Amazon launched its Mexico site in 2016, providing new market opportunities for sellers looking to expand internationally.
Before entering the Mexican site, sellers need to understand the relevant market information and cost in advance, as well as the problems that may be encountered and how to solve them.
Overview of Amazon Mexico
Amazon launched its Prime membership program in Mexico in 2017, offering free shipping, video and other services. Amazon offers Prime one-day and two-day delivery in Mexico, but only in specific cities, such as Mexico City.
Although the number of visits to Amazon Mexico is not as high as that of the US site, its consumption potential cannot be ignored.
Sellers can choose to ship from the United States to Mexico . FBA sellers can set up international shipping to ship to Mexico. Amazon also provides Buy Shipping Services, which allows US sellers to choose local third-party express delivery services.
Although sellers can also reach Mexican consumers through the US site, the number is smaller than that of the Mexican site. To reach Mexican consumers, you need to enter the Mexican site, and local consumers visit the US site less often.
Sellers should note that the longer the delivery distance, the higher the probability of package damage or loss. Therefore, delivery from the United States to Mexico is prone to delivery delays or package loss. Some people use the excuse of not receiving the package to commit fraud, which is a situation that sellers do not want to encounter.
In addition, returns and exchanges can easily increase risks. If there is no Mexican address to accept returns, the seller can only accept high international delivery fees, or directly refund without returning the goods, which will cause the seller to suffer high losses. However, using Amazon FBA can avoid return and exchange problems.
Language is a problem that sellers have to overcome. Spanish is the official language of Mexico, and your listings need to support the local language. If the listing is not translated accurately, buyers will not be able to clearly understand the product information, which will hinder them from placing an order.
Customer service also needs to provide support in the local language, otherwise the service experience will be poor and consumers will not trust the seller. If there are communication barriers, sales will not be guaranteed.
Using an international logistics provider to deliver to Mexico is more expensive and takes longer. International orders have other costs such as exchange losses, duties, and taxes . Sellers need to factor these costs into the selling price in order to make a profit.
In addition to language, success in the Mexican market requires understanding local culture and meeting consumer needs. This applies to any international expansion. For example, in terms of payment methods, bank accounts are not common in Mexico, and mobile payment is a more common payment method . If the seller does not support this payment method, it may lose users.
If the seller can solve the above problems, then he can open the Mexico site.
Create an Amazon Mexico account
Just like creating a Canadian account, to open a Mexican account, the seller needs to have a North American joint account . If you are a new seller, you can check whether you have automatically registered a North American joint account. If the language can be switched to Canada and Mexico, it means that you have already registered a North American joint account. If you haven't already, you can apply for it yourself: First, check your account health to make sure it is performing well. Contact Amazon Seller Support to apply for a joint account. Before applying, if you have already registered a brand, you need to apply for permissions for Mexico and Canada separately. Update inventory according to Amazon's requirements, SKU must meet global standards Use Build International Listing to create a listing and then choose a shipping platform
Once you have a North American Unified Account, you can start selling on the Mexico site. If you want to get more sales on Amazon Mexico, you can use FBA, which can reduce delivery costs and is more convenient . In addition to reducing costs, you don’t have to worry about other issues, and your performance indicators are higher. If you’re looking for high-yield expansion, international shipping may not be your best option. It’s better suited for testing sales on the Mexican site.
In short, if Mexico has no development prospects, Amazon will not launch the Mexican site. Sellers can first test the situation of some products in the Mexican site, and when it is determined that it can bring you higher income, you can invest more energy.
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