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    How To Start An E-Commerce Marketplace In Brazil?

    Introduction- Marketplace In Brazil

    Brazilian e-commerce section is quite matured and has way up as a global competitor in the e-commerce market. This lets online multi-vendors finding enormous growth scope and opportunities.

    The major hit in the e-Commerce industry in Brazil is due to the increase in credit. More specifically there is even a visible growth in the m-Commerce to outstretch the spectrum of the Marketplaces.

    Now, before going into further detail lets discuss the major leader of Brazilian marketplaces.

    What are the top Brazilian marketplaces?

    If you are planning to have a Marketplace in the Brazilian region then following are the top leaders-

    So, being a niche player in the e-Commerce Marketplace industry one can take reference of the above competitors.

    Once, the competitors are known the major question is What you require to start an e-commerce marketplace?

    Starting an e-Commerce Marketplace

    The major component for starting an e-Commerce Marketplace are-

    • Hosting- One of the most significant points for the setting up of a marketplace. With the below list of cloud-based service, this can be achieved-
      • Amazon AWS Stack
      • Google Cloud
      • Microsoft Azure StackSSL, wherein the requirement arises of the cloud support team, which Webkul Offers.
    • Domain- A domain name unique name that signifies the registration of the domain to claim space on the internet. This registered name can be used by the e-Commerce business owner on both websites as well as e-mail.
    • Inventory Management- Stock management is the most crucial point when it comes to setting up a marketplace. The stock of goods and services is massive in the marketplace. Thus, the biggest challenge is to manage the records of inventory depleting and incrementing.
    • Payment- The e-Commerce application will be a success only when it supports multiple payment gateways to allow an easy transaction.
    • Shipping- The marketplace website will serve to provide a good user experience only when it fulfills a successful delivery. This can be done by adding multiple shipping methods.

    These are a few of the common considerations before starting an e-commerce marketplace.

    No matter in which geolocation you will start your online business.

    However, if one wishes to extend the niche marketplace to an advanced marketplace then Webkul Plugins are the best solution, refer here.

    Important Considerations For E-commerce Marketplace In Brazil –

    There are some important core considerations which you must need to take care of while starting an e-commerce marketplace in Brazil. Let’s discuss each one of them.

    CNPJ Number: Cadastro Nacional da Pessoa Jurídica

    You need to have a CNPJ number if you planning to own an online store in Brazil. 14-digit taxpayer identification number CNPJ is used for businesses in Brazil.

    It stands for Cadastro Nacional da Pessoa Jurídica or the National Registry of Legal Entities.

    Either businesses formed in Brazil or foreign companies own assets/wish to invest in Brazil should have a CNPJ number.

    Note: Want to know more about CNPJ number?

    Taxation Structure In Brazil

    In Brazil, the taxation of online sales is very complex. Therefore, you should have a good understanding and knowledge of taxation structure followed in Brazil.

    Taxation depends largely on whether a product should be considered a good, a service or a copyright license –

    • Products & Merchandise Taxation – owned by state tax ie; ICMS and varying as per each state.
    • Service Taxation – owned by municipalities tax ie; ISS and varying as per each municipality.
    • Software Taxation – Currently, owned by municipalities tax ie; ISS on the license of the software. However, there is a pending decision that whether the download of off-the-shelf software comes under the ICMS tax. But the sale of ‘off-the-shelf’ software will come under state tax ie; ICMS.

    Note: Want to know more about taxation in Brazil?

    Payment Processing

    There are two ways of payments processing in the marketplace-

    One is Default Payment Flow, the payment made by the customer for their purchases will come directly to the admin’s bank account.

    And then, the admin will pay the respective multiple sellers out of the e-commerce platform such as NEFT, cheque, bank transfer, etc.

    Another is Split Payment Flow, this allow split payments among multiple vendors from the single transaction made by the customer.

    For this, there are several third-party payment gateways available which support split payments in Brazil like

    In split payment, the payment will split between the sellers and the admin automatically.

    The sellers will receive the product payment in their linked bank account and the admin will get the commission and shipping amount in the admin’s bank account.

    Shipping Options

    Providing convenient shipping service to your customer is equally important as providing payment options.

    Therefore, you need to choose logistic options which charge a reasonable price to ship the products depending on the size and weight of the product.

    Because the customers will not buy if they find the shipping charges too high.

    For Brazilian e-commerce marketplace, there are various options available like –

    How Webkul is helping to create an effective Marketplace?

    Webkul is catering the clients around the globe. Recife Ingressos is one such example.

    Recife Ingressos is one the most recognized Brazilian marketplace solution from where the customer can book tickets of the event. The vendor can easily showcase the voucher events on the website.

    It is a Magento Marketplace Multi-Vendor based website to allow take in advantages of few of features like-

    • The seller can add banner, shop logo custom HTML text.
    • Seller / Vendor product search in vendor panel . 
    • Separate seller’s product collection.
    • Feedback and review system with interactive star rating.
    • Contact to seller with captcha support.
    • Different seller commission for every seller.
    • Back-end admin product assignment for a seller account.
    • Category and subcategory assignment from seller end.
    • Seller Dashboard will display the current status of the product account e.g – pending, complete, processing.

    You can go through more of our e-commerce marketplace success stories. And, get to know how our clients have benefitted using Webkul’s marketplace solution – https://marketplace.webkul.com/success-stories/

    For e-commerce marketplace business, you need to consider certain other factors based on the country you will be starting your e-commerce marketplace.

    Just like marketplace cost/investment varies from country to country.

    Similarly, there is a certain additional requirement and legal regulations you will be needed to consider if you are planning to start an e-commerce marketplace in Brazil.

    In case of any query or more details, kindly contact us at webkul.uvdesk.com

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