Analysis of the development of Brazil’s e-commerce market and consumers’ online shopping preferences

As the largest country in South America, Brazil’s huge population base and growing Internet usage rate (approximately 60%) have made it one of the international e-commerce markets that major e-commerce platforms compete for. In recent years, Brazil’s e-commerce market has shown rapid development. According to research by the Vargas Foundation in Brazil, with the popularity of smartphones and the expansion of mobile payment services, the frequency of Brazilian consumers using e-commerce services has increased significantly. Between 2016 and 2017, the proportion of Brazilian consumers using mobile payment terminals jumped from 22% to 31%, reflecting the strong growth momentum in Brazil’s mobile e-commerce sector.

Characteristics of consumer behavior

Brazilian consumers show unique preferences when shopping online. First of all, they are very price sensitive, prefer to look for high-quality and low-priced products, and show great interest in products with free shipping. In addition, Brazilian consumers are more likely to choose installment payment to complete transactions, which accounts for approximately 80% of the total transaction volume. It is worth noting that although Brazilians are keen to enjoy discounts, when it comes to football-related goods, they are willing to spend more, showing a unique consumer culture.

Payment habits

In terms of payment methods, Brazilian consumers are more likely to use credit cards for transactions, with credit card payments accounting for more than 60% of the market share. In addition to domestically issued credit cards, international credit cards such as Visa, MasterCard, American Express and Diners Club are widely accepted in Brazil. At the same time, bank transfer, online banking and cash payment are also common payment methods. However, the use of online credit cards in Brazil is not as high as expected due to the difficulty of applying for a credit card that can be used for cross-border transactions.

Cross-border shopping trends

Data shows that about 38% of Brazilian consumers will choose to purchase goods from foreign websites, especially categories such as fashion clothing, electronic products and computer accessories are deeply loved by Brazilian consumers. This has also contributed to the remarkable success of cross-border e-commerce platforms such as AliExpress in Brazil. According to reports, the number of registered users of AliExpress Brazil in 2017 was close to 10 million, an increase of 68% from the previous year. During the Double Eleven period of the same year, Brazilian consumers placed nearly 2 million orders on AliExpress, a year-on-year increase of nearly 20%.

To sum up, understanding the shopping habits and payment preferences of Brazilian consumers is crucial for merchants who want to enter this market. By providing competitive prices, diverse payment options, and excellent customer service, we can better attract and serve Brazil’s online shopping community.