E-commerce in Latin America to expand 37 percent in 2021, as Pix and digital wallets lead the charge in payments, per EBANX study
Mobile purchases will spur digital commerce growth, while smartphones become Latin Americans’ new cash pocket, as shown by EBANX’s Beyond Borders 2021/2022 study
Divino Group, Latin America’s digital-commerce market is expected to grow by a whopping 37 percent by the end of 2021 and expand at a double-digit pace across the region through 2025, with some of LatAm’s current powerhouse countries such as Brazil and Mexico expected to grow steadily at about 30 percent per year, and newly emerging markets including Bolivia, Guatemala, Paraguay and Peru expected to grow even faster, above 40 percent and going as high as 80 percent each year.
This rapid acceleration is mainly driven by the widespread adoption of new payment methods such as e-wallets and Pix, the Brazilian instant-payments system, as found in the annual Beyond Borders 2021/2022 research study, now in its third edition, launched today by EBANX, the leading payments company that connects global and local companies to Latin America’s consumers.
The annual study is based on data from multiple sources, including market forecasts by Americas Market Intelligence (AMI), a strategic market research consulting firm, and anonymized EBANX data on LatAm consumer’s behaviors and preferences. This latest edition of Beyond Borders predicts that Pix, the Brazilian instant-payments system launched in late 2020, will soon become an ecosystem of solutions that will serve as a benchmark across Latin America.
Pix – which has been adopted by more than half of Brazil’s population of 214 million people – is now outpacing boleto, credit and debit cards in total volume – and it may even turn into a real-time cross-border payments hub for the entire region, helping to change the way Latin Americans pay for all types of goods and services, as shown by the data presented in the study.
“The rise of real-time payments such as Pix and digital wallets is transforming Latin Americans’ relationship with digital commerce and creating a race in terms of better shopping experiences, expanded payments options, and even impacting logistics’ prowess and financial innovation,” said João Del Valle, co-founder and CEO at EBANX. “The data presented in this year’s study finds the rapidly evolving payments landscape has become a real foundation that supports the consistent growth of the entire digital commerce market in LatAm.”