In an exciting development for the B2B landscape, Essendant Inc., headquartered in Deerfield, Illinois, is expanding its international footprint with a strategic partnership with Mercado Libre, Latin America’s leading online marketplace. With over 30 million products available across 18 countries, Mercado Libre provides Essendant a unique avenue into a burgeoning market that is ripe for growth.

David Boone, the interim CEO of Essendant, highlighted the significance of this partnership during his keynote at EnvisionB2B in September. “Mercado Libre has immense reach internationally, so this is a critical expansion for Essendant’s Connected Commerce program,” Boone emphasized. This collaboration not only provides access to a substantial consumer base but also positions Essendant to enhance its offerings for brands looking to reach wider audiences.

Essendant’s Connected Commerce program merges the company’s distribution expertise with comprehensive fulfillment capabilities, enabling it to cater to B2B, B2C, and B2B2C markets alike. This approach connects client companies, which include distributors, wholesalers, and resellers, to crucial online marketplaces, B2B platforms, and major retailers, effectively bridging the gap between businesses and consumers.

Following the acquisition of CPO Commerce in 2014, Essendant established its online operations in Pasadena, California. This move significantly bolstered their digital commerce presence, which is essential as consumers increasingly prefer online shopping. The partnership with Mercado Libre marks a critical milestone in Essendant’s growth strategy, as it navigates a landscape where digital engagement is fundamental to success.

Mercado Libre’s prominence in the Latin American e-commerce space cannot be overstated. It serves as the largest online marketplace in Mexico as well as in numerous Central and South American countries, including Brazil, Argentina, Colombia, and more. The partnership thus opens a gateway for Essendant to tap into diverse markets where demand for quality products is high but where brand presence may be limited.

As of the first week of October, Essendant went live on Mercado Libre’s platforms after meticulous planning to curate a selection of products suitable for the Latin American audience. Initially, Essendant is operating as a third-party seller, focusing on reputable hand and power tools and outdoor equipment from major brands targeted at both B2B and B2C consumers.

An Essendant spokeswoman explained, “All of our products are shipped into Mercado’s U.S. distribution center in Texas. Mercado handles all related import and shipping into Mexico on our behalf.” This logistics model highlights the efficiency of the partnership; Essendant can leverage Mercado Libre’s established distribution network while focusing on its core competencies in digital services and product offerings.

The Connected Commerce program not only facilitates cross-border sales but also enhances Essendant’s overall service provision, allowing for global shipping and export wholesale capabilities. This dual strategy aligns perfectly with the demands of modern e-commerce, allowing companies to reach their customers faster and with fewer obstacles.

Despite Essendant generating over $5 billion in annual net sales, the company has chosen not to disclose initial sales figures from this new partnership with Mercado Libre. However, the strategic importance of this initiative is clear, indicating a robust growth strategy aimed at both immediate returns and long-term brand establishment in Latin America.

With digital transformation reshaping the landscape of B2B commerce, Essendant is positioning itself as a forward-thinking distributor ready to meet the challenges of an increasingly interconnected marketplace. Boone’s rallying message to his team—“Get excited and move fast to grow B2B e-commerce”—serves as a reminder of the urgency and potential in this digital age.

As Essendant continues to refine its offerings and expand its reach, stakeholders will undoubtedly watch closely to see how this partnership with Mercado Libre shapes its future trajectory in the Latin American market. The integration of such dynamic e-commerce strategies can serve as a model for other distributors looking to enhance their international presence.

With the possibilities this partnership opens, Essendant is not just participating in the Latin American market; it is reinforcing its commitment to innovation and excellence in the world of connected commerce.