Business Opportunities in Mexico Archives - Estafeta USA


Email this page.

We Deliver Mexico
Call Toll Free:
1-855-334-9150

Tracking

CATEGORY ARCHIVES: Business Opportunities in Mexico

Business Opportunities in Mexico covers topics about some of the many ways American companies can take advantage of the growing Mexican consumer market.

As you and your company gear up to hit trade show season, the usual debate will come up as you begin planning. What trade show will help you gain leads? What trade show is most important to have multiple people attend, vs having one representative attend? What is the “big” trade show everyone should go to?

Especially in the e-commerce space, with limited resources (including employees, time, and budget) picking events and planning accordingly around expectations will help you and your team track gain. Instead of sending your whole team to every trade show, set expectations early, and plan your trips accordingly.

Our helpful guide is a one-stop shop for some of 2017’s best trade shows for learning, networking, and growing your business.

eTail Regional Conferences. Canada, May 16-18. Europe, June 20-22. East, August 14-17.
Each eTail event is crafted with care to be a fun, think-outside-the-box show that caters to people looking to learn. Certain shows provide extra-curricular activities to network, including a bowling reception and video game challenges at their Boston event. Bonus: Each conference has a downloadable attendee list to help you determine if it’s a good fit for your business.

DSA Conference. June 4-6.

Most ecommerce professionals have had a relationship with direct selling platforms, and the Direct Selling Association’s annual conference is a gathering of some of the top minds in the direct selling space, creating opportunities for independent contractors and entrepreneurs. With a great panel of speakers, and social events designed to get you to make connections based on your experience level (from new sellers to CEO’s), DSA has become a staple for independent employees and straight to consumer businesses, all across the country.

IRCE. June 6-9.
The Internet Retailer Conference & Exhibition is cultivated each year by Internet Retailer Magazine, with the show earning a reputation as being well-attended and humming with opportunity. Touting over 600 vendors, over 200 speakers, and more than 130 conferences, IRCE ensures the opportunity for participating businesses to talk to the right people and get the right information. If you’re hoping to stay ahead of the e-commerce trends, attendance at IRCE has become a must.

Retail Global. September 12-14.
97% of attendees of this annual show in Las Vegas said they would re-attend primarily due to the networking opportunities. Retail Global is highly regarded for the opportunities that are presented to network, as well as the education from the event, prestigious and knowledgeable keynote speakers, and high quality content strategies shared. If you’re looking to learn and network, Retail Global may need to be on your list of 2017 events to attend.

Shop.Org Digital Summit. September 25-27.
Shop.org’s annual convention is regarded as a who’s-who meetup in the digital space, with a known ecommerce player bringing together hundreds of companies doing business digitally to network and share ideas. With an impressive collection of future-forward options to improve sales and content, Shop.org’s summit is a way to expand your list of contacts in the ecommerce space.

eCommerce Fuel. October 19-21.
Marketed as “the event for 6 & 7 figure store owners,” this meeting of the minds in the heart of Georgia is specifically designed for consumers who are looking for realistic, affordable solutions in the eCommerce space. With speakers and attendees with vast experience in the struggles of starting from the ground up, eCommerce “fuels” community conversation and networking to a very specific niche.

Attending the right trade show is a great way to gain business for your company. When it comes to getting them their product, Estafeta can help.

Auto industry logistics mexicoMexico’s auto industry has grown steadily since the enactment of NAFTA over 20 years ago; today, the country accounts for about 18% of North American auto production, and is on track to overtake Japan and Canada as the United States’ no. 1 source of imported cars by the end of 2015. Big-name car manufacturers are taking notice of the rising auto industry: In February Honda opened its second plant in Mexico, and Mazda’s Salamanca, Mexico, plant began production in March. Additionally, exports from American giant General Motors, which pledged last year to invest almost $700 million in their Mexico facilities, more than doubled in May, according to Bloomberg.

Mexico’s position as a rising power in the auto industry presents several benefits for American manufacturers and dealers. Mexico’s manufacturing wages are significantly lower than other leading manufacturing companies such as China, while workmanship and productivity remains high. Additionally, the country’s strategic location means that manufacturers are able to ship parts to production facilities more quickly. However, manufactures still face challenges posed by cross-border shipping. Estafeta USA provides comprehensive logistics services tailored to the auto industry to expedite this process.

Comprehensive Inbound Logistics

Estafeta USA understands that sourcing parts from across the border can result in added complications. Estafeta provides end-to-end, comprehensive supply chain solutions aimed to ensure that your inventory remains stocked and your costs remain low.

