From Grin Labs Wiki
Jump to: navigation, search



The card versus cash-based payment share in Argentina is spread quite evenly. Around 44% of online payments are made with debit and credit cards, which is balanced out with a similar percentage of cash based methods such as PagoFácil and RapiPago.

Since more than 60% of all internet users have concerns about security in online payments, the share of payment methods in online payments is spread out quite evenly. Around 45% of all online payments are made with credit cards, and debit cards, the remainder mostly with cash-based solutions, like PagoFácil and RapiPago.

44% Cash based methods (Pago Facil, Rapipago, Bapro, CobroExpress) 42% - Visa, MasterCard, Tarjeta Naranja, Italcred 12% Bank Transfer 2% American Express [1]

Mobile Payment Methods

Smartphone ownership in Argentina is lower than other Latin American regions (33%). This has an effect on mobile purchasing, as only 8% of Argentinian respondents shop via smartphone. Encouragingly, 48% of online shoppers intend on using a smartphone or tablet to purchase online over the next 12 months (global average 40%). [2]

Digital Invoicing

Mexico, Brazil and Argentina have teamed up to launch a pilot program that strengthens cooperation between the countries in exchanging digital invoices. The nations are already situated in one of the world’s highest-ranked continents when it comes to digital billing. [3]

Payments Regulation

Local entities

A local entity is required to accept payments in Argentina, and there are legal and fiscal limitations regarding the repatriation of funds. [4]



  • In Mexico and Argentina, some online retailers offer cash on delivery as an option
  • Shipping is problematic in Latin America and consumers are skeptical about product quality and actual delivery. That is why they prefer to pay cash on delivery. Several local ecommerce companies provide their own shipping services and have lenient return policies as they try to gain the trust of consumers.
  • American merchants can avoid the difficulties of direct sales by using a marketplace. [5]


Cámara Argentina de Comercio Electronico (Argentine Chamber of E-Commerce or CACE) released a study of the country’s online shopping market that showed growth of 49.5%. Other interesting figures from the CACE study include:• 29.5% of Argentina’s Internet users engage in e-commerce—9 million shoppers

  • 89.6% of Argentine online shoppers use local firms for e-commerce and the most popular is Mercado Libre, while 10% use foreign firms like ebay and amazon [6]


MercadoLibre remains the dominant online marketplace in Latin America. Founded in 1999, the company now operates its marketplaces in 12 countries across the region. In 2013, over 40% of marketplace revenues came from Brazil (where the company is known as MercadoLivre) and almost 25% were from Argentina; in addition, Venezuela and Mexico are key markets for the company.

Brands interested in expanding in Latin America through MercadoLibre should note that MercadoLibre brand stores are a relatively recent addition. MercadoLibre has operated a series of successful marketplaces across in the region for 15 years; its brand stores, however, are newer. The first one launched in Argentina in June 2013, followed by Brazil later in the year and Mexico in early 2014. A large number of sellers on the new brand stores focus on the rapidly growing categories of apparel, footwear, and accessories, although MercadoLibrehave traditionally seen a large percentage of sales from consumer electronics and computer hardware (two of the largest online retail categories in the region).10 Brands selling on the new branded marketplaces typically use MercadoLibrein the countries in which the brand stores operate Correios, in Brazil. Free shipping options are quite common among sellers. The revenue model is commission [7]

Major shopping categories

Top products to buy online include smartphones, women’s clothes, car accessories, men’s clothes and decorative items for the home. [8]

Major retail holidays

Retail holidays in Argentina.

Legal / Regulatory

There are legal and fiscal limitations around the repatriation of funds.

