Market Size of Panama E-commerce Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 20.31 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Panama E-commerce Market Analysis
Panama's E-commerce Market is expected to grow at a CAGR of 20.31% from 2022 to 2027. MercadoLibre is South America's largest online marketplace. It generated a GMV of US$19.7 billion in 2020. When compared to 2019, this represents a remarkable GMV growth of 50%.
- When it came to online visitor traffic in 2021, the leading players in Latin American E-commerce are Mercado Libre, Americanas, OLX, and Amazon, followed by Brazilians Magazine Luiza and Casas Bahia.
- Degusta is a well-known platform in Panama that provides restaurant recommendations. Large retailers offer online shopping and have seen consistent growth in Panama's e-commerce revenues. To remain competitive, the Colon Free Zone (CFZ or Zona Libre de Colon), the Americas' largest free-trade zone, recently implemented e-commerce. To increase efficiency, new logistics platforms are being proposed.
- Panamanian consumers and businesses have adopted many financial institutions which provide online banking (for example, Banco General's "Yappy"). Applications such as "Mercadito" enable small agricultural producers to reach a more significant number of consumers. Delivery platforms like PedidosYA, Uber Eats, ASAP, and Glovo have grown popular among Panamanians.
- The COVID-19 pandemic created an opportunity for business digitization for many companies. WooCommerce was the leading e-commerce platform used by e-sellers in Panama in 2021. On the other hand, Squarespace did not make the top three because Shopify and Wix had a relatively high share of online retail outlets using their platforms.
- COVID-19 pandemic has ended demographic dominance; Panamanians of all ages have turned to the internet to buy groceries and supplies across various platforms. Everything seems to indicate that internet shopping in the Central American country is more than just a passing fad.
Panama E-commerce Industry Segmentation
E-commerce is the purchasing and selling of products and services over the Internet. It is conducted over computers, mobiles, tablets, and other smart devices. There are primarily two types of e-commerce, including Business-to-Consumer (B2C) and Business-to-Business (B2B).
The Panama E-commerce Market is segmented into B2C E-Commerce (Beauty and Personal Care, Consumer Electronics, Fashion and Apparel, Food and Beverage, Furniture and Home), and B2B E-Commerce.
Panama E-commerce Market Size Summary
The e-commerce market in Panama is experiencing significant growth, driven by the increasing adoption of digital platforms and the expansion of online shopping options. Major players like MercadoLibre, Americanas, OLX, and Amazon are leading the charge, with MercadoLibre being a dominant force in the region. The pandemic has accelerated the shift towards online shopping, with platforms such as WooCommerce, Shopify, and Wix gaining popularity among e-sellers. The rise of mobile e-commerce is particularly notable, as more consumers prefer shopping via smartphones, prompting businesses to prioritize mobile optimization in their strategies. The Colon Free Zone's foray into e-commerce and the growth of logistics platforms further underscore the market's expansion.
Panama's e-commerce landscape is also benefiting from advancements in technology and infrastructure, which are making online shopping more accessible to a broader audience. Financial institutions offering online banking services and apps like "Mercadito" are empowering small producers and enhancing consumer reach. The market is characterized by a diverse range of products, with fashion and technology being the most profitable categories. Strategic partnerships, such as those between Pinterest and WooCommerce, and BigCommerce and Mercado Libre, are facilitating greater connectivity and sales opportunities. As Panama embraces digital currencies like Bitcoin, the e-commerce sector is poised for further growth, supported by initiatives like FedEx's regional headquarters in Panama City.
Panama E-commerce Market Size - Table of Contents
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1. MARKET INSIGHTS
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1.1 Market Overview
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1.2 Industry Attractiveness-Porter's Five Forces Analysis
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1.2.1 Bargaining Power of Suppliers
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1.2.2 Bargaining Power of Buyers/Consumers
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1.2.3 Threat of New Entrants
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1.2.4 Threat of Substitute Products
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1.2.5 Intensity of Competitive Rivalry
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1.3 Key market trends and share of e-commerce of total Retail sector
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1.4 Impact of COVID-19 on the e-commerce sales
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2. Market Segmentation
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2.1 By B2C e-commerce
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2.1.1 Market size (GMV) for the period of 2017-2027
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2.1.2 Market Segmentation - by Application
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2.1.2.1 Beauty & Personal Care
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2.1.2.2 Consumer Electronics
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2.1.2.3 Fashion & Apparel
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2.1.2.4 Food & Beverage
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2.1.2.5 Furniture & Home
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2.1.2.6 Others (Toys, DIY, Media, etc.)
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2.2 By B2B e-commerce
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2.2.1 Market size for the period of 2017-2027
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Panama E-commerce Market Size FAQs
What is the current Panama E-commerce Market size?
The Panama E-commerce Market is projected to register a CAGR of 20.31% during the forecast period (2024-2029)
Who are the key players in Panama E-commerce Market?
ChainZilla, Hyperlink InfoSystem, WooCommerce, Mercado Libre, Amazon, Dafiti and Americanas are the major companies operating in the Panama E-commerce Market.
