E-commerce in Latin America keeps a stable and notable growth around the region.
Countries such as Brazil, Mexico and Argentina show an important progress during the first half of 2022.
Sales in e-commerce not only registered a significant growth due to the pandemic, but it also ranked as a secure, fast and reliable sales channel. According to a survey conducted by Bloomberg and Americas Market Intelligence (AMI), Latin American is the market with the largest growth, accounting for 37% of the sales. For instance, Chile is one of the most advanced e-commerce markets. AMI estimates a 20% growth in 2022.
E-commerce logistics in Latin America has definitely influenced the market. Logistic companies have implemented measures to improve their shipping rate, showing some promising results. During the first half of the year, Mexico registered the fastest transit time. In Chile, contributions among different private and public companies have reduced shipping time, showing a direct effect on e-commerce accessibility and growth.
The continent’s dynamism, increasing use of smartphones and improvement in internet access are also elements that emphasize its potential. Their effect is reflected on mobile e-commerce (m-commerce), as Latin American buyers have seen its advantages. According to Statista, retail sales in 2021 were estimated to amount to 64 billion U.S. dollars, showing a 35% growth compared to 2020. Therefore, everything points that this year’s retail sales will account for more than half of the total sales in the region.
In Peru, the global e-commerce market will achieve global revenue reaching 4.2 billion U.S. dollars by the end of 2022, where digital and mobile applications have become the most important alternative for millions of companies, according to Luis Rojas, PLAY Group CEO.
In Chile, 58% of online purchases are made through m-commerce, while the remaining 42% are made with computers, as stated by AMI.
In the long run, the market becomes more attractive for local and international companies outside the continent.
The fundamental role of payment methods is not surprising. Many companies have witnessed the advantages of having more payment methods, reducing their checkout time, and guaranteeing the security in each transaction. As a result, the opportunity for companies to expand around Latin America opens up even more.
Flow exemplifies the diversity of payment methods. It has all the digital solutions to boost your sales, regardless of your company size.
Besides, Flow offers an array of local payments available for your buyers in Chile, Mexico and Peru.
So, ¿what can be expected by the end of 2022?
That e-commerce growth is unstoppable. Latin America keeps proving its potential for companies to expand throughout the region, with a 30% estimated growth until 2025.
Of course, there is still room for improvement, but everything suggests that e-commerce in the region will continue evolving.