.

 

Automotive eCommerce VS Traditional Car Sales

E commerce automotive industry brings convenience and multiple benefits to car buyers. However, car buyers still prefer to visit a traditional dealership. Therefore, choosing the method for car shopping depends on the buyer’s preference and convenience. Although buyers who purchased a vehicle on a physical visit, more than 64% of them purchasing preference shited online. Additionally, as per the global ecommerce report of 2024, 25% of buyers stated they would complete their car buying journey entirely online, which made online retailers realize that they will have more than 100% annual revenue growth.

We have mentioned a comparison that considers which channels will increase commerce popularity.

Key Differences Auto eCommerce Traditional Car Sales
Vehicle Inspection and Compassion Car buyers can view multiple cars from numerous brands and compare them based on their models, specifications, and features. Car buyers need to walk into each showroom, and they can inspect only one brand per showroom.
Price Inspection Payment plans and final price are one click away, with easy vehicle comparisons across different vendors and suppliers. During the showroom visit, buyers must discuss payment options and offers with a sales representative.
Trade Appraisal Buyers get an electronic trade appraisal. Buyers have to go for an in-dealership trade appraisal.
Contracting Car buyers have an option for electronic contracting with automotive digital commerce. Buyers visiting a traditional dealership have to go through the contract onsite.
Car walkaround Purchasing a car online allows you to have a VR/AR car walk around with a virtual test drive. You can have a car walkaround in person and a physical vehicle test drive.
Vehicle Delivery You can ask the automotive dealer to send a vehicle to your home. Buyers need to drive their car on the same day of purchase.
Purchase Pressure There is a low or no-pressure purchase; buyers can purchase a car after being delighted. Salespeople often imply high pressure to make a purchase, which can lead to a wrong buying decision.
Test Drive Customers can test drive and check the car’s performance from their home. Buyers can have a physical test drive and an actual feel of engine performance.

Traditional car sales only allow customers to choose from one brand or dealership at a time. Therefore, e-commerce in the automotive industry gives retailers an upper hand in online car sales. Both approaches have pros and cons, which retailers can efficiently and smartly utilize for maximum benefit.

 

Conclusion

The future of automotive ecommerce is full of advanced technology and smooth user experience. Additionally, it will evolve and revolutionize the auto industry with its emerging trends. Buying and selling will enter a new phase where customers and retailers have advantages. Online retailing, including virtual showrooms, is the new future of the automotive industry. Additionally, ecommerce helps auto businesses generate maximum revenue and reach a wider audience. Additionally, learn how to create a car ecommerce website and sell vehicles and their parts online.

 

 

FAQs

  • Q. What is trending in the automotive industry?

    The automotive industry has taken a major leap in recent years, and the gears of the industry are now shifting toward eCommerce platforms. Automotive e-commerce is the new trend, where customers view and compare different vehicles on a website (or different websites) and finalize deals from the ease of their homes.

  • Q. What are some of the best automotive e-commerce websites?

    Before identifying the best e-commerce websites, it is necessary to understand what makes them the best. User-friendly interface, fast loading time, smooth payment options, and high-quality product images are some of the parameters that make selective automotive eCommerce websites the best. Some platforms that fall into this category are:

    • WHI Nexpart: A website with a smart interface, powerful search options, filters, custom sliders, a high response rate, fast loading time, etc. NHI Nexpart is the one-stop solution for buying automobile parts and their accessories.
    • Tesla: Tesla is a giant in the automotive industry. It provides a seamless, user-friendly, and smooth car-buying experience. Tesla only has online retail channels – no physical car showrooms – which helped the company break new ground in the automotive industry.
    • Carvana: Carvana is a customized and seamless experience for buyers to buy automobiles. It is one of the largest used car e-commerce websites with a high reach and sales.

  • Q. Do car dealers need to go digital to stay relevant?

    Digital is the way forward for dealerships and marketplaces. It is wise to go online to stay with the trends and fulfill market requirements. Going virtual provides various benefits to the retailers, such as better audience reach, strengthened customer-brand relationships, and, most importantly, increased sales.

  • Q. What is automotive CRO?

    CRO or Conversion Rate Optimisation involves testing a wide range of experiences to determine which combination gives the best results. These include desirable user actions like turning visitors into leads and leads into sales. Websites that provide feature-rich descriptions of vehicles can alienate buyers. The representation of models can cause decision fatigue – results from CRO testing help visitors select the most suitable vehicle and, most importantly, move them more decisively to make a purchase.

  • Q. How has e-commerce impacted the automotive dealership industry?

    Ecommerce expands sales across different markets and breaks down the limiting geographic barriers. Customers can shop for vehicles from numerous websites instead of visiting the local dealership.

  • Q. What does CAR stand for in eCommerce?

    CAR in ecommerce stands for Cart Abandonment Rate. It is a rate at which consumers fill out the shopping cart and then abandon it before buying.

  • Q. Is Carvana an ecommerce?

    Yes, Carvana is among the top 10 US retailers for auto e-commerce sales.

  • Q. What are the 3 main driving forces for e-commerce?

    The main driving forces behind e-commerce growth are internal factors like wealth, government policies, and infrastructure, as well as external factors such as international trade and technological advancements.

  • Q. What is the meaning of car commerce?

    Car commerce is also referred to as in-vehicle commerce or automotive commerce. It describes the use of technology that enables buyers to shop, pay, and receive services in their cars.

  • Q. Which platform would you recommend for selling auto parts online?

    BigCommerce for auto parts is the best online platform with powerful customization options. It offers inventory management tools, a wide variety of built-in features, SEO tools, and marketing functionality.

  • Q. How do you build an automotive e commerce store to sell auto parts?

    You can focus on the essential steps in the process of building an e-commerce store to sell auto parts:

    • Research items people will buy
    • Find suppliers with reasonable prices
    • Register your business and buy a website
    • Get branding and logos created
    • List products on your website
    • Advertise and market your business

  • Q. Is starting automotive ecommerce websites for auto parts a good idea?

    Yes! The global automotive parts market is expected to grow and be worth $1.1 trillion by 2023. Building an automotive parts e-commerce store offers a chance to grab some action.

Written by

Team Spyne

Young, enthusiastic, and curious are the three words that describe Spyne’s content team perfectly. We take pride in our work - doing extensive research, engaging with industry experts, burning the midnight oil, etc. Every word we write is aimed at solving our readers’ problems.

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