Estafeta USA is your singular point of contact for comprehensive inbound logistics. Our cross-border logistics consultants work with you to determine a customized solution to meet your needs. Several of our inbound logistics services include:

Critical Parts Services

Estafeta USA knows that one of the most significant factors when it comes to staying competitive in the auto industry is the ability to get the right part to the right place at the right time. Our critical parts services ensure that this is possible by expediting the inbound transportation of mission critical parts from your suppliers to your production facilities with same-day deliveries and distribution anywhere in Mexico. Additionally, our strategically-located cross-border warehouse ensures that we can transport and retain assembly parts on a regular basis and in critical moments.

Aftermarket Services

Estafeta USA can help manage your inventory and add transparency to your supply chain. Our warehousing and distribution services ensure that your parts are delivered to clients and manufacturers on-time and efficiently. Some of our aftermarket services for the auto industry include:

  • Warehousing
  • Inventory Management
  • Outbound Administration
  • Pick and Pack
  • Kitting
  • Sub-Assembly
  • Distribution

Estafeta USA: Comprehensive Logistics Solutions for Exporting to Mexico

The rising auto industry in Mexico presents a number of opportunities for U.S. manufacturers. The country’s strategic location, affordable manufacturing fees and free trade agreements makes it an ideal location. However, shipping cross-border presents obstacles for U.S. manufacturers, particularly regarding the delivery of critical spare or replacement parts. Estafeta USA offers several logistics solutions tailored to the auto industry which aims to add visibility to and increase the efficiency of the supply chain process. Contact a cross-border logistics consultant today to learn more about how Estafeta USA can tailor their logistics services to meet your manufacturing needs.

For more news on the economic opportunities in Mexico, subscribe to our daily newsletter The Mexico Business & Logistics Source.

Below is an excerpt from the sponsored special report “Delivering the Goods,” a feature in Internet Retailer Magazine covering technologies that can improve e-retailers’ fulfillment and delivery options. Internet Retailer is an objective provider of information regarding the market trends, technology, competitive practices and people that are shaping the e-commerce industry.

Christian Bruns, CEO of Estafeta USA, a provider of freight, express shipping and parcel delivery services in Mexico

Christian Bruns, CEO of Estafeta USA, a provider of freight, express shipping and parcel delivery services in Mexico.

With e-commerce sales in Mexico projected to reach $6.7 billion in 2019, up from $2.8 billion in 2014, according to Forrester Research Inc., Mexico can represent a potentially attractive sales opportunity for U.S. e-retailers. Many U.S. e-retailers, however, don’t ship south of the border because they consider the administrative, regulatory and logistical issues too big a headache to make it worthwhile.

Frequently cited speed bumps when shipping to Mexico include filling out the paperwork to clear customs, uneven delivery coverage across the country and regulations preventing packages from being left on doorsteps when consumers are not home.

“A lot of U.S. retailers don’t fully understand how to ship to Mexico, so they don’t do it,” says Christian Bruns, CEO of Estafeta USA, a provider of freight, express shipping and parcel delivery services in Mexico. “Consequently, Mexican consumers that want to buy products from U.S. retailers either can’t or have to make their own arrangements to have a purchase shipped to Mexico, which can be costly.”

E-retailers wanting to ship to Mexico can send an order placed by a Mexican consumer directly to Estafeta’s warehouse in Laredo, Texas. Once the order arrives at the Laredo facility, Estafeta clears the package through customs, prepays all duty  and delivery charges then delivers the item to the customer in Mexico.

Alternatively, if an e-retailer does not want to deal with customs, duty and delivery in Mexico, it can refer a customer to Estafeta’s website where she can open a pre-ship U.S. delivery address at Estafeta’s Laredo facility. Customers that have set up a pre-ship U.S. address provide it to the retailer at checkout. In this instance, the customer is responsible for paying all duty and delivery charges. Duty is typically paid upon receipt of the package.

Estafeta will deliver anywhere in Mexico through its nationwide delivery fleet of more 1,500 vehicles.

“It’s a simplified process that removes the barriers to shipping to Mexico for retailers in the U.S.,” Bruns says.

Customers not home at the time of delivery are left a notice of the delivery attempt. If the customer does not expect to be home during the next scheduled delivery, she can arrange to have the item delivered to one of Estafeta’s 1,150 branded retail stores where she can pick it up at her convenience. Estafeta reaches 98% of the Mexican population, giving it the broadest delivery network in Mexico, Bruns says.

“While there are U.S. parcel carriers that service Mexico, what sets Estafeta apart is that we offer a variety of delivery options for e-retailers to have their products shipped to Mexico and delivered anywhere in the country,” Bruns says. “We turn delivery to Mexico into a competitive advantage.”

Read the entire special report “Delivering the Goods.”

