Mercado Libre: Leader of E-Commerce in Latin America & New Cross-Border Opportunity

In the global e-commerce landscape, Amazon is undoubtedly the most well-known platform, but for cross-border e-commerce sellers, in addition to Amazon, other platforms are gradually emerging, especially in Latin America. Mercado Libre is one of them. As the largest and most influential e-commerce platform in Latin America, Meikeduo has successfully surpassed Amazon and firmly dominated the market in the region.

With the rapid rise of the Latin American e-commerce market, Meikeduo provides great opportunities for cross-border e-commerce sellers. Especially for those Chinese sellers who want to enter the Latin American market, Meikeduo is undoubtedly a platform worth deepening. This article will introduce in detail the features, advantages, entry conditions, logistics mode and other contents of Meikeduo to help you fully understand this platform.

What is Mecoto?

Founded in 1999, Mecodo is an e-commerce company headquartered in Argentina. It operates the Mercado Libre platform covering 18 countries in Latin America, including Argentina, Brazil, Mexico, Chile, Colombia and other markets. With its strong localization advantages and accurate grasp of the needs of Latin American consumers, Meikeduo has become an e-commerce giant in the region.

In just a few years, Meikeduo has not only become the largest e-commerce platform in Latin America, but also the seventh largest e-commerce platform in the world. Compared with other platforms, especially in the Latin American market, Meikeduo's influence far exceeds that of Amazon.

For domestic sellers, the Latin American market is in a period of rapid growth, and the market potential is huge. According to market data, the annual growth rate of the Latin American e-commerce market has reached 20%, and the e-commerce penetration rate is nearly 70%, all of which indicates that this region is becoming a new blue ocean for global e-commerce.

The advantages of Meike multi-platform

As a leader in the Latin American e-commerce market, Meike has a number of platform advantages, which is also an important reason why it can attract a large number of sellers to settle in.

1.Extensive market coverage

Meikeduo currently covers 18 countries in Latin America, especially in important markets such as Mexico, Brazil, Argentina, and Chile. This allows sellers to reach consumers throughout Latin America through a single platform, which greatly improves the efficiency of market expansion.

2.Strong localization services

Compared with Amazon, Meikeduo's localization advantages in the Latin American market are more prominent. The payment, logistics, customer service and other services provided by the platform are more in line with the needs of consumers in Latin America, and at the same time, it supports localized payment methods, such as Boleto Bancário in Brazil and OXXO in Mexico, to ensure that Latin American consumers can complete transactions smoothly.

3.Fast-growing market

According to industry research, the Latin American e-commerce market is growing at an average annual rate of 20%, and it is expected that by 2025, the Latin American e-commerce market will exceed 300 billion US dollars. As a leader in this market, Meikeduo will certainly benefit from this growth. Therefore, by entering Meikeduo as soon as possible, sellers will have the opportunity to share in this fast-growing cake.

4.Diverse delivery modes

Meikeduo provides sellers with a variety of flexible logistics delivery models, including FBM (seller-owned) mode, overseas warehouse mode and self-delivery mode. These models allow sellers to choose the most suitable logistics solution according to their own operations, which greatly reduces operating costs and improves distribution efficiency.

A popular category of Meikeduo

Meikeduo covers a wide range of categories, mainly including:

• Consumer electronics: Mobile phones, TVs, headphones, computers and other electronic products are very popular on Meike's multi-platform.
• Household appliances: furniture, home decoration, kitchen supplies, etc.
• Fashion & Beauty: Clothing, footwear, beauty products, accessories, etc.
• Sports & Outdoor: Sports equipment, outdoor equipment, etc.
• Toys and children's products: toys, children's clothing, etc., especially in Brazil, Mexico and other places have a large market.
• Food and health products: Health food, nutritional supplements, etc. have gradually become popular categories.
• For cross-border sellers, it is very important to choose the right category. Consumer demand for electronics, fashion and home furnishings is very strong, especially for high-quality and affordable products.

Analysis of the delivery mode of Meikeduo

Meikeduo provides flexible logistics and delivery methods to adapt to the needs of different sellers. The following are the main delivery modes of Meike multi-platform:

1.FBM Mode (Fulfilled by Mercado Libre)

In the FBM model, the seller will deliver the goods to the warehouse of Meikeduo, and the platform will be responsible for picking, packing, and delivering the order after receiving the order. For sellers, the FBM model can reduce the workload of logistics management, but it also means that the platform has to take on the responsibility of picking and shipping. Currently, the FBM model is mainly available in Mexico and Chile.

2.Overseas warehouse model

The overseas warehouse model is suitable for those sellers who have already cooperated with overseas warehouses. The seller stores the goods in the overseas warehouse, and when the consumer places an order, the goods are shipped directly from the overseas warehouse. This model avoids sending goods directly to Meikeduo's warehouse, and sellers can enjoy more flexible logistics management.

For sellers of Meikeduo, the advantage of choosing overseas warehouses is that they can avoid the problem of liquidation of Meikeduo's self-operated warehouses and provide a more stable delivery experience. Especially in overseas warehouses in Mexico, sellers can ensure that the goods arrive and are delivered quickly.

3.Self-shipping mode

The self-delivery model means that the seller directly ships goods from China to consumers through the dedicated line channel. This method does not require overseas stocking in advance, but it faces a long logistics time, usually taking more than 20 days to arrive. Although the cost of this method is low, because the platform has strict requirements for delivery timeliness, sellers must ensure that the goods are delivered on time, otherwise it is easy to risk violations.

Meike has more entry conditions and seller portraits

Meikeduo has certain entry requirements for sellers, especially overseas warehouse sellers and self-delivery sellers, and the platform has higher requirements for their qualifications.

Portrait of overseas warehouse sellers:

• Experience requirements: factories, industry and trade, and brand sellers with experience in cross-border e-commerce platform operation.
• Sales requirements: The monthly sales of a single platform have reached 30,000 US dollars in the past 6 months.
• Team requirements: There is a professional team responsible for supply chain, logistics and customer service.
• Brand requirements: The recommended customer unit price is more than 25 US dollars, and brand sellers need to have R or TM labels.

Self-delivery seller portrait:

• Experience requirements: Experience in the operation of mainstream cross-border e-commerce platforms.
• Sales requirements: monthly sales of $5,000 in the past 6 months.
• Team requirements: have a mature self-delivery operation team.

Information required to settle in Meikeduo

In order to ensure the successful completion of the application for the onboarding of Meikeduo, the seller must provide the following details. Each item involves the platform's review of the seller's qualifications and operational capabilities, so the seller needs to prepare carefully.

1. Color scan/photo requirements for the company's business license: Provide the business license of the enterprise as a "limited liability company", and the business license must include the business scope related to "trade" or "sale of goods". This is to prove that the seller's company is legally qualified. Note: The business license must be valid, and the photos taken or scanned must be clearly visible, and all information must be readable at a glance.
2. Color scanning/photo requirements of the legal representative's ID card: Submit the scanned copy/photo of the legal representative's ID card, and the ID card must be within the validity period. The ID information provided must be consistent with the legal representative on the business license. Note: Make sure that the front and back of the ID card are clearly scanned to avoid rejection of blurry or incomplete pictures.
3. Store link and turnover proof requirements: provide the link of the store, and the turnover certificate of the past 6 months. The certificate must show the transaction and sales records of the store, and the store information must be the same as the information on the application form. Note: The turnover certificate can be provided through the backend of the e-commerce platform or the bank, and it is necessary to prove that the seller has certain sales experience. The turnover proof needs to show details such as the name of the platform, the amount of sales, and the frequency of transactions.
4. Collection account information requirements: Meikeduo supports the use of US dollar bank accounts or third-party cross-border collection agency accounts (such as Payoneer, PayPal, etc.). Sellers are required to provide valid collection account information in order for the platform to pay commissions and settle settlements. Note: Make sure that the receiving account information provided is correct, including the name of the account holder, account number, bank name, etc. If you're using a third-party collection agency, make sure your account information meets the platform's requirements.
5. Contact requirements: It is recommended to provide a valid email address such as Gmail and Outlook, and fill in the phone number of Chinese mainland. The Platform may communicate with the Seller through these contact details. Note: Make sure that the contact information provided is valid and contactable to the seller, especially the email address, and check it regularly to avoid missing the platform's review notice or important information.

Meike multi-platform rules

In terms of ensuring good business order and consumer experience, Meike Multi Platform has formulated some specific rules and requirements. Sellers need to comply with these rules during the onboarding and operation process to avoid account restrictions or other unnecessary penalties.

