EBANX has reached a commitment term with the Central Bank of Brazil
Public document released by the Central Bank describes measures to be taken by the company in order to disproof malpractices
After Brazil, Mexico has the largest e-commerce market in Latin America. In 2017, Mexicans spent 125$ US per capita online, compared to 3,283$ US at point of sale locations. The Mexican e-commerce market is a promising one. In the following four years, the market is expected to grow at a compounded annual growth rate of 13%. Cross-border transactions are generally made with the US. One third of Mexicans own a mobile phone, so it is the largest potential M-commerce market in Latin America.
Cash payment in Mexico is especially important, as many Mexicans do not have bank accounts. In 2017, 76% of brick-and-mortar purchases were paid cash. Card payments make up over half of transactions, with 30% of transactions made through credit cards and 24% over debit cards, including charge debit cards. Visa holds 60% of the card market, as MasterCard comes in second with 33%, followed by American Express with 5%. Local card schemes account for 2% of the card market. Credit card also slowly losing speed. Mobile wallets were used to pay for 14% of e-commerce and 3% of POS transactions in 2017. Other alternative methods include bank transfers and payments in businesses - these methods are expected to take off in the next few years.
Through the largest telephone company in Mexico, "Teléfonos de Mexico" (Telmex), prepaid cards have gained popularity. Prepaid cards with mobile payment functions is a good alternative for consumer without a bank account. For m-commerce, the preferred payment methods are direct debit and the e-wallet giant PayPal.
A third of the Mexicans are buying online from foreign shops, a growing trend. This places Mexico clearly above the global average. As previously mentioned, most imports come from the USA. Accordingly, most Mexican exports are sold to the USA.
Mexico’s E-commerce market is small but growing rapidly. This, of course, also involves fraud risks. Consumers are very committed to fraud protection. They will, for example, seek to work with the safest banks and, if necessary, switch banks. Security concerns also leads Mexican customers to avoid storing their payment information on online shops.
Crebit card 30%
Dedit card 24%
Charge debit card 15%
Bank transfer 7%
18 Bil. USD
Population: 129 Mil.
Internet Usage: 72%
Euromonitor - Financial cards and payments in Mexico 2018
Worldpay - Global payments report, Nov 2018
Get your free quote in only 3 simple steps!