COLOMBIA

A bright e-commerce future in Colombia

Process payments locally to fully capture the blossoming Colombian e-commerce market.

47 Million 

29 World Rank

52% Bank Account 

26% Credit Card 

$6 Billion E-commerce Market 

21 Million Internet Shoppers 

58% Penetration 

41% M-commerce Share 

Colombia has the third largest population with the fourth largest online audience in Latin America. In 2016 the e-commerce market was worth $6 billion, whereas, with a steady growth of 22% the market is foreseen to reach an approximate $13.1 billion by 2020. Colombia holds the third spot when it comes to smartphone penetration in the region, accounting for 58% of the population.

The Colombian government aims to instil social and economic development, greatly influencing e-commerce development through enhanced access to internet, transportation services and reduced logistics costs. With a more stable economy and an increasingly affluent population, Colombia’s e-commerce future is bright.

PayU offers global merchants the opportunity to provide traditional and alternative payment solutions that ensure reaching a vast majority of Colombia’s expanding market. This includes credit cards, bank transfers, credit at the point-of-sale and cash solutions. Credit cards are a predominant online payment method, of which 70% is carried out through instalments. 

PayU te Fía is a credit solution that is largely convenient, simplifying e-commerce payments, which as a result increases conversions significantly. This method tends to be carried out mostly on mobile devices.  A short-term credit is provided by deferring the related payment until after the purchase.

Colombia’s economy widely runs on cash, where the underbanked customers and those wary to transact online prefer paying ‘en efectivo*’ (Spanish for cash). PayU provides access to three of the most commonly used cash payment providers – Baloto, Efecty and Su Red, enabling secure online transactions in cash. Additionally, Pagos Seguros en Línea (PSE) typically works like a bank transfer, directly debiting the amount from the customer’s bank account, which is then credited to the merchant’s. Through PayU, customers have access to 20 local banks which offer PSE as an alternative payment method.

PayU’s in-depth understanding of the Colombian market and its needs over the past 15 years have instilled a renowned reputation within the country. Provision of country-specific alternative payment solutions give merchants access to almost half of the Colombian population who don’t possess a card. Secure payments are ensured through PayU’s robust anti-fraud module that greatly diminishes the threat of fraudulent transactions while instilling trust in customers when transacting online. 

 

Payment Methods Available in Colombia With PayU

Credit and Debit Cards 

Cash payments 

Bank Transfers 

(20 banks in total)