1. Fee structureMeikeduo provides free store entry and product listing services, but sellers need to pay transaction commissions and logistics fees. The specific fee standard will vary depending on the product category, sales amount, and site (region). Transaction commission: The platform charges a certain commission ratio according to the product category and sales amount. Generally, commission fees are deducted from the seller's sales revenue after the product transaction is successful. Logistics costs: When sellers choose different logistics modes (such as self-delivery, FBM, etc.), they need to bear the corresponding logistics costs. Logistics costs will vary depending on the distance and mode of transportation in the target market.
2. Timely delivery requirements: Meike multi-platform requires sellers to deliver goods in a timely manner after the customer places an order, otherwise they may face penalties from the platform, and even affect the store's rating and credibility. Delivery timeliness: Normally, sellers need to complete the delivery within 24 hours after the customer places an order. If the seller fails to deliver the goods within the specified time, the platform may warn, penalize, or even close the store. Therefore, sellers must ensure that their supply chain and logistics system can meet the timeliness requirements of the platform.
3. Customer service requires timely response to customer inquiries: Sellers need to maintain good customer service and respond to customer inquiries and feedback in a timely manner. Meike multi-platform requires sellers to maintain a high response speed and service quality. High-quality after-sales service: Sellers should ensure that they provide high-quality services in the after-sales process. Including but not limited to product return, refund process, product problem solving, etc. Excellent customer service not only helps improve your store's rating and credibility, but also increases repeat purchases.
4. Product compliance, legal compliance requirements: All products sold on Meike multi-platform must comply with local laws and regulations, and prohibited or infringing goods must not be sold. For example, the platform strictly prohibits the sale of counterfeit and shoddy products, infringing goods or goods involved in illegal acts. Quality assurance: Meikeduo requires sellers to provide goods that must meet certain quality standards. Products sold on the platform need to meet the safety and quality standards of the Latin American market, otherwise they may face penalties such as product removal and account suspension.
5. Product description and display must be true and accurate: The seller's description on the product detail page must be true and accurate, and no false advertising is allowed. Product images, specifications, prices and other information must be clear and unambiguous to avoid misunderstanding by consumers. High-quality images and text descriptions: Product display images should be clear, realistic, and in the size and format required by the platform. In addition, the text description of the product needs to be detailed, which can fully display the features and selling points of the product to help consumers make purchase decisions.
6. Clear return and refund policy: Meikeduo requires sellers to set up a clear return and refund policy, and it must be implemented in accordance with the requirements of the platform. Sellers need to clearly inform consumers of the conditions for returning goods, the refund process, and the relevant timelines. Platform support: If the seller fails to handle the return, exchange or refund in accordance with the regulations, the platform will intervene and may impose penalties on the seller.
7. Advertising and promotion policiesPlatform advertising: Meike mostly provides advertising and promotion services for sellers, including search ads, display ads, etc. Sellers can increase product visibility and sales by running ads. Promotions: Sellers can participate in promotions held by the platform (such as "Super Weekend Sales"), but must comply with the rules and schedule of the event. Promotions are an effective means to increase sales, but it should be noted that sellers should carefully read the rules of the event when participating to avoid being excluded from the scope of the event because they do not meet the conditions.

Here are the frequently asked questions (FAQs) about Mekoduo and their answers:

1.How much does it cost to settle in?

The entry and listing of products are free of charge, but sellers need to pay transaction commissions and logistics fees. The specific fee standard will vary depending on the product category, sales, and site (region). Sellers need to note that in addition to the platform's fixed fees, sellers are also responsible for logistics-related costs, which are paid by sellers according to the logistics service provider they choose.

2.Does Meikeduo have quality requirements for products?

Yes, Meikeduo has strict quality requirements for the products it sells. All products must comply with local laws and regulations and must not sell prohibited or infringing goods. In addition, sellers must provide products that meet quality standards and ensure that product descriptions are true and accurate to avoid complaints or penalties due to quality issues.

3.How are returns and refunds available?

Meikeduo requires sellers to provide consumers with clear and unambiguous return and refund policies. Sellers need to display the relevant policies on their store page and ensure that customers can easily request returns or refunds. If the seller fails to perform returns and refunds in accordance with the policy, the platform may step in and impose penalties on the seller. Therefore, sellers should ensure that their after-sales service complies with the platform's regulations.

4.How can I increase my store's exposure and sales?

Meikeduo provides a variety of advertising and promotion services, and sellers can increase the exposure rate of products by placing advertisements (such as search ads and display ads) on the platform. In addition, sellers can also participate in the platform's promotions, such as the "Super Weekend Sale". By participating in these activities, sellers are able to get more traffic and sales, but they must adhere to the rules and schedule of the events.

5.What should I do if my store is penalized by the platform?

If the store is penalized for violating the rules of the platform, the seller should check the notice issued by the platform in time to understand the reason for the penalty. The seller will then need to take appropriate action to rectify the issue and submit an appeal to the platform. If the seller can prove that it has taken remedial action, the platform may make appropriate adjustments to the penalty. In the long run, sellers should maintain a good store reputation and service quality to avoid account bans due to illegal operations.

Hopefully, these FAQs will help you better understand the process and rules for entering Meikeduo! If you have more questions, feel free to ask!