Four distinct perspectives analyzed the current state of e-commerce in the Dominican Republic: An e-commerce manager, a frequent shopper, a representative from Proconsumidor, and a representative from the academic sector discussed for an hour and 10 minutes the challenges and opportunities e-commerce presents for both businesses and consumers in the country.
Gathered in the Social Security auditorium of the Santo Domingo Institute of Technology for a panel organized by the ICT Committee of the American Chamber of Commerce of the Dominican Republic (AMCHAMDR), the four panelists analyzed the main characteristics of this market, which has the potential to reach nearly 3.7 billion customers globally.
For Claudia Chez, who moderated the panel and is coordinator of the Digital Economy Commission of the ICT Committee, the key is connecting with users and building trust.
“Build a brand permeated with values that people want to identify with. Algorithms are based on meritocracy. Therefore, the key is connecting with your audience,” recommends the co-author of the white paper “Understanding the Challenges of Ecommerce Development in the Dominican Republic.”
The perspective of an eCommerce
Julio García is the general manager of Compra Directa. From his experience, he perceives a certain reluctance among local buyers to enter their information into Dominican e-commerce sites. In his opinion, this can be solved with education.
"We need to educate online shoppers and the players involved in this market. We must work to ensure that when users visit a website, they see the certificate of authenticity, giving them confidence that they will be making a secure transaction and that they can enter their information," he said.
Regarding the obstacles that exist when registering companies that want to venture into e-commerce, García proposes the creation of a one-stop shop to simplify the process.
The consumer perspective
Luis Manuel Cepeda is a frequent online shopper. If he had to rate the maturity of e-commerce in the country, he would place it 5th on a scale of 10. He justifies this by understanding that the country has not been able to adapt e-commerce well. However, he is optimistic about the future of this trend, as there is a generational gap that, he says, will close.
Who does he buy from and why? For Luis Manuel, when it comes to making online purchases, he prefers to transact with people rather than with companies, and when he does with the latter, his priority is connecting with the brand.
“Before I buy, more than the logo or its identification, I look at the promise the brand offers me, whether they offer me security or if they just want my money,” he adds.
The academy's perspective
The challenge lies in developing culture and thinking toward a digital model, according to Lorenzo Martínez Lebrón, coordinator of the Software Engineering program at INTEC.
The professor believes that academics are not fully preparing professionals for digital economies and transformation, and that an infrastructure needs to be built to foster trust and foster new proposals in electronic models.
What should be improved in the medium term? He proposes updating regulatory frameworks, especially to ensure a stronger Data Protection Law that is harmonized with regional legislation.
“We have great opportunities for e-commerce, which is growing among businesses. Consumers have the option to compare different providers. For businesses, there is an opportunity to launch at lower costs with digital technologies and offer security in online transactions,” he noted.
Proconsumidor's perspective
"In the Dominican Republic, we still need to adapt to the modernity of e-commerce. The vast majority of products are purchased in physical stores," says Sorilenny Custodio, a specialist in economics and consumer law and a consumer law analyst in the Legal Department of Proconsumidor.
"We must foster consumer trust in suppliers to break the perception of e-commerce fraud, implement good practices, and provide buyers with relevant information that builds confidence in online transactions," he recommends.
Regarding the legal regulations governing e-commerce, he believes they need to be updated and adapted to the reality of the Dominican market based on the transactions carried out.
E-commerce opens up a range of opportunities
The Internet has made it possible to create online businesses through various digital platforms. This is the opinion of Osvaldo Larancuent, Coordinator of the Cybersecurity Engineering program at INTEC, who, in his opening remarks at the event, spoke about its impact on process improvement.
“Starting a business and incorporating innovative elements supported by digital culture has a direct impact on improving business productivity,” said Larancuent.
E-commerce opens up a whole new world of opportunities. That's the vision of María Waleska Álvarez, president of AMCHAMDR's ICT Committee.
“Last year, $517 billion was spent online, and of that, only 15 percent was in e-commerce retail transactions. I see this as a huge opportunity to make an impact on e-commerce,” said Álvarez.
