Case Study: eCommerce in Mexico

Mexico is the fastest growing and second largest technology market in Latin America next to Brazil. In the last eight years, Internet access in Mexico has grown 774% with only a quarter of the population (approximately 110 million) currently using the Internet. Internet commerce is expected to grow steadily as more Mexicans convert to online shopping and as online bank services and large online retailers increase their ecommerce offerings. The potential for healthy growth makes Mexico one of the most attractive ecommerce markets in the world right now. Concurrently, the demand for cross border products by the Mexican consumer has also experienced substantial growth. As an emerging market, Mexico offers opportunities for global-minded e-tailers to meet this demand for U.S. products. In 2009, more than half of the largest online retailers in the U.S. accepted international orders – a sales channel that was virtually non-existent 3 years ago. With the arrival of alternative payment methods replacing credit cards and advancing logistics solutions, more and more merchants have warmed up to cross border customers and are looking towards international markets to increase their sales. Mexico is one of those markets and is ready for business.