Ford Expanding in to MexicoMexico offers a wealth of business opportunities for companies in the United States. The country’s strategic location makes the market easily accessible, and free trade agreements (NAFTA) simplify the complexities that come with doing business in another country. Additionally, Mexico’s low cost of labor provides U.S. companies with a cost-effective way to manufacture and export goods.

Increasingly, companies within the United States are taking notice of the advantages presented by Mexico. One of the largest industry sectors currently moving into the market is the U.S. auto industry. Leading car manufacturers across the United States have been taking an interest in Mexico; last year, Honda and Mazda began production at plants in Mexico, and General Motors pledged to invest almost $700 million in their Mexico facilities. In 2014 alone, Nissan, Kia, and BMW pledged to invest $1 billion each to build auto-assembly plants in the country, and in April 2015 Toyota announced a $1 billion plant to be built in the central Mexican state of Guanajuato.

With the biggest car manufactures in the country moving their manufacturing operations south of the border, Mexico is on track to overtake Japan and Canada as the United States’ number one source of imported cars by the end of 2015. On Friday, Ford Motor Corporation joined the growing list of U.S. auto manufacturers moving in to Mexico, with the announcement of a $2.5 billion investment to build two new plants for developing fuel-efficient engines and transmissions in Chihuahua and Guanajuato, respectively.

“Ford is making a significant commitment to our business in Mexico with investment in two new facilities, while aiming to make our vehicles even more fuel-efficient with a new generation of engines and transmissions our team in Mexico will build,” Joe Hinrichs, Ford’s President of The Americas, said in a statement. “These new engines and transmissions will help deliver even better driving experiences and fuel economy gains for customers around the world.”

Ford will allocate $1.1 billion to the new engine facility, which is being built within Ford’s existing Chihuahua Engine Plant, an expansion which is projected to create 1,300 new jobs. Additionally, a $200 million investment, as well as the creation of 500 jobs, will be allocated to the expansion of Ford’s current I-4 and Diesel engines production in Chihuahua. The remaining $1.2 billion will go towards the building of a new transmission within the premises of transmission supplier and longtime partner Getrag, in the State of Guanajuato.

“Today’s announcement is an important milestone in Ford’s 90-year history in Mexico,” said Gabriel Lopez, Ford of Mexico’s president and CEO. “Currently within Ford, Mexico is the fourth vehicle producer, the fourth largest engine producer and is the second largest nation supplying Ford’s global manufacturing facilities. We look forward to delivering even more great products, including new engines and now transmissions, to serve Ford customers around the world.”

Estafeta USA offers several logistics solutions tailored to the auto industry which aims to increase the efficiency of the supply chain process. Contact a cross-border logistics consultant today to learn more about how Estafeta USA can tailor their logistics services to meet your manufacturing needs.

AT&T-Acquies-Iusacell

AT&T, the second-largest U.S. mobile phone carrier, has completed its $2.5 billion acquisition of Mexican mobile operator Iusacell. The acquisition, which was announced in November, includes all of Iusacell’s wireless properties, including licenses, network assets, and retail stores, and will net AT&T a total of 8.6 million subscribers.

The deal, which comes on the heels of telecommunications reforms in the country, is part of AT&T’s overall plan to expand in to Latin America. Iusacell, Mexico’s third largest wireless operator in Mexico, offers wireless service under the Iusacell and Unefón brand names, a network which encompasses about 70% of Mexico’s approximately 120 million people. In November, AT&T announced its plan to expand this network further to include additional consumers and business of Mexico. Additionally, the acquisition will allow AT&T to create the first-ever North American Mobile Service area, covering over 400 million consumers and businesses between Mexico and the United States

The acquisition announcement follows a historic year for Mexico and the country’s economy: In 2014 Mexico President Peña Nieto signed in to law legislation which ended PEMEX’s monopoly on oil and set the stage for foreign investments; growth in agriculture, industry, and construction, coupled with a record-breaking auto industry propelled the economy forward in the third quarter. In January 2015 Gerardo Gutierrez Candiani, president of Mexico’s Business Coordinating Council (BCC) said that the business community expects the economy to grow 3.5 percent in 2015.

According to Randall Stephenson, AT&T chairman and CEO, the country’s economy was a direct factor in the decision to procure the mobile carrier.

“Our acquisition of Iusacell is a direct result of the reforms put in place by President Peña Nieto to encourage more competition and more investment in Mexico. Those reforms together with the country’s strong economic outlook, growing population and growing middle class make Mexico an attractive place to invest,” he said in a statement.

To see how your business can benefit from Mexico’s growing economy, contact a cross-border logistics consultant today.

For more news on the economic opportunities in Mexico, subscribe to our weekly newsletter The Mexico Business & Logistics Source

For any of our logistics services – LTL Shipping, Personal Imports or Express Parcel Delivery to Mexico –
Call Estafeta USA Toll Free: 855-334-9150.