Find out about trends for e-commerce in Peru that indicate the rise in success for businesses with an online sales model. As we are living a new culture of social coexistence, purchases through e-commerce platforms have seen a considerable increase in many Latin American countries. Peru is among those countries in Latin America with the highest number of internet users, so e-commerce is expected to be significantly more popular in this country than others in the region.
SEE ALSO: Find & Hire Staff Through an Employer of Record in Peru
Measures adopted to prevent the spread of Covid-19 in Peru have encouraged people to adapt to and become familiar with e-commerce platforms to access multiple products and services. Currently, the available data regarding consumers’ behaviour shows record growth for e-commerce in Peru, presenting business opportunities for foreign executives thinking about doing business in the country.
Different categories for e-commerce in Peru
E-commerce refers to a commercial transaction facilitated through the internet. There are four categories for e-commerce activities that describe the different transactions people usually make when purchasing products through these platforms:
- Business to Consumer (B2C): This is the most common business model where a company sells a good or service to a consumer.
- Business to Business (B2B): This happens when a company sells a good or service to another company.
- Consumer to Consumer (C2C): This happens when a consumer sells a good or service to another consumer.
- Consumer to Business (C2B): This happens when a consumer sells products or services to a company.
Figures show growth in e-commerce in Peru
Peru’s e-commerce environment has demonstrated tremendous growth in the last 4 years. According to Helmut Cáceda, CEO of the Peruvian Chamber of Electronic Commerce (CAPECE), Peru’s e-commerce sales grew from US$276 million in 2009 to US$4 billion last year (2019), registering a growth of 31% over 10 years.
Furthermore, Statista, an online statistics portal, carried out a survey about Internet users in Latin America in 2019. Results position Peru as the fifth country with the most Internet users in the region, as shown in the graph below.
Statista also posits that internet penetration in Peru is also one of the highest in Latin America, supporting a healthy environment for online sales or e-commerce transactions. In 2019, Peru’s internet penetration reached 72.9% of its population, behind the ‘big four’ markets in the region, Brazil, Mexico, Argentina and Colombia.
In addition, an investigation by Euromonitor International argues that Peruvian Internet users are very active, as they browse the internet more than 5 times a week. This indicates that people in Peru are more likely to interact with online advertising than in other countries in the region.
It is worth mentioning the e-commerce sector in Peru includes a wide range of industries and services, such as supermarkets, pharmacies, retailers, technology, virtual education, among others. According to CAPECE, e-commerce in Peru could grow by 200% in 2020, becoming the driving force of economic recovery in the country.
E-commerce growth in Peru stimulates business opportunities
As the internet is becoming an essential tool of many Peruvians’ daily lives, foreign executives interested in doing business in the country can now access a more vibrant market and successfully increase online sales. Likewise, people in Peru are increasingly realizing the advantages of acquiring products or services online. Some of these benefits include:
- Global outreach: An online business has no limits to reach consumers in different locations, as opposed to physical stores limited by geographical conditions.
- Quick access: E-commerce companies make it possible for people to access products in a very short time, without having physical contact or waiting in long lines.
- Availability: Whilst browsing the internet, people can visit your online business at any time or day of the week.
- Targeted online marketing: When you decide to advertise your business on different platforms like Facebook or Instagram, you can easily reach your target market.
Reach the Peruvian the market with the help of Biz Latin Hub
Prior to entering this competitive market, it is important to know and understand the rules and regulations. We highly recommended that you and your business engage with experienced local financial and legal services experts to ensure your safe and legal entry.
At Biz Latin Hub, we are market leaders for supporting businesses from all over the world to expand their business in Peru. Our team of qualified professionals in Peru can provide an array of multilingual market entry and back-office services to get your company off the ground. Contact us now for more information, and become part of the e-commerce environment in Latin America.
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