Businesses want to be fintechs. And fintechs want to do e-commerce
Itaú Unibanco this week launched its own e-commerce platform, as more financial services firms enter the fray in Brazil’s growing online retail market.
It’s a trend gaining momentum in the region as banks seek to use their fintech expertise to power digital payments and close the supply circle, from offering products to financing purchases and processing payments.
“Itaú Shop intends to facilitate people’s shopping journey by offering exclusive alliances and conditions, as well as a more
fluid and integrated experience with the channels they use the most. The idea is to bring the right product to the customer, with easy payment options, improved experience, and transaction security,” Carlos Formigari, director of Itaú Unibanco, said in a press release.
The region’s fintech heavyweights have also entered the e-commerce sector: Nubank formed an alliance with AliExpress and Magalu in Brazil, while Ualá acquired the Argentine e-commerce platform Empretienda, which processes payments using its Ualá Bis product. Other companies investing in multipurpose models are Baz, which is the Grupo Salinas’ superapp in Mexico, and Banco Comafi in Argentina.
Itaú Shop also plans to offer bank cards with interest-free installments, for which it will draw on an “intensive” analysis of user data. This is in order to provide
“the best solutions and offers for each customer, according to the Itaú card usage profile and the customer’s navigation in the app,” said Formigari.
iupana recently analyzed the digital platforms that are exploring financial services as a means of expansion, and we asked: Will everything will become fintech? Maybe now it’s time to ask: Do all fintechs want to be e-commerce players?