Data Analytics firm, GlobalData, says smartphone adoption is set to drive e-commerce activities in Latin America through to 2023. Eulalia Marín-Sorribes, Technology Analyst at GlobalData, said: “Despite challenges in countries such as Brazil, Mexico, Peru, and Argentina, the current largest B2C markets in Latin America, a number of local e-commerce initiatives have managed to adapt successfully, offering creative solutions that facilitate payments and product delivery.”
With the more widespread adoption of smartphone use, LatAm companies are able to overcome existing challenges to e-commerce in the region, seeing steady growth in sales. Challenges include lower internet penetration, more modest banking facilities, as well as less intensive urbanization that impacts the reliability of product shipping, for both buyers and sellers.
The US remains the largest e-commerce market for the time being, however a steady increase in successful e-commerce in LatAm, possibly attributed to smartphone adoption, could see its dominance threatened by 2023.