The president of the National Council of Commerce and Services (Consecomercio), José Gregorio Rodríguez, forecasts a possible 10 % increase in sales in December.

Rodríguez referred to the last month of the year, when Christmas shopping boosts the market, while acknowledging that merchants face various challenges related to the exchange rate differential, but also linked to the inflation rate, with an average estimate of 250 % by the end of the year.

The executive urged authorities to conduct a review of the tax issue and specified that “more foreign currency must be allocated to priority areas, to areas considered important, because otherwise, this will translate into price increases and adjustments, and ultimately, the market will have a significant impact.”

According to Rodríguez, “63 % of the population lacks significant purchasing power and is limited to purchasing food, medicine, and toiletries. What we would like is to sell much more volume, not adjust prices, but we have some realities that we have to face.”

M.Pino

Source: bancaynegocios

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La entrada Consecomercio estimates a 10 % increase in sales in December apareció primero en Bitfinance.

In Venezuela, profit margins for businesses have fallen sharply, reaching between 5 % and 22 %, according to estimates by economist Leonardo Soto.

In an interview with Fedecámaras Radio, Soto stated: “In the context of an economy marked by exchange rate uncertainty, tax pressure, and price-sensitive demand, profit margins for businesses and services in Venezuela have fallen to historically low levels.”

He emphasized that currently, net profits in some sectors range between 5 % and 22 %, “well below the levels observed years ago, when margins commonly exceeded 60 % and even 100 % in sectors with high turnover or low competition.”

In this dynamic, he emphasizes that the price of goods and services determines consumption. In other words, in the country, consumers prioritize the value of what interests them as the main attribute for purchasing it.

According to Soto, the negotiation model has changed. Faced with a real profit margin estimated at 8 %, “we must recalibrate the business model or look for another sector.” He also mentioned factors that restrict current profitability, such as: “the end of the hyperinflationary cycle, which previously generated nominal profits due to simple price inertia; the cooling of domestic demand after several quarters of stagnant consumption; the high tax burden and irregular oversight, which increases compliance costs; and the absence of effective formal financing mechanisms, which forces businesses to work with their own capital or face uncompetitive conditions.”

The specialist emphasized the importance of businesses working on their pricing processes to incorporate detailed cost analysis, target audience segmentation, and market intelligence tools. Added to this is the need to invest in sophisticated marketing strategies, focusing on effective segmentation and customer loyalty, especially in saturated or price-sensitive markets.

M.Pino

Source: finanzasdigital

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La entrada Profit margins have fallen in some commercial sectors apareció primero en Bitfinance.

The dollarization of the economy in Argentina, promoted by President Javier Milei, is advancing rapidly. Now citizens will be able to pay in stores in pesos, the local currency, or in dollars, thanks to the legal provisions in force.

“So that merchants can accept payments in dollars with a debit card, the BCRA ordered that acquirers and sub-acquirers have the tools ready to accept payments in dollars before February 28,” local sources indicate.

In addition, the BCRA Board of Directors has incorporated payments with debit cards, in pesos and in dollars, into the interoperable QR terminal. This opens the door to transfers in US currency, as well as credit card and gift card payments. Payments can be made and received “by scanning any QR code that supports the payment instrument enrolled in the wallet.”

Regarding the deadlines for the implementation of these measures, it was learned that the participating entities “will have until February 28 to implement the Scheduled Debin. For its part, the incorporation of the interoperable QR for debit card payments in dollars and pesos must be operational before April 1.”

M.Pino

Source: cointelegraph

(Reference image source: Colin Watts on Unsplash)

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La entrada Argentina moves towards dollarization of its economy apareció primero en Bitfinance.

The Venezuelan Chamber of Electronic Commerce asked service providers and merchants in the segment, as well as consumers, to respect the official dollar exchange rate established by the Central Bank of Venezuela.

According to the organization, its members comply with the exchange rate established daily by the regulatory body in the country.

This was confirmed by Richard Ujueta, president of Cavecom-e, who indicated: “It is a call that the chamber makes to merchants, suppliers, consumers to move on the official dollar.”

The official stressed that not complying with the BCV exchange rate “harms and distorts the economy,” because the difference in the exchange rate of the US dollar affects formal merchants and consumers, except for merchants in the informal sector, whom he urged to formalize their activity.

M.Pino

Source: unionradio

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La entrada Cavecom asks merchants to respect the exchange rate of the Central Bank of Venezuela apareció primero en Bitfinance.

The companies Mastercard and Bakkt signed an agreement to integrate payments in cryptocurrencies, allowing the clients of the network to buy, sell and hold digital currencies in the Bakk wallet. Thus, the users of the platform have the possibility to “earn, spend and reward” in cryptocurrencies with “credit and debit cards and through loyalty programs.”

Sherri Haymond, executive vice president of digital partnerships at Mastercard, pointed out that the company wants to provide its customers with the ease of encryption services, which is why all partners, banks, merchants or fintechs, can now “buy, sell and hold cryptocurrencies through an integration with the Baktt platform already have the possibility.”

With this alliance, banks will be able to keep their clients with their respective capital and avoid migration or exchanges to cryptocurrencies. It is important to note that the integration takes place after the Bakkt platform began its listing on the New York Stock Exchange.

Overcoming gaps

The integration of crypto services and the Mastercard network could become a link to bring the crypto market closer to the traditional payments industry and thus bridge the gap between traditional and cryptocurrency payments. It could also impact the way US investors use their crypto assets and attract new customers.

Nancy Gordon, Executive Vice President of Payments and Loyalty Rewards at Bakkt, said: “As brands and merchants seek to appeal to younger consumers and their transaction preferences, these new offerings represent a unique opportunity to meet growing demand. of flexibility of cryptography, payments and rewards.”

The measure will also make it easier for merchants, and restaurants in particular, to design reward strategies where the traditional points offered to their customers for acquiring their products and services can be exchanged for crypto, minimizing barriers to entry into the digital industry.

M. Rodríguez

Source: diariobitcoin.com

La entrada Mastercard and Bakkt partner to integrate digital currencies to their payment network apareció primero en Bitfinance.