E-commerce in Brazil: understand more about this Market

Even though the economic impact during this pandemic is immeasurable, it is still possible to view this critical scenario from a new angle and, from a new consumption trend, to establish oneself. If the recommendation is to stay at home, e-commerce in Brazil is becoming a real solution for consumers and, especially, for businesses.

According to the profile of Brazilian e-commerce, conducted by BigData Corp and Pay Pal, in 2019, there are more than 930 thousand online stores in Brazil. The number, which already shows an increase of almost 40% concerning 2018, has room for growth within the difficulties caused by Covid-19.

A recent study, by the Brazilian Retail and Consumer Society (Sociedade Brasileira de Varejo e Consumo), indicated that, due to the pandemic, consumers are afraid to leave home. Therefore, they shop online. Of the consumers who had already bought online, eight per cent did so for the first time during the quarantine. As the level of satisfaction is high (over 80%), the habit of shopping online, via e-commerce platforms, tends to continue. 

The e-commerce trend in Brazil

If online shopping via desktop was already consolidated, purchasing via mobile applications continues to attract more followers. Nearly 80% of consumers buy or have already bought via mobile phone. To meet their expectations, a smooth and objective shopping experience is anticipated each day.

More than 75% of online stores are already prepared to provide accessibility in an uncomplicated interface for smartphones, through responsive applications or websites, adaptable to all types of screens. 

This evolution is essential in Brazil. Due to difficulties in gaining access to the internet and to computers, more than half of Brazilians have used a smartphone to connect with the internet for the first time.

The reality of the Brazilian e-commerce market

During the pandemic, the most consumed goods are health, food, and hygiene products. When considering the consolidated data of the 39th Webshoppers report, conducted by Ebit - Nielsen, in 2018, perfumery, cosmetics, and health dominated the market, with 16.4% of purchases, followed by fashion and accessories, 13.6%. In sales, however, household appliances held 19.6% of the market share. Next came telephone and mobile phone products, with 18.2%.

Per the E-commerce Brazil ranking, Mercado Livre, Americanas, Amazon, Magazine Luiza, and Casas Bahia, dominate online shopping because one fact has not changed: the consumer needs to feel safe when shopping online. Therefore, established brands are the leaders, precisely because they build a relationship of trust with the consumer, who feels more encouraged to buying and, especially, to shop higher values.

During the pandemic, food delivery and shopping applications in pharmacies and supermarkets were surprisingly high. Rappi, for example, reported a 300% increase in the number of orders. There is also a reflection in the registration of deliverers. This is the case of iFood, which increased its market share by 23,000 from February to March 2020. To read more about this impact, check out the article published by Fernanda Zago, our specialist in Strategic Partnerships and Business Development.

In summary

The e-commerce market in Brazil is changing. And the Covid-19 pandemic is responsible for accelerating a growing trend of online shopping. By the same token, transactions are also advancing with the use of mobile devices, a great medium of accessing the Internet for Brazilians. 

We are in a period that will bring about significant transformations to the retail market.

The speed in payments is not always equal to that in refunds. This is due to payments made by bank slip, for example, not including a refund method.

Thus, with the growth of the market, there is also a growing need for intelligent solutions for solving these issues of refunds, a solution offered by WePayOut with payments via lottery stores, bank transfer and soon Pix and wallet.

If you have an e-commerce application and need a solution such as this, click here and learn more about us.

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