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6
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Published
September 10, 2024
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Victoria Tolve

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Partner Spotlight

How to Sell on Amazon Mexico and Walmart Mexico

How to Sell on Amazon Mexico and Walmart Mexico
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Expanding into Amazon Mexico and Walmart Mexico presents a significant growth opportunity for sellers looking to tap into the thriving Latin American market.

Mexico is the second-largest economy in Latin America, with ecommerce sales expected to reach $70.4 billion by 2027, thanks to advancements in internet connectivity, greater financial inclusion, improved logistics, and a rise in digital literacy.

Amazon Mexico, which is the country’s top online marketplace, has seen rapid growth, with a 39% increase in online sales in recent years. Similarly, Walmart, the largest retail chain in the country, has been expanding its ecommerce Mexico presence, offering sellers access to a vast and growing customer base.

By selling on these platforms, you can reach millions of potential buyers who are increasingly turning to online shopping.

Read on to learn how to sell on Amazon Mexico and Walmart Mexico with strategies designed to optimize your presence on these marketplaces.

With the right approach, you can navigate the unique challenges of the Mexican market, from understanding local consumer preferences to managing logistics and payments.

RELATED: Selling on Walmart vs Amazon: Everything Sellers Need to Know
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Key Considerations Before Entering The Mexico Ecommerce Market

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Before entering the Mexican market, consider several key factors to ensure success.

First, understanding the local consumer behavior is crucial. Mexican consumers are becoming increasingly comfortable with ecommerce, with 63 million online customers in 2022. However, trust remains a significant issue, so building a reputable brand and offering secure payment options are essential. 

Additionally, offering payment methods like cash on delivery and partnerships with local payment providers can help cater to the 50% of Mexicans who still prefer cash transactions.

Another critical consideration is navigating the logistics and infrastructure challenges in Mexico. While the country has made significant improvements in logistics, with the World Bank ranking it 66th in its 2023 Logistics Performance Index, you must still account for issues like delivery times in remote areas and potential customs delays. Partnering with local logistics providers or utilizing Amazon’s fulfillment services can help mitigate these challenges.

Moreover, compliance with local regulations, including taxes and import duties, is vital to avoid legal complications. Understanding these factors will help you successfully enter and succeed on Walmart and Amazon in Mexico.

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Product(s) to Consider Selling Online: Mexico Biggest Export

Mexico’s biggest ecommerce export is its electronics sector. This includes a range of products such as smartphones, tablets, laptops, and other consumer electronics.

The electronics market in Mexico is booming, with a significant demand both domestically and internationally. According to Statista, electronics account for a substantial portion of Mexico’s ecommerce exports, driven by both local production and global consumer interest.

How Ecommerce Sellers Can Take Advantage

  • Target Electronics-Heavy Marketplaces: Focus on marketplaces and platforms where electronics are highly sought after. Listing your electronics products on popular ecommerce platforms like Amazon Mexico and Walmart Mexico can increase visibility and access to a large customer base.
  • Leverage Competitive Pricing and Local Trends: Stay competitive by researching local pricing trends and offering competitive rates. Mexican consumers are price-sensitive, so providing value through discounts or bundled offers can attract more buyers. Additionally, highlight features and benefits relevant to the Mexican market, such as product compatibility with local networks or support for Spanish language settings.
  • Optimize Product Listings for Local Search: Ensure your product listings are optimized for local search terms in Spanish. Use keywords that Mexican consumers are likely to search for and include detailed descriptions that address common questions or concerns. High-quality images and clear specifications can also enhance your listings’ appeal.
  • Explore Export Opportunities: Beyond local sales, consider expanding your reach to other Latin American countries where Mexican electronics are in demand. Use logistics and fulfillment services that cater to international shipping to efficiently handle cross-border transactions.
  • Monitor Market Trends and Consumer Preferences: Stay informed about emerging trends in the electronics market and adjust your product offerings accordingly. For instance, if there is a growing interest in smart home devices or wearable technology, consider incorporating these into your inventory.
  • Leverage Marketing and Advertising: Utilize targeted advertising to reach potential buyers interested in electronics. Platforms like Google Ads and social media can help drive external traffic to your online listings. Participate in major sales events and promotions to boost your visibility and sales.

