Latin America’s market is often described as young, flourishing, and tech-savvy. Moreover, it is the fastest-growing economy after China, with products reaching across the globe.
The digital market has revolutionized Latin America’s economy, with retailers targeting numerous products in the region. This wave is largely supported by rural producers, cooperatives, and small businesses, allowing them to export a wide range of innovative products to different parts of the world.
Besides, the Covid pandemic has ensured exceptional growth of eCommerce industries in Latin America. An increasing number of customers are turning to online shopping, signaling a vibrant period of development in years to come.
On that note, the following part highlights some of the best-selling products in Latin America.
- Over-the-Counter Drugs and Generic Medications
Post-pandemic, a majority of Latin American countries have accelerated efforts to offer the best medical supplies to their population.
According to Market Data Forecast, the Latin American over-the-counter (OTC) market will develop at an 8.64% CAGR between 2021 and 2026, reaching a value of US$17.33 million. This sector offers one of the most popular Latin American products and is expected to grow strongly in the following years, owing to increased demand for diet and weight reduction goods.
Beyond OTC items, generic medications are increasing in the region: the generic drugs market in Latin America is expected to develop at a CAGR of 6.41% between 2021 and 2026. According to Market Data, its worth will climb from $37.1 billion in 2021 to more than $50.6 billion by 2026.
- Digital Gaming
Mobile gaming is expected to become the most critical industry in the Latin American market. According to Mordor Intelligence, the Latin American mobile gaming market will grow at a CAGR of 10.5% between 2021 and 2026, with Brazil and Argentina contributing a substantial share of the growth.
Also, the market for mobile games produced US$3.5 billion in 2021 and will grow to US$5.1 billion by 2024. Brazil leads LatAm mobile gaming revenue with $1 billion generated by 88.4 million players, followed by Mexico with slightly under $900 billion in revenue.
As technology becomes more accessible, so does their market. The report shows the smartphone market in Latin America expanded by 22.1% in Q1 2021 (compared to the same time in 2020) and by 41.8% in Q2. Furthermore, over 134.3 million smartphone units were sold in Latin America in 2021, up from 116.3 million in 2020 and above pre-pandemic smartphone sales totals of 131.9 million in 2019.
Samsung maintained its lead in the LatAm smartphone market share for Q2 2021, with 37.3%, followed by Motorola (22.3%) and Xiaomi (11.4%).
- Earphones and Headphones
With the boost of smartphones in the country, there is a rising demand for mobile accessories like headphones. According to Research and Markets, the Latin American earbuds and headphones market will reach $3 billion by 2024, increasing at a 10% CAGR between now and then. With 70% of urban adults owning smartphones, they are primed for up-selling accessories.
- Electric Vehicles
As businesses and customers opt for more eco-friendly products, the rise of EVs is increasing. Between 2020 and 2025, the Latin American electric vehicle market will rise by 14% yearly. Reports estimate that the market will be worth US$2.4 billion by 2026, boosting automotive industries.
- Energy Drinks
Because of widespread public concern about the health concerns of soft drinks, many people have switched to energy drinks and flavored waters. According to a Research and Markets analysis, the Latin American energy drinks market is to grow at a CAGR of more than 15% between 2019 and 2023.
The eyewear market in Latin America is gaining momentum from the increasing old-age population in the country. Studies show that the Latin American eyewear market (glasses, sunglasses, and contact lenses) is expected to grow at a CAGR of 6.8% through 2027.
- Wearable Medical Devices
Latin America is the world’s fastest-aging area, with some of the highest obesity rates. The combination is aiding in the rapid spread of chronic disease, hence the rising demand for these products. These items let users monitor glucose levels, blood pressure, exercise, sleep, heart rate, and other parameters.
According to Market Data Forecast, the Latin American wearable medical devices market should develop at a CAGR of 16.95% between 2018 and 2023, increasing in value from $664 million in 2018 to $1.4 billion by 2023.
Outlined above are the leading eCommerce products in the Latin American market. The global e-commerce market, including Latin America, is expanding rapidly. Numerous eCommerce giants are investing in sophisticated solutions to meet the market’s growing demands. That said, the Latin American market is highly untapped, offering even more lucrative opportunities for companies to explore. Local and international brands are identifying these opportunities and ways to meet the customers’ requirements.