News Article

COVID-19: Opportunity to Promote Digitalization

By Daniel González | Thu, 04/02/2020 - 16:24

Mexico ended 2019 as the second country with the most online sales in Latin America, only surpassed by Brazil. Argentina came in third. The information was confirmed by the website emarketer.com on its annual report. The size of the country’s population, the improvement in infrastructure during the 21st century and the efforts made by the public and private sectors to increase the digitalization of buying and selling processes are among the main reasons for placing second.

According to the Mexican Association of Online Sales (AMVO), these great results will not change during the COVID-19 pandemic. The association, which brings together the most important digital sellers in the country, says the world pandemic will reach its peak in Mexico in the coming weeks. This could possibly turn into a great situation for the country and increase online sales. “There are opportunities for companies in Mexico to take the best practices implemented today in other regions of the country that are currently facing an emergency scenario,” according to an AMVO statement sent to the media.

AMVO´s representatives say this is a good time to look at other countries that are in the same situation as Mexico, especially those that have managed to control the spread of the virus. “In China, consumers are turning to online markets for their daily food supply. According to figures from French retailer Carrefour, vegetable deliveries increased by 600 percent during the Lunar New Year period and Chinese online retailer JD.com reported that its online grocery sales grew 215 percent compared to last year,” according to AMVO.

Information provided by the MX Internet Association says Mexico closed 2019 with an online sales volume of MX$631.7 billion, a 28.6 percent increase over 2018. The arrival of COVID-19 could cause even the most optimistic forecasts for 2020 to be exceeded, as companies such as Amazon, Netflix and HBO, as well as others related to home delivery and online pharmacies, could see a significant increase in sales in the coming months, at least until the infection curve is brought under control in the country. 

The data used in this article was sourced from:  
AMVO, Milenio, El País
Daniel González Daniel González Senior Writer