DLocal deal opens door for global sellers on Amazon.com Brazil marketplace

Cnova NV

15/06/2021 12:00

By Jimin Kang
    SAO PAULO, June 15 (Reuters) - Uruguayan payment startup
dLocal Ltd  DLO.O  said on Tuesday that it had struck a
partnership with Amazon.com Inc  AMZN.O  that clears the way for
international vendors to sell products on Amazon's Brazil online
marketplace for the first time.
    The agreement, which the two companies announced in a joint
statement, should broaden choices on the site, which had been
restricted to local vendors.
    Some international sellers have already joined the Amazon 
marketplace and others will join in a gradual rollout plan over
the next few days, said Michel Golffed, senior vice-president of
dLocal. 
    "Latin America as a region is one representing the fastest
growing pace with retail e-commerce," Golffed told Reuters in a
phone interview.
    "If we look at this from a consumer's point of view, they
get access to buy in Brazil with local payment methods... goods
from sellers from all over the world."
    Founded in 2016, dLocal integrates local and global payment
systems with a focus on emerging markets. At its Nasdaq debut on
June 3, the company — whose clients include Tripadvisor and
Dropbox — raised over $600 million with a market capitalization
of $9 billion. 
    Thirteen of its current 29 markets are in Latin America,
said Golffed, including an existing Amazon partnership in Chile.
Allowing dollar payments from Brazil to foreign vendors is
particularly complex given local regulatory and legal
frameworks, he said.
    Brazil is the largest e-commerce market in Latin America
based on user numbers. The U.S. International Trade
Administration reported that close to 30 percent of the
country’s population made at least one virtual purchase in 2019.
    Golffed did not say whether dLocal was also seeking to
collaborate with Amazon’s main competitors in Brazil, including
top e-commerce sites Mercadolibre  MELI.O , Cnova  CNV.PA  and
B2W.

 (Reporting By Jimin Kang; Editing by Christian Plumb and Sonya
Hepinstall)
 ((christian.plumb@thomsonreuters.com; (646) 223-5942; Reuters
Messaging: christian.plumb.thomsonreuters.com@reuters.net))