By capitalizing on Mexico’s strong electronics sector, ecommerce sellers can tap into a lucrative market with significant growth potential, both locally and internationally.

RELATED: Selling Toys and Games in Latin America

Tips for Selling on Amazon Mexico

Since its launch in 2015, Amazon Mexico (MX) has become a significant player in the country’s retail landscape, providing customers with low prices, a vast product selection, and fast shipping. 

In 2022, the marketplace had over 94 million monthly visits, making it the second most visited website in Mexico. For businesses, particularly small and medium-sized enterprises (SMEs), Amazon MX represents a powerful platform to reach millions of potential customers. 

There’s never been a better time to enter this dynamic market.

How to Sell on Amazon Mexico

1. Understand the Market

Amazon’s market share in Mexico, though just 1.5% of total retail, is growing rapidly, and its presence has led to lower prices across the board. Understanding this competitive landscape will help you position your products effectively.

For example, in Amazon MX’s  domestic commerce, categories such as electronics, large appliances, and home goods lead the sales charts.

In the ecommerce sector, the most sought-after categories include consumer electronics, fashion, and health and beauty products. Electronics such as smartphones, tablets, and accessories are top performers due to their broad appeal and technological advancements.

Fashion items, including clothing and accessories, are also highly popular as Mexican shoppers increasingly embrace online shopping for style and convenience. Health and beauty products are experiencing strong growth, driven by a rising demand for personal care items and wellness products.

These categories highlight the diverse interests of online shoppers in Mexico and the growing trend toward digital retail.

2. Leverage Fulfillment by Amazon (FBA)

One of the key advantages of selling on Amazon Mexico is the ability to use FBA. This service manages your product storage, packaging, shipping, returns, and customer service. FBA’s extensive network in Mexico, including over 40 facilities, ensures that your products reach customers quickly and reliably. By using FBA, you can offer competitive shipping times, which is a crucial factor in winning over Mexican consumers.

RELATED: How Does Amazon FBA Work

3. Tailor Your Product Listings

Mexican shoppers have distinct preferences, and tailoring your product listings to meet these needs can significantly boost your sales. Amazon Mexico provides sellers with data and insights to customize product descriptions, pricing, and promotions.

Consider localizing your content, such as providing product descriptions in Spanish and offering promotions during key Mexican holidays like Día de los Muertos. Check out this Mexican Holiday Calendar for more details.

RELATED: The Ultimate Guide to Amazon Creative Listing Optimization

4. Take Advantage of Amazon’s Tools and Programs

Amazon Mexico offers several tools and programs designed to help sellers succeed. Initiatives like “Logralo Online” and “Hecho a Mano (Handmade)” support local artisans and small businesses, giving them greater visibility.

Additionally, the Small Business Badge helps differentiate your products, making them more appealing to conscious consumers who prefer to support local businesses.

5. Navigate the Logistics and Compliance Landscape

Entering a new market comes with logistical challenges. It’s crucial to understand Mexico’s import regulations, taxes, and any legal requirements specific to ecommerce. Amazon Mexico’s partnership with local third-party logistics providers can help streamline this process, ensuring your products meet the high standards required by Mexican consumers.

RELATED: 3 Supply Chain Optimization Tips to Improve Profitability, Mastering HS Codes

How to Sell on Walmart Mexico Marketplace

Couple buying on laptop

Walmart Mexico, known locally as Walmex or “Walmart de México y Centroamérica,” is a dominant player in the Mexican retail market, making it an attractive platform for sellers looking to expand their reach in Latin America.

With over 2,700 physical stores and a rapidly growing online marketplace, Walmart Mexico provides sellers with an established infrastructure and access to millions of potential customers. In 2023, Walmart’s online sales in Mexico grew by 20%, demonstrating the increasing demand for ecommerce solutions in the region.

