Uruguay’s electronic transactions set for double-digit growth this year

Electronic transactions and online sales in Uruguay are set for continued growth, closing 2024 with a new double-digit expansion compared to last year.

The projections are from Andrés Marrero, head of the local digital economy chamber and reported by IT association Cuti.

The executive shared the full year's forecasts and 2023 figures at the eCommerce Day event, held this week in Montevideo.

Data collected by the chamber indicates that the local e-commerce market generated 45.5bn pesos (US$1.13bn) in sales in 2023 through 42.5mn transactions, for 22% growth in value. In 2022, growth had been 51%.

The 2023 figure represents 1.5% of GDP, said the entity. The share, however, is lower than in some other countries, which reveals opportunities for companies in the sector.

In 1Q24, e-commerce grew by 36% year-over-year to 14.1bn pesos worth of transactions.

The estimate is that by the end of 2024 the volume of purchases will exceed that of 2023, according to Marrero.

METHODS

Marrero said online payment methods dominate e-commerce behavior, representing 74% of the total purchases.

According to a recent study commissioned by the chamber to consultancy Cifra, almost seven out of 10 Uruguayans bought online in 2024.

Around 12% of Uruguayans make purchases through this means more than once a month, with convenience being “the star factor.” 

Marrero called on all players to “work for professionalization, for a regulatory framework that generates a prosperous digital business environment, for cybersecurity, and for the conscious and intense adoption of new technologies, artificial intelligence and others."