Amazon to Increase its Infrastructure in Mexico

Amazon will continue to increase its presence in Mexico, as the company prepares a major infrastructure investment in the country. 

David Miller, General Director, Amazon Mexico, assured that the company will continue investing in developing infrastructure and special productions of the Amazon Prime line. Miller highlighted that the company’s medium-term plan seeks to incorporate small and medium-sized Mexican companies (SMEs), with primary focus on handicrafts enterprises.

“We are doing very well in the country, the Amazon model is that we always want to have the best customer experience, this includes having the largest variety of products, the best delivery and the lowest prices. This formula is the same that we use all over the world and it is working very well in Mexico,” Miller told El Sol de México. 

Amazon arrived in Mexico on June 30, 2015, and has invested close to MX$20 billion (US$988 million) on developing the infrastructure of its distribution centers. Breaking into the Mexican market is complex as many vendors believe that opening new sales channels is unnecessary, believing that a single platform is enough, said Miller. 

“We give them additional sales. It is a different system, they must learn it, they have to understand the differences but those who are selling on two or more platforms generate more sales," said Miller. 

Last week, the e-commerce giant’s IT services division, Amazon Web Services (AWS), announced that the company will open new offices in Monterrey and Jalisco and install a new infrastructure center in Queretaro, as previously reported by MBN. “We are going to continue investing in the [Latin American] region, to the extent that our clients continue to ask us for [our services]. So, more than a business plan, we are going to continue moving at the same speed,” Jaime Vallés, Vice President Latin America, AWS, told Efe.

Amazon brought its cloud solutions arm to Mexico in 2016 and recently announced new local data centers in Argentina, Brazil, Chile, Colombia, Mexico and Peru. The AWS Cloud has 87 Availability Zones in 27 different geographic regions around the world. 3