PB 1Optimizing E-commerce payments in Brazilwww.americasmi.comwww.americasmi.com
OPTIMIZING E-COMMERCE PAYMENTS IN BRAZILA practical guide to Brazil's local payment landscape
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Table of Contents
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02
03
Executive Summary
Introduction
Brazil’s E-commerce and Banking Landscape
Market Size, Growth and Trends
Brazil’s Banking SystemBrazil’s Acquiring Landscape
Credit Cards
International Card Networks
Domestic Card Networks
Other Local Schemes
Installment Plans
Boleto Bancario
Debit Payments
Digital Wallets and Other Payment Methods
What do Local Merchants do?
E-Commerce Payment Methods
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04Models for Market Entry Into Brazil
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List of Figures
List of Tables
List of Images
Operating with no legal entity
AppendixPayment Provider Profile Definitions
About AMI
About the Author
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Merchant Case Studies
Conclusion
WePlannLeading Global Technology Company
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05Gateways and Payment Service Providers in Brazil
Introduction and Methodology
Payment Gateway Profiles
Payment Gateway Benchmarking
Payment Service Provider Benchmarking
Payment Service Provider Profiles
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Establishing a Full-Fledged Local Entity
Establishing a “Shell” Entity1. Brazilian E-commerce Market,
2011-2016, R$ and USD billions..................................................4
2. Cross-border and Domestic E-commerce in Brazil, 2015, USD billions ...............................................................................4
3. Brazilian E-commerce by Product Type, 2015, USD billions .............................................................................................9
4. Brazilian E-commerce Market, 2011-2016, R$ and USD billions ......................................................................... 10
5. Brazilian E-commerce by Segment and Device Type, 2015, USD billions ............................................... 10
6. Domestic vs Cross-border, 2015, USD billions ................ 11
7. Acquirer market share, 2015, credit card spend processed, % ........................................................................................ 11
8. E-commerce Spend by Payment Method, 2015, % of spend .............................................................................. 13
9. E-commerce Credit Card Spend by Card Network, 2015, % of spend ........................................................ 13
1. Brazil’s Top Ten Banks by Assets, 2014, USD billions .... 11
2. Acquiring Landscape ..................................................................... 12
3. International Card Networks ..................................................... 14
4. Elo............................................................................................................... 15
5. Hiper and Hipercard ....................................................................... 15
6. Cielo’s Installment Plan Fee Structure .................................. 16
7. Acceptance of credit cards by select merchants .......... 20
8. Acceptance of non-card payment methods by select merchants............................................................................... 20
9. Acceptance of debit cards by select merchants ........... 21
1. MercadoLivre.com advertises a leather purse ................ 16
2. Submarino offers a Samsung Galaxy S7 ............................. 16
3. iPhone payment plan options ................................................. 17
4. Apple Store advertises a 32GB iPad ...................................... 17
5. Online furniture retailer ................................................................ 17
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4 PBOptimizing E-commerce payments in Brazil www.americasmi.com
About AMI
Senior Director, AMI payments practice co-leaderLindsay Lehr
• Leadership of 70+ consulting engagements, 30 in financial services• 10+ years experience working in Latin America• Co-author of AMI payments whitepaper• Frequent public speaker and thought leader in mobile money, mobile payments,
e-commerce and m-commerce and financial inclusion in Latin America• Fluent in English, Spanish and Portuguese
Mobile money Cash in/cash out Financial inclusion Correspondent banking Remittances
Personal credit cards
Small business and corporate credit cards Prepaid cards Fleet cards Distribution and
purchasing cards
POS systems NFC EMV cards Mobile payments E-commerce
Payment gateways Digital wallet Retail cards Credit lines Mortgages
Experts in the Latin American payments industry
AMI is the leading independent Market Intelligence provider in Latin America
About the Author
+1 (305) 873-4311 [email protected]
AMI is Latin America's leading Market Intelligence and Advisory group.
AMI has experience in every market in Latin America and the Caribbean.
AMI is a member of SCIP – Strategic and Competitive Intelligence Professionals.
AMI’s founding partners are pioneers in the field of Market Intelligence in Latin America, with over 20 of years experience in the region.