Argentina E-commerce Logistics Market Overview, 2027

"Argentina's e-commerce market has witnessed impressive growth in recent years. With a rising number of internet users and increased online shopping activity, e-commerce sales in Argentina have soared, creating a robust demand for efficient and reliable e-commerce logistics solutions. Argentina is currently undergoing a digital transformation, focusing on expanding its digital infrastructure and improving connectivity nationwide. This transformation is a driving force behind the growth of e-commerce and significantly influences the e-commerce logistics market. Logistics providers in Argentina leverage technological advancements to optimize their operations, enhance efficiency, and meet the evolving demands of online consumers. Cross-border e-commerce plays a vital role in the Argentina e-commerce logistics market. Argentinian consumers frequently engage in international online shopping, particularly in popular categories such as fashion, electronics, and beauty. E-commerce logistics providers facilitate seamless cross-border trade by efficiently managing international shipping, customs clearance, and providing localized customer support. The vast geographical expanse of Argentina presents unique logistics challenges for e-commerce fulfillment and delivery. Logistics providers must overcome long distances, diverse terrains, and infrastructure limitations to ensure timely and efficient deliveries across the country. Innovative solutions, including strategic partnerships with local delivery providers and optimized routing strategies, are employed to address these challenges and ensure smooth operations. Cash-on-delivery (COD) remains a popular payment method among Argentinian consumers. Many customers prefer paying in cash upon delivery, rather than using electronic payment methods. E-commerce logistics providers in Argentina cater to this preference by offering COD services, ensuring secure payment collection upon delivery and enhancing customer convenience. Localization is a crucial aspect of the Argentina e-commerce logistics market. Argentinian consumers prefer shopping from websites and platforms that provide content in their native language. E-commerce logistics providers adapt their services to cater to local preferences, offering localized website interfaces, customer support in Spanish, and culturally sensitive marketing and packaging. According to the report titled, ""Argentina E-Commerce Logistics Market Overview, 2027,"" published by Bonafide research, the market is anticipated to grow over the forecast period as online merchants are increasingly opting for outsourcing of logistics for error-free, fast delivery and on-time delivery to consumers. Social commerce has gained traction in Argentina, with consumers increasingly making purchases directly through social media platforms such as Instagram and Facebook. E-commerce logistics providers have adapted to this trend by integrating their services with social commerce platforms, enabling seamless order fulfillment and delivery for social commerce transactions. Returns management is a significant aspect of the Argentina e-commerce logistics market. With the rise of online shopping, there is a growing need for efficient and streamlined returns processes. E-commerce logistics providers offer hassle-free returns management services, ensuring smooth product returns, exchanges, and refunds, which are crucial for customer satisfaction and loyalty. E-commerce logistics providers in Argentina offer specialized services for the delivery of fragile or perishable goods. This includes careful handling, temperature-controlled transportation, and proper packaging to ensure the safe and fresh delivery of items such as electronics, flowers, or food products. E-commerce logistics providers in Argentina often collaborate with local retailers to offer omnichannel services. This integration allows customers to make online purchases and collect their orders from physical stores, combining the convenience of online shopping with the flexibility of in-store pickup.

For a number of reasons, the e-commerce logistics market is expected to grow slowly. Price is a major factor in e-commerce logistics services as it has to be a fair price keeping in mind the consumer's capability. The fuel prices and manpower needed are highly price sensitive. If the price is too high, it may result in the abandonment of the basket. However, it can be overcome by offering discounts and price schemes to consumers so they do not feel the burden of the price. The delay in shipping and delivery causes anxiety to consumers as they are highly impatient to receive their orders as soon as possible. In some cases, the consumer is lured into paying a higher price for quick delivery. It is a messy job to handle and process the returns by the logistics provider as brands do not want to discourage the buying habits of the consumers and it affects the brand image of the product. For this, mastering the process and at the same time thinking of cost-effective solutions is of utmost importance. Growing environmental concerns have created challenges for the packing of these products for transit and adaptability to possible returns. Transportation services lead the market growth as it is essential for logistics service providers, and warehousing and other services fall under optional services if they wish to provide them. The integration of e-commerce logistics with transportation management software (TMS) has boosted the e-commerce logistics market's growth. TMS aids in planning deliveries across the supply chain. Transportation plays an important role in successful e-commerce transactions. It offers scheduled delivery with flexibility, tracking and doorstep delivery. This helps online retailer’s gain customer confidence by providing efficient services and on-time delivery that further accelerate e-commerce sales and logistics. Domestic e-commerce logistics has gained prominence in the industry with the rise in home delivery services and the growth of online shopping. Consumers are inclined towards quick and door-step deliveries for even their basic needs like groceries, medicines, and other household necessities. The busy consumer lifestyle where both partners are working mostly prefers online shopping rather than wasting time hopping from store to store to buy different products. Online retailers have made it effective to purchase all their needs from a single platform, which saves a lot of time for consumers. This is a major factor in increasing domestic logistics. Domestic e-commerce unveils a bucket of opportunities for small enterprises and individuals involved in trade, reducing the price of purchases and expanding their sales in developed and developing countries. This enhances the domestic e-commerce logistics market. The pandemic in a way bolstered the e-commerce logistics market as consumers were confined to their homes and opted for essentials at the click of a button. Consumer e-commerce shopping has increased as internet penetration has increased. The approach changed from C2C to B2C with last mile deliveries. Consumers have now become accustomed to e-commerce purchases and are expected to remain the same after the new normal. At the same time, logistics service providers pushed themselves to become more tech-savvy to meet the delivery needs of online firms at competitive costs. The adoption of electric delivery vehicles has led to greener systems.

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Manmayi Raval

Research Consultant

Considered in this report • Geography: Argentina • Historic year: 2016 • Base year: 2021 • Estimated year: 2022 • Forecast year: 2027 Aspects covered in this report • Argentina E-Commerce Logistics market with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation By service type in the report: • Warehousing • Transportation • Other Service (Return, Inventory management)

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By operational area in the report: • International • Domestics By transportation mode in the report: • Road • Rail • Air • Sea By product type in the report: • Electronics • Apparel and Accessories • Home Furnishing Products • Health, Personal Care and Beauty • Auto and Parts • Baby Products • Books • Others The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analysing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to e-commerce logistics industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry. Please get in touch with our sales team to find out more. "