By now, most merchants are aware of the exponential growth in global e-commerce sales in retail – data from Statista projects that the e-commerce industry will have worldwide sales of $ 6.5 trillion by 2023. While these changes are happening around the world, it pays to delve deeper into the acceleration of online sales in Latin America alone.
Latin America is a region full of opportunities because of its economic growth. In fact, Latin America is one of the fastest growing e-commerce markets in the world. In addition, due to COVID-19 in the region, e-commerce has increased significantly.
Carlos Garcia Ottati, Founder and CEO of Kavak, said for the Oxford Business Group:
“Quarantine and social distancing measures have significantly accelerated trust and acceptance of digital platforms and helped Latin America to catch up with more digitally mature markets such as the USA or China.”
Latin America has been a well-kept secret among trade strategists for years. While eyes are often on Asia to satisfy Wall Street’s hunger for growth, brands have devoted more than enough resources to penetrating markets like China to learn that it takes more than a strong product and consumer demand to be successful in a new overseas market.
The numbers are in, the leading ecommerce marketplace in the region, Mercado Libre, has seen massive growth and is expected to account for 25% of all ecommerce sales in Latin America by the end of 2021, attracting the attention of sellers like you from around the world World.
Together with BigCommerce, you can grow your business today by selling your products in Latin America, where 635 million buyers in 33 countries live.
Mercado Libre: your entry point to Latin America
Success abroad reflects your traditional equation of effort and reward. However, businesses are often challenged by the cultural nuances and operational differences associated with entering a new geography. While a thorough analysis is required, one strategy you can use to keep things running smoothly is to leverage the leading marketplace channels in a given market. You want to make sure your first and future customers have the best experience possible, which means you are working with a strong ecosystem that they are already familiar with.
As a leading provider of omnichannel e-commerce platforms, BigCommerce naturally sought and worked with the leading marketplace in Latin America, Mercado Libre. BigCommerce is committed to expanding its successful channel manager platform to ensure that our existing US dealerships are doing their best in building their loyal customer base in the region.
For Mercado Libre, this partnership is a great opportunity to expand its user base and revitalize its core goal: the democratization of trade, payments and money in Latin America.
What is Mercado Libre?
Mercado Libre (NASDAQ: MELI) is the leading e-commerce marketplace in Latin America. Its ecosystem offers a wide range of services for both buyers and sellers across the region, such as:
- E-building solutions
How Mercado Libre works with international retailers
To simplify the process for international sellers, Mercado Libre has launched its Global Selling Program, which enables US sellers to showcase their products in Latin America. From a single account, international merchants can sell products in Mexico, Brazil, Colombia and Chile. One of the main advantages of this program is that sellers list and collect their orders in USD without worrying about local currency fluctuations.
In essence, Mercado Libre is an experience that makes selling in Latin America as easy as selling within the US
Why You Should Use Mercado Libre To Sell In Latin America
Let’s look at six reasons BigCommerce partnered with Mercado Libre to grow its dealerships in Latin America – and why it makes sense for your company to seize this opportunity now.
1. Handling of shipping and fulfillment seamlessly.
Mercado Envios is a logistics solution from Mercado Libre that enables sellers to ship orders to Latin America. It consists of two shipping methods: fulfillment and direct to the consumer. Sellers can choose the one that best fits their business operation and strategy.
This shipping solution takes the sales experience to another level. Sellers only need to ship their products to Mercado libre’s fulfillment warehouses. From then on, Mercado Libre takes care of everything else – from storage and preparation to dispatch on the same or next day.
Option 2: Directly to consumers
With this shipping solution, sellers receive print-ready shipping labels and are responsible for shipping their packages to the partner companies of Mercado Libre (DHL, MailAmericas and Bringer).
2. Increase exposure with product ads.
This integrated advertising solution enables sellers to increase the visibility of their products. With product ads, sellers can hide, pause, or activate campaigns and set daily budgets. This platform works on a pay-per-click (PPC) model, meaning sellers only pay when users click on their ads.
3. Forget about local currency fluctuations.
In the Mercado Libre, sellers list and collect in dollars. This means they don’t have to worry about local currency fluctuations as the platform automatically adjusts and updates prices for their buyers. This is a phenomenal feature that helps sellers focus on selling instead of price updates.
4. Grow with a leader in the region.
Mercado Libre has seen resounding success across Latin America. Since its inception in 1999, the e-commerce retailer has grown to become the most valuable company in Latin America, outperforming other big players such as Petrobras (oil) and Itaú (banks). It is also the number one e-commerce marketplace in Latin America.
5. Eliminate language barriers.
With Mercado Libre, sellers don’t have to worry about language barriers and content localization. The platform offers sellers tools to handle all of their processes in English. This includes automated translations for questions and complaints before and after the purchase.
6. Offer you a better shopping experience.
One of the main differentiators of the Mercado Libre is its reputation system, which is calculated based on the following metrics:
- The number of complaints a seller receives from their buyers
- The rate of orders canceled by the seller
- The processing time
This simple but powerful system enables sellers to identify and address issues that are affecting their reputation and ultimately provides a better shopping experience.
How to register with Mercado Libre
Ready to start? With Mercado Libre you can expand your growth in Latin America with just a few simple steps. If you already have a BigCommerce store, you can do so by connecting to Mercado Libre through the Channel Manager and filling out your application as a Mercado Libre Marketplace seller. Once approved, activate the CedCommerce integration, follow the Mercado Libre onboarding steps and let the sales begin!
Find out more here and get started.