{"id":2255,"date":"2023-11-25T06:26:40","date_gmt":"2023-11-25T06:26:40","guid":{"rendered":"https:\/\/buzz360news.com\/index.php\/2023\/11\/25\/mercadolibre-the-next-amazon-in-latin-america\/"},"modified":"2023-11-25T06:26:40","modified_gmt":"2023-11-25T06:26:40","slug":"mercadolibre-the-next-amazon-in-latin-america","status":"publish","type":"post","link":"https:\/\/buzz360news.com\/index.php\/2023\/11\/25\/mercadolibre-the-next-amazon-in-latin-america\/","title":{"rendered":"MercadoLibre: The Next Amazon in Latin America?"},"content":{"rendered":"<p class=\"youtube-url\" style=\"text-align:center;\"><iframe loading=\"lazy\" title=\"MERCADO LIBRE: Has this Argentine company DEFEATED AMAZON in Latin America? - VisualPolitik EN\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/epRLy3RC6wg?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<h3><\/h3>\n<p>With Amazon&#8217;s incredible growth trajectory now in the rearview mirror, investors are on the lookout for the next e-commerce giant. Enter MercadoLibre, often referred to as &#8220;the Amazon of Latin America.&#8221; This article explores why MercadoLibre has the potential to replicate Amazon&#8217;s success and become the dominant player in the region&#8217;s growing e-commerce market.<\/p>\n<h3>MercadoLibre&#8217;s target market is undergoing a major evolution:<\/h3>\n<p>MercadoLibre is solely focused on building its e-commerce business in Latin America, where there is yet to be an overwhelming market leader. The company&#8217;s diverse portfolio includes a digital payments platform, logistics, digital advertising, and point-of-sale equipment. With South America&#8217;s growing access to broadband and mobile connectivity, MercadoLibre is well-positioned to capitalize on the region&#8217;s e-commerce boom.<\/p>\n<h3>The growth of broadband and mobile connectivity in Latin America:<\/h3>\n<p>Latin America&#8217;s access to at-home broadband has increased from 30% to 50% in the past decade, mirroring the growth seen in the United States ten years ago. This proliferation of high-speed connectivity is expected to drive the growth of e-commerce in the region. Additionally, mobile phone penetration in Latin America is on the rise, with 69% of the continent&#8217;s residents owning mobile phones. This growing mobile crowd is likely to embrace mobile shopping and mobile wallets, further fueling the e-commerce market.<\/p>\n<h3>MercadoLibre leading the charge:<\/h3>\n<p>MercadoLibre is not only benefiting from the tailwinds of increased connectivity but is also capturing a significant share of the market. The company currently holds a market-leading 21% share of Latin America&#8217;s e-commerce market, after three years of consistent growth. While this share may seem modest compared to Amazon&#8217;s dominance in the U.S., it is similar to where Amazon stood in the U.S. market around 2014.<\/p>\n<h3>Impressive financial results and future growth:<\/h3>\n<p>MercadoLibre&#8217;s growing share of a growing market is translating into impressive financial results. Last quarter, the company reported a 32% year-over-year increase in gross merchandise volume and a 40% growth in revenue. Analysts expect MercadoLibre to deliver revenue growth of around 23% next year, driving per-share earnings up significantly by 2024. This strong sales growth is projected to continue through 2027.<\/p>\n<h3>Expanding payment technology&#8217;s reach:<\/h3>\n<p>MercadoLibre is expanding its payment technology&#8217;s reach, with its mobile payment and banking app experiencing a 47% year-over-year increase in total payment volume. While the app currently handles only about 5% of the region&#8217;s digital payments, the addition of credit cards and new payment features sets the stage for strong growth. By integrating its e-commerce platform with its payment platform, MercadoLibre is positioning itself as a one-stop-shop for consumers, reducing the likelihood of competition from rival mobile wallets.<\/p>\n<h3>Conclusion:<\/h3>\n<p>While investing always carries risks, the parallels between Amazon&#8217;s growth trajectory and MercadoLibre&#8217;s current position in Latin America&#8217;s e-commerce market are hard to ignore. With a growing market, impressive financial results, and an expanding payment technology reach, MercadoLibre has the potential to become the next Amazon in Latin America. Investors should keep a close eye on this emerging e-commerce giant as it continues to seize opportunities in the region.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>With Amazon&#8217;s incredible growth trajectory now in the rearview mirror, investors are on the lookout for the next e-commerce giant. Enter MercadoLibre, often referred to as &#8220;the Amazon of Latin America.&#8221; This article explores why MercadoLibre has the potential to replicate Amazon&#8217;s success and become the dominant player in the region&#8217;s growing e-commerce market. MercadoLibre&#8217;s [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":2256,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[61],"tags":[],"class_list":["post-2255","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-e-commerce"],"_links":{"self":[{"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/posts\/2255","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/comments?post=2255"}],"version-history":[{"count":0,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/posts\/2255\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/media\/2256"}],"wp:attachment":[{"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/media?parent=2255"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/categories?post=2255"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buzz360news.com\/index.php\/wp-json\/wp\/v2\/tags?post=2255"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}