MercadoLibre is following Alibaba's steps

Thursday 22 October 2020 12:17 CET | News

LATAM ecommerce firm MercadoLibre has acknowledged taking inspiration from Alibaba, seeing Ant Financial and their investment fund as a model to follow.

Transactions on the platform of Mercado Pago, the finance arm of MercadoLibre, more than doubled in the second quarter of 2020. Those at MercadoLibre state that these transformations happened thanks to the inspiration taken from how things have worked out in China. The company replicated the model with its investment funds in Argentina, Brazil and Mexico.

This growth was also aided by ties closed with China-based Tencent, India’s Paytm, and PayPal, which invested USD 750 million in MercadoLibre in 2019.

Downloads of the Mercado Pago app have risen to almost match those of MercadoLibre in some markets. Purchases on MercadoLibre now account for just 35% of total Mercado Pago transactions as more people use the platform, which offers QR code payments, debit cards, a digital wallet and transfers, for other tasks.

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Keywords: MercadoLibre, Alibaba, LATAM, ecommerce, Mercado Pago, investment funds
Categories: Payments & Commerce
Countries: Latin America
This article is part of category

Payments & Commerce