Imagine a vast region with 650 million people where e-commerce penetration remains significantly lower than in developed Western markets. This undiscovered potential represents what industry experts call the "last blue ocean" of cross-border e-commerce, now emerging at remarkable speed.
Latin America's E-Commerce Boom
Since 2019, Latin America has ranked as the world's fourth-largest retail market. eMarketer projects the region's e-commerce volume reached $118 billion in 2021, signaling extraordinary commercial potential. Brazil stands out as the regional leader, driving much of this growth.
Brazil: The Gateway to Latin America
As Latin America's most populous nation with over 200 million residents, Brazil boasts one of the region's highest internet penetration rates at 80%. Its e-commerce market generated $26 billion in 2021, ranking 15th globally and first in Latin America. Establishing presence in Brazil serves as the strategic entry point for the entire region.
Chinese Companies Lead the Charge
Several Chinese enterprises have already capitalized on this opportunity. Fast-fashion giant SHEIN surpassed $400 million in Brazilian sales while localizing its supply chain. Alibaba's logistics arm Cainiao launched direct China-Brazil air routes, reducing delivery times to as little as 12 days.
Key E-Commerce Platforms
Brazil's competitive marketplace landscape presents multiple opportunities:
- Mercado Libre: Latin America's largest platform with 668 million monthly visits
- Amazon Brazil: The region's second-largest marketplace
- Local Players: Including Americanas, Casas Bahia, Magazine Luiza, and specialized platforms like Netshoes and Dafiti
For international sellers, Mercado Libre and Amazon Brazil offer the most established infrastructure. Mercado Libre provides unparalleled local traffic, while Amazon brings global logistics expertise.
Mercado Libre's Brazilian Expansion
In September 2022, Mercado Libre secured R$1 billion (approximately $200 million) to strengthen its Brazilian operations. The investment focuses on logistics expansion, including four new fulfillment centers expected to process over 1 million additional daily transactions. By year's end, the company will operate 12 fulfillment centers, 20 cross-docking facilities, and 100+ service locations across Brazil, enabling one-day delivery to 2,100 cities and two-day service to 4,700 locations.
Market Dominance Confirmed
Recent data from Snaq & Similarweb shows Mercado Libre's commanding lead with 649 million quarterly visits across devices—more than triple sixth-place Shopee's 217 million visits and nearly four times seventh-place AliExpress's 164 million.
Future Growth Projections
Statista forecasts Brazil's online shoppers will grow to 138 million by 2025, with e-commerce volume reaching $31.5 billion. The core demographic of 26-50 year olds combines purchasing power with openness to digital commerce, positioning Brazil for sustained expansion.
With Brazil and Mexico leading a $118 billion regional market, Latin America presents unprecedented opportunities for global e-commerce sellers. The time for market entry is now, before this final frontier becomes crowded territory.