Latin America—commonly known as LATAM—is emerging as one of the most exciting and dynamic e-commerce regions globally. While APAC dominates scale and EMEA offers structural variety, LATAM combines hyper-growth, digital acceleration, mobile-first shopping habits, and an increasingly sophisticated retail media ecosystem led by Mercado Libre and Amazon.
The region is undergoing profound change driven by:
- Rapid digital adoption
- Mobile commerce overtaking desktop
- Expanding fintech penetration
- Structural improvements in logistics
- Marketplace dominance over D2C
- High consumer engagement with promotions and mega-events
LATAM e-commerce GMV surpassed USD 230–250 billion in 2025, and is expected to exceed USD 300–330 billion by 2026, according to eMarketer and regional industry reports.
This article provides a full analytical deep dive into the LATAM marketplace ecosystem, matching the structure of your APAC article and offering:
- E-commerce maturity and growth clusters
- Amazon’s role and marketplace distribution
- Marketplace leaders by country
- Retail media and advertising trends in LATAM
- Structural shifts shaping 2026
- Strategic implications for brands
- Extended FAQ
For related articles, you can explore:
👉 APAC E-Commerce and Marketplaces: Asia-Pacific Trends for 2026
👉 EMEA E-Commerce and Marketplaces: Europe, Middle East & Africa Trends for 2026
👉 The Hidden Costs of Amazon Ads
1. E-Commerce in LATAM: Maturity, Growth and Regional Differences
LATAM is not a monolithic region. Markets vary widely in digital adoption, purchasing power, logistics maturity, and marketplace structure.
The best way to interpret LATAM is through three e-commerce maturity clusters:
Cluster 1 — Mature Growth Engines
- Brazil
- Mexico
These two countries account for over 65% of LATAM’s total e-commerce GMV, and are the operational and technological hubs for the region.
Cluster 2 — Scaling Digital Economies
- Chile
- Colombia
- Peru
High smartphone penetration, growing fintech use, and increasingly competitive marketplaces.
Cluster 3 — Emerging / Volatile Markets
- Argentina
- Central America (e.g., Costa Rica, Guatemala, Panama)
Growing, but affected by inflation, currency instability and low purchasing power.
1.1 Brazil: LATAM’s E-Commerce Superpower
Brazil is the largest e-commerce market in LATAM, representing over 40% of regional GMV.
According to eMarketer and local reports:
- GMV surpassed USD 100–120 billion in 2025
- Projected CAGR 2025–2028: ~15%
- Over 150 million digital buyers
- Mobile commerce > 60% of online transactions
- Pix digital payments exploded to >3 billion monthly transactions
Key Market Characteristics
1.1.1 Marketplace-centric ecosystem
Brazil is dominated by:
- Mercado Livre (MLB) — clear #1
- Amazon Brazil — fast-growing
- Magazine Luiza (Magalu)
- Americanas
- Shopee Brazil (gaining lower-income share)
Marketplace formats outperform D2C due to trust, logistics and payment flexibility.
1.1.2 Logistics acceleration
Brazil has made huge improvements:
- Mercado Envios leads with same/next-day delivery
- Amazon expanding fulfilment centers
- Magalu investing heavily in last-mile
1.1.3 Hyper-competitive pricing
Brazilian consumers are highly responsive to:
- Installments
- Price comparison
- Mega-events
1.2 Mexico: the #2 LATAM e-commerce powerhouse
Mexico is rapidly scaling.
In 2025:
- GMV reached USD 60–70 billion
- Mobile share ~70%
- Amazon and Mercado Libre heavily competing
- Retail media adoption accelerating
Key Players
- Mercado Libre Mexico
- Amazon Mexico
- Liverpool Marketplace
- Walmart Mexico
Mexico combines large consumer base, modern retail, and strong logistical improvements.
1.3 Colombia: fast-growing and mobile-first
- GMV USD 15–20 billion
- Rappi is a major q-commerce force
- Mercado Libre dominates e-commerce
- High mobile adoption
Colombia is one of the region’s fastest-growing digital ecosystems.
1.4 Chile: mature, high-spending
Chile stands out for:
- High purchasing power
- Advanced logistics
- Consolidated retail groups (Falabella, Paris, Ripley)
- Strong marketplace integration
1.5 Argentina: large market, volatile dynamics
- High digital adoption
- Strong marketplace activity
- Macroeconomic instability complicates pricing
- Mercado Libre headquartered here
2. Amazon and Other Marketplaces in LATAM
Amazon plays an important role, but Mercado Libre is the continent’s dominant marketplace.
2.1 Amazon’s presence by country
| Country | Amazon’s Position |
|---|---|
| Brazil | Strong #2, expanding fast |
| Mexico | Strong #2, close to Mercado Libre in some categories |
| Colombia | Limited presence |
| Chile | No major marketplace (imports only) |
| Argentina | No significant presence |
| Peru | No significant presence |
2.2 Mercado Libre: the LATAM marketplace giant
Mercado Libre dominates thanks to:
- Mercado Envios (logistics)
- Mercado Pago (fintech)
- High consumer trust
- Strong retail media solutions
- Marketplace + payments + ads in one ecosystem
It is #1 in almost all LATAM countries.
