Electronic commerce in Argentina grew by 68% during 2021 compared to the previous year - it exceeded inflation - and recorded a turnover of $1.52 trillion, according to a study by Kantar Insights carried out for the Argentine Chamber of Electronic Commerce (CACE).

During the Covid-19 pandemic, there was a boom in online shopping. According to the Annual Study of Electronic Commerce in Argentina, in 2021 it continued to grow: 381 million units were sold, 52% more than the previous year, through 196 million purchase orders (20% more than in 2020), and the average purchase ticket was $7,757. In addition, 684,459 new buyers were added, registering a total of 20,742,665 online buyers.

Purchase trends and frequency
With greater openness and flexibility, buyers modified their purchasing frequency:

– Occasional buyers, who buy every 2-3 months or less, began to have more participation: they went from 36% in 2020 to 42% in 2021.

– Everyday shoppers, those who buy between once a week and once a month, now represent 20% (vs. 19% in 2020).

– Finally, regular customers, who make purchases every week, were reduced to 38% of the total regular customers (vs. 46% in 2020).

This lower online activity can be explained by the gradual return to in-person activities: during 2021, Argentine online shoppers went out to eat more (18% vs. 6% in 2020), went to the movies more (10% vs. 6% in 2020) and visited more physical stores to buy footwear and clothing (17% vs. 11% in 2020).

The 5 items that invoiced the most in eCommerce are:
1. Audio, image, consoles, IT and telephony equipment: $247,085 (grew 61% vs. previous year)

2. Food, beverages and cleaning supplies: $226,088 (grew 51% vs. previous year)

3. Household items (furniture, decoration): $197,251 (grew 66% vs. previous year)

4. Tickets and Tourism: $177,041 (grew 293% vs. previous year)

5. Appliances (white and brown line): $112,102 (grew 66% vs. previous year)

In addition, during 2021, other above-average growth was evident in some categories that are consolidating. These are: tickets to shows and events (+501% vs 2020, the item with the highest percentage increase), non-sports clothing (+102% vs 2020) and accessories for cars, motorcycles and other vehicles (+100% vs 2020).

"Although the growth in 2021 was more moderate than the previous year, we observed that beyond the gradual return to normality, Argentine consumers incorporated electronic commerce as a habit, which they alternate with physical stores. On the other hand, for 60% of the companies surveyed, eCommerce already represents more than 10% of their sales, a reason that has led them to invest in infrastructure and incorporate personnel for business development," said Gustavo Sambucetti, Director CACE Institutional.

Payment methods: credit cards lead
The credit card continues to be the main payment method chosen by users (76%), followed by cash payments (11%) and debit card (7%). Electronic wallets and bank transfers complete the mix (5%).

Logistics in eCommerce: home delivery is once again the preferred option
As in previous years, home delivery remains the main option when delivering products, with 55% (vs. 56% in 2020). Then follows the withdrawal at the point of sale (37% vs 35% in 2020) and the withdrawal at the branch remains the same, chosen by 5%, according to what the consulted companies declared. Finally, there are home deliveries with fast courier with 2% and 1% of buyers coordinate directly with the seller.

One fact to highlight in terms of logistics is that during 2021, 35% of companies opened or made available an exclusive warehouse for the digital channel. This, among other policies they promoted, results in users perceiving an improvement in delivery times, especially in AMBA, where 23% of purchases are delivered on the day and more than 50% within 48 hours.

"E-commerce in Argentina continues to grow and that makes us proud. At CACE, for more than 20 years our mission has been to promote the use and development of technologies applied to the digital economy. We understand that the ecosystem echoed our efforts, generating an increasingly professionalized industry and increasingly happy consumers: 99% of those surveyed are satisfied with their online shopping experience," summarized Alberto Calvo, president of CACE.

Scope/CACE