RELATED: The Benefits of Choosing Walmart for Your Ecommerce Business

Successfully Entering the Mexican Ecomm Market via Walmart

1. Know Your Customers

Mexican shoppers value affordability, reliability, and brand trust. Therefore, offering competitive pricing, clear product descriptions in Spanish, and reliable customer service can make a significant difference. For instance, Walmart's popular “Cash on Delivery” option caters to the large unbanked population in Mexico, allowing sellers to reach a broader audience.

How to sell products to Walmart customers?

For domestic commerce, the top-selling categories include electronics in general, large appliances, furniture, and mattresses. In the cross-border realm, it’s a bit different because package deliveries are more affordable for customers than large-size deliveries. 

So, products with good sales include mobile phones, computers, and other smaller electronic items. There's also growing development in domestic categories. Apparel, health, and beauty are the top-selling categories for Walmart.

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2. Optimize Product Listings

Just as with any online marketplace, optimizing your product listings is essential for visibility and sales. Ensure that your product titles, descriptions, and images are tailored to the Mexican audience.

Use relevant keywords in Spanish to improve search rankings and attract more buyers. Highlight product benefits that resonate with local needs, such as durability, cost-effectiveness, or alignment with cultural preferences.

3. Use Walmart’s Fulfillment Services

Walmart in Mexico offers fulfillment services similar to Amazon’s FBA, allowing sellers to store their inventory in Walmex’s warehouses. This ensures faster delivery times and improves customer satisfaction. Sellers who use Walmart Fulfillment Services (WFS) are often prioritized in search results, giving them a competitive edge. Additionally, Walmart handles returns and customer service, which can simplify the process for international sellers.

RELATED: Battle for Last-Mile Logistics Heats Up as Amazon Expands Same-Day Delivery Network

4. Focus on Promotions and Advertising

To stand out in the crowded marketplace, take advantage of Walmart Mexico's promotional tools and advertising options.

Seasonal promotions, flash sales, and sponsored product ads can help increase your product's visibility and drive more traffic to your listings. For example, participating in Walmart's “Buen Fin” (Mexico’s version of Black Friday) can significantly boost your sales, as Mexican consumers are highly responsive to discounts and deals during this period.

Maximize sales year-round with this Mexico Holiday Calendar. Boost your commercial strategy for better results!

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RELATED: Walmart Advertising Strategy: Why Amazon Sellers Should Care

5. Monitor and Adapt to Market Trends

With a market that is continually evolving, it’s essential to stay informed about current trends and consumer behaviors. Regularly monitor your sales data and customer feedback to identify opportunities for improvement.

Adjust your strategies based on what resonates with the local audience, whether it’s offering new products, tweaking pricing strategies, or enhancing customer service. By staying agile and responsive to market changes, you can ensure long-term success in the Mexican ecommerce market via Walmart.

Urgent: Amazon sellers take action now!
Amazon reduced the reimbursement window by 88.89%, from 18 months to 60 days starting October 23, 2024.
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Expand To Mexico And Unlock Its Market Potential

Expanding into Mexico via Amazon and Walmart offers a lucrative opportunity to tap into one of Latin America's fastest-growing ecommerce markets.

With Mexico’s booming ecommerce and a thriving online shopper base, leveraging these platforms can drive significant growth. By aligning with local preferences and utilizing advanced tools, US sellers can unlock immense potential and achieve success in this vibrant market.

If you’re looking to start selling online in Mexico quickly and effortlessly, cross-border stores like nocnoc is your ideal solution. Within just 48 hours, your products will be live on Amazon and Walmart Mexico, as well as on 15 other marketplaces across four other leading countries in the region, such as Brazil, Colombia, Chile, and Argentina.

Combine this with Carbon6’s suite of ecommerce solutions to fully unlock the potential of Mexico and Latin America and discover endless opportunities for your cross border business.

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