Insights into the growth of Argentina ecommerce covering payment methods, target audiences, marketing, social media, economy and logistics.
Economy
Argentina is home to 45.2 million people with a total GDP of US$585 billion. GDP per capita is currently US$9,121 and expected to reach US$10,295 by 2025. Argentina is ranked 68th by the World Bank GDP per capita rankings.
Digital User Insights
There are currently 24.8 million ecommerce users in Argentina, with an additional 4.4 million users to be shopping online by 2025. These 29.2 million ecommerce users will represent 48% of the total population. The average user spends US$223.26 online, which will grow to US$378.11 by 2025.
Product Categories
Total ecommerce revenue across all product categories is US$5.5 billion, expected to reach US$11 billion by 2025. Electronics and Media is currently the leading product category, accounting for US$1.5 billion market share. Fashion is second, accounting for US$1.4 billion.
By 2025, Electronics and Media will still lead, valued at US$3.6 billion. Fashion will remain in second place, reaching US$2.6 billion.
Logistics
In 2018, Argentina was ranked 62nd in the World Bank Logistics ranking. 92% of Argentina’s population reside in urban areas.
Preferred Online Payments
Cards (credit and debit) are still the most popular way to pay in Argentina at 44% although slightly reduced from 2017 when 49% of online shoppers paid that way. A significant number of payments for online purchases are made via mobile (68%). Alternate payment methods include: prepaid cards, ewallets, credit cards and bank transfers.
Imports
Argentina imports mostly from Brazil($15 billion), China ($10.8 billion), United States ($8.21 billion), Germany ($3.47 billion), and Paraguay ($1.73 billion).
Internet and Device Usage
Internet penetration in Argentina is currently at 77%, and should reach 85% by 2025. Smartphone penetration is 72% and is projected to grow to 75% by 2025.
Argentinian online shoppers mainly purchase via desktop (66%). However, 21% made their most recent online purchase via smartphone.
Marketing
Marketing spend in Argentina is spread across a range of platforms, with TV and newspaper leading the charge. TV advertising spend is US$352 million and newspaper advertising spend is US$80 million. Digital advertising has the second highest marketing spend accounting for US$258 million.
Social Media
Argentina’s social media penetration is 71% of the total population, this is expected to reach 74.5% by 2025. YouTube, Facebook, WhatsApp, Twitter and Instagram are the leading social networks.
For more market insights, check out the ESW series of blogs covering a range of emerging ecommerce markets.
*Insights derived from ESW data, Statista, WorldBank, OECD and other industry sources.
