Chile Impresses by the Number of Online Users and the Demand for Digital Services
Nowadays, around twenty-five commercial banks operate in the country.. A regional pioneer in the use of mobile telecommunication, Chile is the leader in Latin America when it comes to internet access. Data from the El Crecimiento de Redes Sociales en América Latina study held by ComScore shows, that Chile is one of the countries that have the largest Facebook penetration in the region, reaching 90% of the Chilean internet users.
“A staggering 71 percent of those online users in Chile do not have access to international credit cards to make purchases online, as Chileans primarily use local cards and cash-based payment methods", said Fernando Estevez Vazquez, Payments Director at UOL BoaCompra. "Additionally, Chile's internet penetration rate is markedly higher than its neighbouring countries (more than 72% of the population have access to internet and 80% of these go online via PCs), demonstrating high demand for digital products and further growth in e-commerce with a good network and affordable prices. However, it is largely untapped by the giants of the game industry that do not offer local payment options."
As we can see, the market favors the digital products consumption with huge growth perspectives.
BoaCompra as an option for cross-border sales
BoaCompra offers digital-payment solutions in nine countries like Argentina, Colombia, Peru, and Chile. More than 150 local-payment options are already available for a potential audience of over 350 million people. More than 300 partners including Valve, EA, CipSoft, and Elex.
When we see the cross-border market, it is possible to observe the tremendous growth on this sector, companies start to look at ways to offer their services globally, however, there are several challenges in this practice such as the access to local financial players and understanding the customer culture in each country.
It is not a coincidence that BoaCompra is the leader in this segment. Established in Brazil in 2004, but focused on expanding markets, BoaCompra is a natural option for companies that want to increase their sales and conquer new markets, like Chile, for instance.
Profiting from cross-border sales to Chile
Chile shows one of the best scenarios in Latin America, with a great financial and political stability, which is very similar to European countries.
Besides games, BoaCompra has cross border-payment solutions for companies that offer digital services such as cloud computing, antivirus, and SaaS.
In the Chilean territory, 32 payment methods in local currency being offered, like American Express, WebPay, Mastercard, RedCompra, and Visa, as well as bank transfers through local partnerships. On top, BoaCompra is offering its virtual wallet Go4gold and payments in cash in more than 25 thousand MultiCaja-licensed stores all around Chile.
Transactions without fraud
How about the risks of operating in Latin American countries? If your concern is fraudulent transactions, BoaCompra ensures safe transactions and full protection to customers.
If the customer (merchant generate 100 thousand dollars in revenue) sells 100 thousand dollars, he will receive 100 thousand dollars, guaranteed. BoaCompra is compliant with the laws of each country, where it operates. This way we make sure, that our customers have not only a digital-payment solution but also the security that their international sales are safe and follow local regulations.
Prospects of growth in Chile, with a young population hungry for new technologies and a strong economy is one of the gems in Latin America.
Even in large cities, people, who live far from physical banks and who benefit from the new digital payment solutions like Multicaja which is present in populations where sometimes banks aren’t.
Emerging markets, expanding markets
Latin America is more than ever on the radar of international companies: a young population that is well receptive to new technology and internet services. Several international players already see the region as the next expansion region, precisely because there is still much room for growth ahead, especially in digital products. At BoaCompra, we consider that every country has challenges and opportunities, regardless of its size or market maturity.