Latin American e-commerce platform Nuvemshop's annual sales reach US$700 million

During the COVID-19 pandemic, Latin American e-commerce platform Nuvemshop achieved sustained growth, with a total transaction volume of US$700 million and 14 million sales in Latin America, a year-on-year increase of 250% .

Founded in 2011 and with offices in Sao Paulo and Buenos Aires , Nuvemshop focuses on providing a range of tools such as payment, shipping, inventory management and marketing for small and medium-sized sellers , and provides a platform for them to open personalized online stores .

In 2020, the company tripled its customer base and currently has nearly 80,000 merchants on its platform across Argentina, Brazil and Mexico.

Just last week, the company announced the successful completion of its Series D financing of $89 million. It is understood that the new financing will be used for its business expansion in Latin America . In addition to expanding its business systems in Argentina, Brazil and Mexico, it will also expand its business to Colombia, Chile and Peru.

“Instead of selling on existing marketplaces, such as Amazon in Brazil, many merchants and entrepreneurs are choosing to start and grow their own online businesses,” said Santiago Sosa, co-founder and CEO of Nuvemshop. “Most merchants came to the internet by selling on marketplaces and they want to establish a more direct connection with consumers and convey their own brand, image and voice.”

"We strongly encourage each of our clients to integrate their business with social networks such as Instagram Shopping or Facebook," said Gonzalo Latugaye, the company's director of brand and communication . "In addition, we encourage them to use social networks as new communication and sales channels and integrate WhatsApp Business."

The particularity of business in Latin America is that it is difficult for non-local players to penetrate. Nuvemshop took advantage of the demand for online promotion of local SMEs and successfully developed the Latin American market. It also gained a deep understanding of the local digital payment and logistics infrastructure in Latin America, which further promoted its business development.

Affected by the epidemic, more and more Latin Americans are accustomed to online transactions, and e-commerce in Latin America is booming. Although the penetration rate of e-commerce is still very low due to the limitations of the local development environment, it still has huge growth potential in online shopping.

Online Shopping

E-commerce

Latin America