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Internet Retailing in Chile

Chile internet retailing market led by Falabella SACI with a 11% value share in 2013

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2014-05-01 07:51:02 - Internet Retailing in Chile - a new market research report on

Strong internet penetration in Chile supports the trend towards internet retailing, particularly in urban areas of the country. Easy and affordable internet access, including free Wi-Fi in public locations, is increasing the number of internet users and is fuelling the growth of internet retailing, which is more remarkable among young consumers. Broadband internet penetration among Chilean households reached over 40% in 2013, equating to the highest rate in Latin America. Therefore this growth in internet users greatly helps internet retailing companies to gain access to the Chilean market and understand the opportunities that it offers.

Falabella SACI held an 11% value share in 2013 and leads internet retailing sales. The company focuses on developing specific applications for mobile devices. This strategy



has been effective in maintaining the company´s leadership in internet retailing. Among the highlights are virtual testers, which enable consumers to check how they would look in a wide range of products before buying them, just by using personal images. The application enables the user to be included in the image ranging from clothes to furniture, encouraging consumers to buy online. Users can also share the resulting images through social networks, and obtain feedback.

Internet retailing is expected to continue its growth pace due the rocketing penetration rate of broadband connections among Chilean households, as well as the internet penetration rate in the format of smartphones and tablets. Although some regions of the south and rural zones have lower penetration rates, the government is putting more effort into building the necessary infrastructure to set up wireless internet connections (Wi-Fi) to be available for free in public squares. The improvement of internet penetration in Chile is therefore expected to have a strong impact on internet retailing and boost sales over the forecast period.

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