Brazilian e-commerce firm B2W has announced the purchase of Supermercado Now, an online grocery marketplace.
Supermercado Now was launched in 2016, and enables shoppers to purchase products from a supermarket of their choosing, and avail of delivery within two hours.
Supermercado Now has more than 30 partner supermarkets in the metropolitan region of São Paulo, mostly smaller chains. Customers that use the platform purchase on average 2.3 times per month.
According to B2W, the business model has great growth potential in Brazil and the takeover will allow the business to expand its presence in the supermarket category, offering a wider assortment to its more than 16 million active customers.
The value of the transaction was not revealed.
B2W also owns local e-commerce brands Americanas.com, Shoptime and Submarino.
According to PwC Brasil, the share of e-commerce in the Brazilian retail market could triple in the next five years, driven by supermarkets, pharmacies and building materials resellers, and also due to the higher penetration of apps such as iFood, Uber Eats and Rappi, reports O Estado de Sao Paulo.
The current share is between 4% and 5% of retail sales, compared to 30% in China, 18% in the UK and 11% in the US.
The president of the Brazilian Society of Retail and Consumer Affairs (SBVC), Eduardo Terra, is more cautious in his outlook, forecasting that the share of online commerce will double in four years.
© 2020 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine