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Amazon Fashion launches in Mexico

By Kristopher Fraser

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Business

Amazon Fashion has launched in Mexico, however it will face a lot of challenges. Mexico is one of the most challenging markets for online retailers because not many customers shop online. Online sales are a fraction of what they are when compared to other markets in developed countries like the U.S. and U.K. and Latin American countries like Brazil.

The e-store launched under Amazon.com.mx on July 28, and will sell "millions of unique articles with a wide variety of sizes and colors,” according to the company.

Amazon Fashion for Mexico will allow for a variety of delivery options, and customers can return items without shipping charges if they don't want them or they don't fit.

The site will carry international labels such as Calvin Klein, Lee, and Desigual, and also Mexican brands like Adrianna Papell. Brand's like Adidas and Perry Ellis will be stocked in men's, and footwear brands like Steve Madden, BCBG, Puma, and Michel Domit will be available.

Amazon Fashion launches in Mexico despite challenges

Amazon.com.mx already sells 50 million products since Amazon launched it last summer, and now it will market eyewear and accessories under Amazon Fashion including styles from Ray-Ban and Tommy Hilfiger. Just like the other Amazon Fashion sites, this one will also offer trend lists, detailed product descriptions, and customer reviews. This is the second Spanish-speaking country that Amazon Fashion has launched in, the first being Spain.

Julio Gil, Amazon.com.mx's spokesman, declined to give financial targets or the specify the number of clothing items stocked in Mexico. However, the site is the only one in Latin America that operates a merchandise warehouse and distribution center.

"Brazil says mostly e-books. Mexico is the only store where we have physical merchandise," Gil said to WWD.

Amazon Fashion is entering a very competitive market, as rival competitors like Claroshop.com, Liverpool, and Wal-Mart de Mexico are focusing on boosting their clothing sales. They also face competition from specialty stores like Zara and smaller rivals like Linio.

Amazon Fashion could be very beneficial to many Mexican fashion brands who are trying to build their business but don't have the finances to do so. Online sales can get complicated and expensive for brands, but businesses of all sizes can market and sell their products online on Amazon.

The other issue that Amazon Fashion will face in Mexico is their is very low credit availability. In a country of 120 million people, only 23 million have credit cards.

The goods news is online sales in Mexico have reached 12.2 billion dollars in 2014, and e-commerce seems to be a slowly growing trend. It won't be an easy fight for success, but Amazon chose to enter at a good time.

photo via Amazon Fashion website

Amazon Fashion