Increase the Number of Demos & Raise SaaS Sales
SMBs don’t have the in-house SaaS resources, so they rely on cloud solutions and third-party suppliers. 6 out of 10 American businesses are reliant on SaaS in some capacity. Moreover, about 40% of SMBs plan to further invest in SaaS in coming years.
The need to grow leads SaaS startups, entrepreneurs, and investors seeking opportunities outside of the United States. LATAM has reemerged as a desired and fruitful destination.
The LATAM SaaS market is expected to reach $5.31 billion in 2022.To date, much discussion focuses on Brazil, yet Mexico, Colombia, and Argentina are among the popular and profitable locales.
VC Investment in LATAM
Outside investment in LATAM has a rocky history. Economic turmoil in the region made investors skittish from 2015 through 2017. However, VC firms have reemerged with newfound optimism taking the shape of early seed-stage funding. Modern VC interest has shifted away from focusing on e-commerce alone to make room for more SaaS investments.
Payment Trends
Latin America beholds great opportunity for American-based SaaS companies. However, it’s crucial to partner with a marketing team that understands the rich and diverse language and culture.
Finding ways for LATAM consumers to pay and transact with SaaS vendors poses an issue, for a high percentage of Latin American adults do not have a traditional bank account.
Many businesses use Stripe for recurring payments. However, this is not an optimal choice for those who are posed with large tax charges. SaaS companies ushering better payment methods will thrive throughout LATAM in coming years.
Read more about Remittances in Mexico
Mexico and SaaS
Why are SaaS startups and existing American brands eyeing Mexico? Mexico has shown a strong penchant for IT and developing technology. Secondly, it’s a location with an emerging SaaS startup scene.
As mentioned, a shaky economy across LATAM previously had investors shook, but there’s no hesitation in present momentum. Mexico is Latin America’s second-largest economy ($1.26 trillion GDP). It’s a destination for international SaaS expansion and native startups.
Over 80% of Mexican companies have adopted some variety of SaaS – software for accounting, collaboration, and document management. Mexico is the second-largest market in LATAM for CRM software.
Partner with a Mexican-Based Business
American-based SaaS companies look toward LATAM, yet there’s no denying the growing competition within the country. The number of SaaS startups flourish in Mexico and 2019 witnessed more IPOs than the previous 20 years combined!
Successful expansion needs facilitation from a native brand. Partner with a Mexican-based business, working closely with them to reach more customers the right way.
We want to help you integrate your SaaS company throughout LATAM, attracting more business prospects and increasing sales!
Let’s Get Started!
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