eBay is moving into the Mexican market. By way of its classifieds division, the company has landed in Mexico with iBazar, an online classifieds platform. It aims to repeat the success it experienced with alaMaula, the free online classifieds network that boasts a strong presence in Argentina, Colombia, Chile and Uruguay.
iBazar mirrors alaMaula in both business model and strategy. There are no commissions or expenses required for publications – it is 100% free of charge for everyone.
According to the Mexican Internet Association (Amipci), from 2011 to 2012, e-commerce in the country grew by 46% and brought in 79 million pesos. eBay will attack this highly attractive market, providing the entire Mexican population a dependable forum for publishing ads and making extra money without paying commissions or extra charges.
The underlying vision of iBazar is aligned with that of alaMaula. “Latin Americans lack the confidence to buy online. What we are seeking as an alternative solution for the region is an intermediate product, in which consumers search online and complete the transaction offline,” explained Diego Noriega, General Manager LatAm at eBay Classifieds.
The online environments provided by iBazar and alaMaula facilitate meetings between consumers to complete transactions in person. To reinforce online security, eBay also creates awareness and anti-fraud campaigns.
Noriega pointed out that the model is based entirely on online advertising. Moreover, he highlighted the fact that users will never have to pay to advertise – something that sets the platform apart from other players. He added, “The platform isn’t just designed for companies or heavy users. Our strategy is more massive. We want anyone to be able to use it, and that sets us apart from other online classifieds sites that are more focused on individuals or businesses with a lot of internet know-how.”
Having launched in May, the platform is adapted for both smartphones and tables and already has 250,000 products published in categories like travel, real estate, electronics, furniture and employment. “We hope to reach 500,000 products to consolidate iBazar and have 30 million users – half of the Mexican internet population – within two years,” Noriega said.
Bazaars, flea markets and fairs are a long-standing tradition in Mexico.
iBazar has come about as a huge online bazaar that serves users, artisans, merchants and the entire Mexican population, who can sell whatever they want on the platform, including items they no longer use but that may be of value to others. .
Case Study: alaMaula
eBay’s decision to head to Mexico with iBazar is largely a result of the evolution of alaMaula.
In Argentina alone, alaMaula’s offer has grown 1425% in just one year, hurtling the platform from 4th place to 1st place in the online classifieds field.
alaMaula has also had great results in social media. Facebook Argentina used the company a case study for success.