Measures taken to prevent the spread of Covid-19 have highlighted the importance of the e-commerce sector in Bolivia. People and companies in the country have increasingly relied on technology to satisfy the large demand for goods and services. Currently, e-commerce is now the ‘new normal’ way of trading in Bolivia and is rapidly expanding.
While there are still many development steps to be taken, Bolivia has made significant strides in the world of e-commerce. With a population of 11 million, the country has the opportunity to become a big regional e-commerce player in the future. Likewise, the increase of e-commerce activity is indeed relevant for local and foreign companies operating in the country, as it is one of the safest routes to maintain sales and avoid closures in the near future.
E-commerce developments in Bolivia
As internet access grows Bolivia, so does e-commerce opportunities. Companies and small businesses in Bolivia have started to send virtual catalogs and brochures to their potential clients to offer different kinds of products and services. They are also implementing home delivery using electronic payment methods in order to respect the social distancing and avoid the spread of Covid-19. Furthermore, the government and banking sectors have also ‘digitized’ their services, in an effort to ensure coverage and simplify processes during these challenging times.
Online activity in Bolivia has seen a rise in recent years. From January 2020 there were 7.50 million registered internet users across Bolivia, which is a 7.1% increase from the same time last year (January 2019). Additionally, there are an estimated 7.50 million social media users from January 2020, up by 13% from April 2019.
The evolution of online government in Bolivia has facilitated numerous procedures related to concessions, payments, and document presentation for companies expanding in the country. The Bolivian government is also implementing digital signatures to complete online forms. These measures have increased people’s trust and knowledge of technology.
For boosting e-commerce in Bolivia, banks are implementing procedures that allow people to open bank accounts. Therefore, Bolivian consumers are now able to obtain a debit or credit card without leaving home. These measures lead to an increase in users with access to e-commerce. However, it is still necessary to promote law modifications that allow companies and small businesses to open bank accounts through the internet.
Furthermore, the Andean Community is already working to strengthen e-commerce in Bolivia and other country members to help most of all small and medium businesses.
Online education has increased exponentially in Bolivia during the Covid-19 outbreak. Although its use is much lower compared to other Latin American countries, this sector is expected to continue to grow as people in Bolivia realize its benefits. This might represent a golden opportunity for online education companies considering expanding into Bolivia.
Nevertheless, there is still a lack of e-commerce education also means that some online retailers do not know the best way to market their target consumers. You must engage with a local expert who understands the Bolivian market and its tendencies.
Tips to take advantage of e-commerce in Bolivia
Foreign executives currently doing business in Bolivia should take into account the following tips to take advantage of e-commerce opportunities in the country.
- Digitalize your company so that clients access to your products or services through the internet.
- Facilitate electronic payment methods.
- Advertise your products and services through social media. Facebook and Instagram are the most popular media sites in Bolivia among millennials and centennials.
Develop your e-commerce in Bolivia with the proffesional support
Before entering the market, it is important to be aware of Bolivia’s regulations regarding e-commerce and corporate compliance. Foreign executives must engage with experienced legal and accounting specialists in Bolivia to assure their successful setup and compliance in the country.
At Biz Latin Hub, our team of multilingual specialists is equipped to deliver excellence and professional advice on how your business can successfully expand and adjust to the new normal of online trading. We also offer a full suite of multilingual market entry and back-office services. To find out more about how we can serve your needs contacts us today and receive personalized assistance.
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