Don't worry, we speak : Español (Spanish), too!
Contxto – Social media behemoth Facebook is debuting a highly-anticipated feature in Brazil. Through its Facebook Pay service and Cielo—a payments processor—users in this Latin American country can now complete payment transactions via WhatsApp.
The company’s CEO, Mark Zuckerberg, made the announcement today on his Facebook page:
“The Zucc’s” vague wording can only leave us to speculate as to where the service will be launched next.
WhatsApp in Brazil
When you think about it, Brazil is a natural/interesting choice to launch this new service.
Though Facebook has more monthly active users in India, second place is reportedly taken by Brazil. But in light of regulatory issues in the South Asian country, Facebook has opted to release this feature in Brazil.
Person to person (P2P) transfers will come at no cost. Meanwhile, through its new WhatsApp Business service, it will charge entrepreneurs a 3.99 percent processing fee when they receive payments.
All that’s needed is users connect their Mastercard or Visa card with one of WhatsApp’s partners in Brazil such as fintech Nubank (of course) and Banco do Brasil.
If you’re curious to see how it works step-by-step, check out this video:
Likewise, through WhatsApp Business, entrepreneurs can upload their product catalogs for users to see.
A payment solution for e-commerce
Payment processing alternatives are truly mushrooming in Brazil. Besides pre-existing fintechs, the government also plans to launch its own app, “PIX,” through which users can complete transactions via QR codes.
Although WhatsApp’s biggest advantage is it’s already often-used between vendors and users to close deals. If anything, its latest feature only streamlines the experience further by allowing for transactions to be done directly on the app.
- Related article: The thriving Brazilian e-commerce market
Also, not-so-coincidentally, in May, Facebook announced the launch of its “Shops” service. Through these virtual stores, vendors can freely showcase their products. Facebook will only charge businesses if they choose to run a purchase through its payment processor.
Truly the social media company is steamrolling into e-commerce and what better place to do so than in Brazil where online businesses are steadily growing to satisfy a large market.
Related articles: Tech and startups from Brazil!