2.3 Country-by-country marketplace overview
Brazil
- Mercado Livre
- Amazon
- Magalu
- Americanas
- Shopee
- Casas Bahia
Mexico
- Mercado Libre
- Amazon
- Liverpool
- Walmart
- Coppel
Argentina
- Mercado Libre
- Carrefour
- Garbarino
- Frávega
Chile
- Mercado Libre
- Falabella
- Paris.cl
- Ripley
Colombia
- Mercado Libre
- Linio
- Falabella
- Rappi (part marketplace via q-commerce)
Peru
- Mercado Libre
- Falabella
- Ripley
3. Retail Media and Advertising in LATAM
Retail media is the fastest-growing digital channel in LATAM, expected to reach:
- USD 6–7 billion in 2026
- CAGR > 25%
APAC leads innovation, but LATAM is catching up quickly.
3.1 Mercado Ads: the dominant network
Strengths include:
- Full-funnel targeting
- Strong first-party data
- Extremely active user base
- Seamless integration with Mercado Pago
- Sponsored Products + Display + audience solutions
Mercado Ads is mandatory for marketplace performance.
3.2 Amazon Ads LATAM
Amazon Ads is advanced in:
- Brazil
- Mexico
Capabilities:
- Sponsored Products
- Sponsored Brands
- Sponsored Display
- Amazon DSP
Growth is significant in high-spending categories.
3.3 Other retail media networks
Walmart Connect Mexico
Growing in scale and relevance.
Liverpool Retail Media
Strong with premium consumers.
Falabella Retail Media
Multi-country (Chile, Colombia, Peru).
Rappi Ads
Q-commerce + multi-vertical ads.
4. Structural Shifts Impacting LATAM in 2026
4.1 Fintech and payments revolution
A key LATAM advantage:
- Mercado Pago leading fintech adoption
- PIX in Brazil revolutionising instant payments
- CoDi in Mexico growing
- Buy-Now-Pay-Later widespread
Payments innovation directly drives e-commerce expansion.
4.2 Logistics transformation
Improvements include:
- Mercado Envios scaling cross-border
- Amazon expanding FCs in Brazil
- Rappi and Cornershop reshaping same-day deliveries
- Faster checkout and return processes
Rural areas remain a bottleneck.
4.3 Social commerce and influencer economy
LATAM consumers are highly engaged with:
- TikTok Shop
- Instagram Shops
- Influencer-led commerce
- Live shopping pilots
Brazil and Mexico lead adoption.
4.4 Quick commerce boom
Q-commerce is transforming FMCG:
- Rappi (regional leader)
- Daki (Brazil)
- Cornershop by Uber
Ads in q-commerce platforms are growing rapidly.
4.5 Currency volatility and inflation
Particularly relevant in:
- Argentina
- Colombia
- Peru
Brands must adapt pricing and promotions frequently.
5. Strategic Implications for Brands Entering 2026
Success requires balancing localisation with regional scalability.
5.1 Brazil: marketplace-first + retail media excellence
Winning approaches:
- Prioritise Mercado Livre
- Build strong Amazon Brazil presence
- Invest in installments and competitive pricing
- Leverage Mercado Ads + Amazon Ads
- Participate in mega-sales
5.2 Mexico: two-platform strategy
Mexico rewards:
- Mercado Libre for scale
- Amazon Mexico for Prime audiences
Focus areas:
- Logistics partners
- Promo-heavy planning
- Retail media consistency
5.3 Andean Region (Chile, Colombia, Peru)
Recommended:
- Use Mercado Libre as anchor platform
- Leverage Falabella and Paris in Chile
- Use Rappi for q-commerce expansion
- Adapt pricing to purchasing power
5.4 Argentina: volatility management
Winning playbook:
- Frequent pricing updates
- Local fulfilment where possible
- Strong marketplace presence
- Lower reliance on D2C
5.5 Cross-LATAM strategy
Brands should operate with:
- Multi-marketplace structure
- Mercado Pago / PIX / CoDi integration
- Retail media across Mercado Ads + Amazon + retailers
- Localised creative
- Influencer partnerships
- Agile operations
6. Conclusions
LATAM is becoming one of the world’s most dynamic e-commerce macro-regions. Its combination of growing digital adoption, marketplace dominance, payments innovation and improved logistics makes it a strategic priority for 2026.
Key takeaways:
- Brazil and Mexico dominate
- Mercado Libre is the region’s defining platform
- Amazon strong only in BR and MX
- Retail media growing >25% CAGR
- Fintech drives digital adoption
- Volatility demands agility
Winning brands:
- Build country-specific frameworks
- Localise content, pricing, payments
- Invest consistently in retail media
- Use influencers and social commerce
- Move fast, iterate quickly
LATAM is not one market—it is a portfolio of ecosystems, each requiring its own strategy.
Extended FAQ on LATAM E-Commerce Marketplaces
Brazil, Mexico, Chile.
Colombia, Peru, Mexico.
Only in Brazil and Mexico.
Mercado Libre across nearly all LATAM.
Extremely — expected to reach USD 6–7B by 2026.
Yes, especially TikTok Shop and Instagram.
Beauty, electronics, fashion, FMCG, premium goods (Chile).
Senior E-commerce & Retail Media Leader with 8+ years across Amazon and leading marketplaces. Focus on full-funnel strategy, programmatic retail media, and international media governance. Sharing frameworks and operating models for growth.
