Amazon and dLocal, a company that specializes in cross-border payments for up-and-coming countries, have teamed up on payment services in Chile, according to a release.
“Amazon has a long history of pioneering online innovation and bringing eCommerce to the rest of the world,” said Sebastian Kanovich, CEO of dLocal. “We are honored to enable Amazon customers in Chile to shop on Amazon.com with international and domestic credit cards, including interest-free installments and Amazon Prime Video subscriptions in Chilean pesos.”
Figuring out payment infrastructure in countries like Chile or in LATAM, MENA or APAC is complicated and multi-faceted. Generally, companies that enter these markets without an ability to handle local payment methods hurt their own reach and growth.
With dLocal, companies can get a better edge in emerging countries because the company has been developing relationships in those areas. Its platform supports more than 300 local payments under the umbrella of one API.
“The platform bridges the gap between the needs of global, online enterprises and payments realities in emerging countries. dLocal operates as the local merchant of record on behalf of its clients, speeding time to market and minimizing operational costs,” the release said. “It also provides built-in, value-add[ed] services that include automated currency conversion, guaranteed fund repatriation for settlement in the U.S. or Europe, optimization of local payment operations and other localization-related advisor[ies].”
In other Amazon news, the eCommerce giant’s market value is expected to again exceed $1 trillion. There are only a few companies that can claim that type of value, which are colloquially called the trillion-dollar club. Microsoft, Apple and Alphabet, are also in that group. Amazon first became a part of the club in September of 2018, but it lost some value investing in things like one-day delivery and streaming content. However, it has now regained its position.
“Amazon’s high-margin businesses continue to allow Amazon to drive greater profitability while still continuing to invest,” noted Morgan Stanley Equity Analyst Brian Nowak.