Cross-border Restrictions

Argentina’s government has introduced new restrictions limiting citizens to two purchases of goods from foreign e-commerce websites each year. And, the Administration of Public Revenue (AFIP) has also set a value limit that means consumers will be able to buy only $25 worth of goods from websites abroad each year.Argentinians looking to buy more than this amount will have to register with the government as importers, thereby complying with the country’s import regulations, the General Import Regime.The new controls published yesterday in the country’s Official Gazette aim to reduce the amount of currency leaking out of the country’s troubled economy.As well as registering as importers, consumers buying more from abroad than the two-item, $25 limit will face a 50% import tax on anything they buy, including shipping costs.Consumers buying more than their limit of goods will not be able to have items delivered to their home, or even to a post office for collection — they will have to pick up items direct from customs facilities.And, cross-border online shoppers will have to submit a sworn statement or affidavit to the government — stating what has been purchased, attaching a printed receipt and including a tracking number — before items can be removed from customs. [9]

The new regulations do suggest that the government will issue a list of items that can be purchased from abroad without restriction. “The Directorate General of Customs shall prepare for consideration, a list of goods that will be exempted from this rule,” said the AFIP resolution, adding that the list will at some point be made public on its website.The new restrictions appear to target items shipped into Argentina by postal operators or official couriers for delivery by the country’s universal postal service provider, Correo Argentino, potentially allowing private sector couriers to get around the restrictions. [10]

Import Taxes

Both Argentina and Brazil impose high taxes on imports and American merchants thinking about selling to these countries should consider carefully about whether their goods will be affordable. Brazil imposes a flat import tax of 60 percent on the cost, insurance, and freight value of goods up to U.S. $3,000. Duty rates of up to 35 percent and sales taxes may also apply.It is not uncommon for taxes and fees to double the cost of the product to consumers. As a result, digital sales will comprise only four percent of total retail sales in 2015. Nevertheless, these costs have not deterred the Brazilian middle class from buying goods online. In Argentina, a value-added tax rate of 21 percent applies as does a duty rate of up to 35 percent. [11]


Argentina has high levels of internet penetration in in relation to other Latin American regions in the research. At 66%, the region is close to Canada and the United States in terms of population percentage shopping online. Consistent with more mature internet shopping markets, the percentage of disposable income spent online is lower than average, 21% in Argentina against 23% globally. [12]

"* In 2012, online shoppers represented 32.4% of all internet users, meaning a total of 10 million people.

  • It is estimated that e-commerce in Argentina represents 8.7% of all e-commerce in Latin America and the Caribbean.What’s more, the study also revealed that over 72% of Argentine internet users consult the web regularly to analyze their offline purchasing options, thus amplifying the reach of the medium as an essential part of the buying process.

Growth Factors- The continuous growth of the total number of internet users in Argentina, which went from 3.7 million in 2001 to 31.1 million in 2012.- The sustained growth of the proportion of internet users who buy online, from approximately 10% in 2001 to 32.4% in 2012.

  • The average number of items sold online by the companies in the sample was 2.55 million, as opposed to 1.48 million on 2011.
  • A sharp increase in internet connections, from 130,000 connections in 2001 to 6.5 million in 2012. Likewise, mobile broadband connections grew to more than 1.8 million at the end of 2012, and semi-public access points (wireless in cafes, hotels, etc.) are continually being developed, as well as other connection modes – public and private, free and paid.
  • Improved consumer confidence in online transactions and better perception of security." [13]


While Argentina expresses concerns about security when shopping online slightly above average at 66%, it has the lowest experience of respondents having been victims of online fraud, 7% in the region against 14% globally. [14]


  1. The Global E-Commerce Payments Guide 2015 "Guide Website"
  2. Worldpay. "Are You Giving Your Customers What They Really Really Want?"
  3. [ "Global Spotlight on Mexico, Brazil, and Argentina"
  4. Gointerpay []
  5. Practical Ecommerce "Ecommerce in Latin America"
  6. Practical Ecommerce "Ecommerce in Latin America"
  7. Forrester. Five Global Marketplaces all Brands Must Know
  8. Latin Link "ECommerce in Latin America Spikes by Nearly 43%"
  9. Post and Parcel. "Argentina Imposes Tight Restrictions on Cross-Border E-Commerce."
  10. Post and Parcel. "Argentina Imposes Tight Restrictions on Cross-Border E-Commerce."
  11. Practical Ecommerce "Ecommerce in Latin America"
  12. Worldpay. "Are You Giving Your Customers What They Really Really Want?"
  13. Pulso Social "Ecommerce in Argentina"
  14. Worldpay. "Are You Giving Your Customers What They Really Really Want?"