Brazil’s largest e-retailer grows web sales 23.6% in Q1
May 22, 2015 08:00 AM
The top-ranked merchant in Internet Retailer’s 2014 Latin America 500 and Brazil’s largest web merchant B2W Digital Inc., grew online sales 23.6% in the first quarter of 2015. The company operates four e-commerce sites in Brazil: Submarino.com.br, Americanas.com.br, Shoptime.com.br and SouBarato.com.br.
The general merchandise retailer’s sales growth came, in part, from an increase in traffic from mobile devices, the company says. Mobile traffic accounted for 32% of all traffic compared with 14% in the first quarter of 2014, and orders placed through mobile devices grew 16% in the first quarter of 2015. The retailer attributes the increases in mobile traffic and transactions to enhanced technology it added from the 2014 acquisitions of Uniconsult and Ideais, two technology companies.
B2W Digital in the first quarter also announced the launch of three new online stores it will operate for other entities. The online stores are for BR Foods, Drinkinity and the official site of the 2016 Rio Olympic and Paralympic Games. BR Foods is a Brazilian food company created from the 2009 merger of Perdigão and Sadia. The combination made BR Foods the second-largest food company in Brazil, B2W says. Drinkinity sells a container and flavored pods used to mix with water to create drinks, made by PepsiCo. In 2014 the product line could only be purchased through a pilot program on Submarino.com.br.
B2W Digital also announced that a pilot program launched last year, offering consumers the option to shop online and pick up purchases in a Lojas Americas store, will be expanded to 200 additional stores throughout Brazil this year. Chain retailer Lojas Americanas owns a controlling interest in B2W Digital.
B2W Digital’s online marketplace also continues to grow with the addition of four retailers: apparel and accessories retail chains Centauro (No. 58 in the Latin America 500) and Camisaria Colombo (No. 439), drugstore retail chain UltraFarma, and web-only apparel and accessories retailer Tricae.com.br (No. 125).
For the first quarter ended March 31, B2W Digital reported:
- Sales grew 23.6% to $708.8 million ($2.14 billion reais) from $573.4 million ($1.73 billion reais) in Q1 of 2014.
- Net income declined 7.1% to $51.13 million ($154.2 million reais) from $54.98 million ($165.9 million reais) in the same period last year.