CapexAndChill (@capexandchill): "I think many investors misattributed the lowering of the free shipping threshold as a short-term promotional stunt. It was a volume/ecosystem accelerant. The unit economics are improving with the new density, which further reinforces adoption. Great read on $MELI👇"

Make money doing the work you believe in

I think many investors misattributed the lowering of the free shipping threshold as a short-term promotional stunt. It was a volume/ecosystem accelerant. The unit economics are improving with the new density, which further reinforces adoption. Great read on $MELI👇

Lowering the free shipping threshold in Brazil so far is showing strong results, as these new cohorts are behaving differently, because they use the platform more often incentivized by free shipping. MELI thus is reaching new consumer segments. Not all of these new users are instantly profitable (shipping costs on lower orders are expensive), but over time purchasing from 3P sellers and activating ad revenue makes these investments worth it.

Heavy Moat Investments

May 10

6:57 PM

Make money doing the work you believe in

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