Black Friday as an opportunity for retailers must be on everyone’s radar by now, but a lesser-known but more popular holiday in Mexico – for shoppers at least – is the upcoming El Buen Fin.
El Buen Fin is a nationwide shopping event in Mexico, very similar to Black Friday, created in 2011 to stimulate the Mexican economy. Something it has achieved admirably, with US$130 million in sales recorded in 2017, a 43% increase from the previous year. According to a study by Asociacion de Internet MX online sales are expected to grow by an astonishing 92% this year.
The event is four days long and takes place the weekend before the Mexican Revolution holiday, scheduled this year from 15-18th November 2019. Both online and offline retailers get involved and with sales increasing from 1.73 billion pesos (approximately US$88 million) in 2016 to 2.48 billion pesos (approximately US$127 million) it’s clear that the event is becoming more popular with shoppers year on year.
Opportunities for Retailers
Research from eShopWorld shows a significant spike in shopping online in Mexico for the four days of El Buen Fin, with an even bigger spike for Black Friday and a slightly smaller, but still impressive, jump for Cyber Monday 2018.
While selling online across borders into Mexico is challenging – from reduced internet penetration in rural areas, and a lack of credit cards across the population at only 9.52% in 2017, down from 17.82% in 2014 – it is an enormous opportunity, that can pay handsome dividends through an optimized, local solution.
65% of those who shop online use credit cards to pay for purchases, with debit cards, e-wallets, and bank deposits the next popular methods. Nearly 50% of eCommerce transactions in Mexico are paid via payment at convenience store Oxxo and through bank transfers. Cash on delivery – which can be facilitated by a PayPal credit card – is another popular way to pay online.
El Buen Fin and Black Friday are the biggest shopping holidays in Mexico surpassed only by Christmas, meaning that the six weeks leading to the end of the year are a great time for eCommerce retailers to focus their attention on the market.
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