Insights into the growth of the Latin American e-commerce market including payment methods, online shopper profiles, digital advertising, logistics and economy


Latin America is home to 652 million people, with GDP per capita currently  US$12,331 and expected to reach US$28,039 by 2025. There are many attractive e-commerce markets within Latin America and for the purposes of this article we will focus our research on Mexico, Argentina and Brazil.

Digital User Insights

There are currently 188.3 million people shopping online in Latin America, with 56 million new users expected to shop online by 2025. There will be a total of 244 million e-commerce users by 2025.Latin America E-Commerce
Additionally, online shoppers are expected to spend more over time. The average user currently spends US$225 online, which will grow to US$278 by 2025.

Latin America E-CommerceProduct Categories

Total e-commerce revenue across all product categories is US$42 billion, expected to surpass US$67.9 billion by 2025. Electronics and Media is currently the leading product category accounting for over US$10 billion market share. Fashion is the second leading product category accounting for US$9.8 billion. Toys, Hobby & DIY is the third leading product category accounting for US$8.4 billion.

By 2025, Electronics and Media will continue to lead the charge, valued at US$17.4 billion. Fashion will remain in second place reaching over US$16 billion USD. Toys, Hobby and DIY will take third place accounting for US$12.7 billion.

Latin America E-Commerce


The World Bank rates Latin America logistics as poor, with the region scoring 2.66 in the 2016 LPI index. However, this figure takes the entire region into consideration, and there are parts of Latin America which are much less developed than others. Individually Mexico, Argentina and Brazil all score an LPI of about 3 placing them all within the World Bank’s Top Seventy LPI Ranking.

Preferred Online Payments

58% of Latin American online shoppers selected ‘cards’ among their preferred online payment options. Payment wallets such as PayPal were preferred by 10% of online shoppers, and Cash on Delivery was also used by 17% of online shoppers. The usage of these payment methods will vary from country to country, with credit cards leading the charge across all three of the key markets.

Latin America E-Commerce

Internet and Device Usage

Internet penetration in Latin America is currently at 71%, and should reach 79.5% by 2025. Smartphone penetration is 69% and is projected to grow to 79% by 2025. It’s important to note that these penetration rates are higher in urbanized areas and that the figures are weakened by the rural areas.

59% of online shoppers in Latin America prefer to shop online via desktop, which is lower than the global average. 6% of online shoppers prefer smartphone and 6% prefer tablet. 29% claim to have no preference. Mobile will continue to grow and is expected to play an important role, particularly in relation to the younger generation of online shoppers.

Latin American E-Commerce



Advertising spend in Latin America is expected growing steadily and reached US$27.9 billion in 2019 (latest data). Digital advertising is also expected to show strong growth and reached US$7.28 billion 2020, and is anticipated to reach US$9.64 by 2022.

Latin America E-CommerceSocial Media

81% of Latin Americans currently use Social Media, as of 2019 (latest data).  It’s also important to note that the social media penetration is considerably higher among internet users, with 76% of internet users logging on. Facebook, Blogger, LinkedIn and Twitter are the leading social networks.

Graph Latin American Blog Linkedin V1a 04 1024x536



For more market insights, check out the eShopWorld series of blogs covering a range of emerging e-commerce markets. 

*Insights derived from eShopWorld data, Statista, WorldBank, OECD and other industry sources.

Mexico – The eCommerce Jewel In LATAM’s Crown