Mercado Livre detaches itself from the market and grows 19% on Black Friday 2022

Rhea-AI Summary

Mercado Livre reported record-breaking Black Friday sales, achieving a 19% increase in gross sales during the promotional week from November 21 to 27, 2022. In contrast, the overall Brazilian e-commerce market saw a 23% decline. Key drivers included strong performances in Consumer Electronics and Fashion, supported by the World Cup's influence. Mercado Pago, the company’s digital bank, also excelled, recording a 38% increase in gross sales. Notably, transaction volumes via Pix surged by 52%, emphasizing the growing significance of instant payment methods.

Positive

• 19% increase in gross sales during Black Friday compared to the previous year.
• Mercado Pago experienced a 38% growth in gross sales.
• Significant 52% increase in Pix transaction volumes.
• Consumer Electronics and Fashion led sales growth.

Negative

• Overall Brazilian e-commerce market fell by 23%.

Gross revenue of Brazilian e-commerce fell 23% on Friday, compared to 2021, according to analysis by NielsenIQ|Ebit

Seller preparation, with a wide mix of categories, and ecosystem efficiency boosted the results of the largest e-commerce in Latin America

Mercado Pago registers growth of 38% in gross sales in physical and online retail with diversification of segments such as Health & Wellbeing and Tickets

SÃO PAULO, Brazil, Nov. 28, 2022 (GLOBE NEWSWIRE) -- Mercado Livre recorded the best Black Friday in its history. Considering the promotional week from Monday (21/11) to Sunday (27/11), the largest e-commerce in Brazil reached a 19% increase in gross sales, with growth above the company's expectations in the main categories. Consumer Electronics and Fashion were the highlights of the period, confirming the hypothesis that the world football championship would transform the dynamics of consumption on Black Friday. While sales of electronic products continue as a natural vocation for the date, the fashion sector has gained relevance due to the search for clothing in the colors of Brazil, adding to the maturation of the sector in Brazilian e-commerce.

Although these categories were a highlight across e-commerce in Brazil, Mercado Livre's performance took off from the market, which fell by 23%, during Friday (25), in relation to 2021, according to an analysis by NielsenIQ|Ebit. On the same day, the advance of Mercado Livre was 10%. The big highlight, however, was the weekend, which recorded an increase of over 30%.

“This Black Friday is a good example of why Mercado Livre has maintained profitable sales growth over the last few quarters, despite the market's challenges. With this long-term view, we started participating in promotional dates a little over 2 years ago and continue to improve with each edition. The success of our Black Friday in 2022 is due to the great integration of our ecosystem and synergy with the platform's sellers, which today allows us to have a mix of categories and products that are very adjustable to the moment of the market and to the needs of consumers," highlights Fernando Yunes, Senior Vice President and leader of Mercado Livre in Brazil.

“The constant positive shopping experience increases recurrence and is even more effective on key retail dates, such as Black Friday. We fulfilled our promise and, today, 90% of all products sold in Full have already been delivered to our consumers,” adds Yunes.

Mercado Pago also takes off and Pix gains prominence

Mercado Pago, Mercado Livre’s digital bank, also recorded growth above the market this Black Friday. Gross sales, adding online and physical retail, reached an increase of 38%, above the market registered according to the Cielo do Varejo Ampliado Index - ICVA. The data considers the promotional week from Monday (21.11) to Sunday (27.11) compared to the same period last year.

The use of Pix continued to grow rapidly in online sales during this week. Also from Sunday (20.11) to Sunday (27.11) the transaction volume of this means of payment in online stores (outside the Mercado Livre platform) grew 52% compared to the same period of the previous year.

The categories that stand out in the volume of online transactions via Pix were Electronics, Services, Fashion, Health & Wellness and Tiqueteira (tourism, events and entertainment), respectively.

“The fashion category, one of the most sought after this Black Friday, represented a 49% increase in sales with Pix this week,” analyzes Daniel Davanço, senior director of payments for companies at Mercado Pago. “We see in these data the union of two important highlights of this edition of the event: the increase in consumer interest in fashion items and accessories and the growth in the relevance of the instant payment method,” completes Davanço.

Media Relations Contact:

valeria.bazzi@mercadolibre.com 

FAQ

What were Mercado Livre's Black Friday sales growth results in 2022?

Mercado Livre achieved a 19% increase in gross sales during Black Friday 2022.

How did Mercado Pago perform during Black Friday 2022?

Mercado Pago reported a 38% growth in gross sales compared to the previous year.

What impact did the World Cup have on Mercado Livre's sales?

The World Cup positively influenced consumer spending, particularly in Consumer Electronics and Fashion.

What was the market trend for Brazilian e-commerce on Black Friday 2022?

The overall Brazilian e-commerce market declined by 23% on Black Friday 2022.

How much did Pix transactions grow during Black Friday 2022?

Pix transactions grew by 52% in online sales during the promotional week of Black Friday.