Category Archives: Services

Mexican retail chains hot for omnichannel

Mexican consumers have been much slower to embrace the on-line shopping wave compared to elsewhere in North America, with low credit card penetration and fear of fraud, among other factors, holding back the e-commerce revolution.  On-line shopping portals launched fairly early on in Mexico, but only recently do the major brick-and-mortar retailing chains seem to be fully embracing the wave of the future, and growth is coming fast.  Mexico’s e-commerce market is among the top two in Latin America with US$17.6 billion in sales in 2016 and averaging 45% annual growth from 2010 to 2016, according to data provided by the Mexican On-Line Sales Association (AMVO).  Nonetheless, e-commerce in Mexico still represents only some 2% of all retail sales, compared to nearly 10% in the United States.  Recognizing the fast pace and overall potential for growth, retailers are taking measures to take advantage, and it seems like all of a sudden omnichannel marketing is all the rage. Continue reading Mexican retail chains hot for omnichannel

Mexico passes new fintech law as sector surges

On March 9, 2018 the Mexican government published a new financial technology law, called the Law to Regulate Financial Technology Institutions (Ley para Regular las Instituciones de Tecnología Financiera, or Ley Fintech).  The text of the law states up front that’s its goal is to “regulate the financial services provided by financial technology institutions, as well as their organization, operation and functioning and the financial services subject to any special regulation that are offered or carried out by innovative means.”  Conventional banks in Mexico have long been regulated of course but the recent surge in new technologies and tech startups in the financial sector has been making both regulators and old-school bankers jumpy.  This, then, is a first stab at setting up a basic regulatory environment for the new wave of mostly internet-based access and transaction platforms and products.  Continue reading Mexico passes new fintech law as sector surges

Recent and upcoming investment in Mexico

Information collected from media reports over the last month:

  • Amusement parks: U.S.-based amusement park operator Six Flags Entertainment Corp. inaugurated its remodeled water park in the central state of Morelos at a cost of US$18 million, the company reported. Six Flags plans to add hotel facilities and restaurants at the site in the future. (El Financiero, May 31, 2017)
  • Real estate development: Mexican developer Gicsa reported it will invest approximately US$34 million to convert an existing Mexico City shopping center into a mixed-use complex. The repurposed site is planned to include offices, retail space and a hotel. (El Financiero, May 30, 2017)
  • Casual dining: Mexican restaurant chain Toks, part of the Gigante corporate group, is projecting investment of up to US$48 million across its formats. Projects include a new distribution center, remodeling of the Beer Factory and California format casual dining restaurants and a beer bottling operation. (Reforma, May 30, 2017)
  • Cement: Mexican cement producer Elementia is currently carrying out a US$250 million expansion of its production plant in the central state of Hidalgo, the company reported. The upgrade will increase Elementia’s annual cement production capacity in Mexico to 3.5 million tons. (El Financiero, May 29, 2017)
  • Beverage: British drinks multinational Diageo initiated construction of a bottling line for tequila and vodka at its processing plant in the western state of Jalisco, the company reported. The bottling expansion is part of US$400 million in investment planned through 2020. (El Financiero, May 24, 2017) Continue reading Recent and upcoming investment in Mexico