Mercado Livre has announced a new policy for its Brazilian sellers that can transform marketplace dynamics in Brazil. From the 23rd of October onward, the platform will start monitoring product prices sold by sellers not only on its own platform but also on competing platforms such as Amazon and Shopee. The information was confirmed to EXAME.

This means that if Mercado Livre (Meli) detects that a seller is offering products at lower prices on other platforms, they will be notified and given a 3-day deadline to adjust the prices on Meli. If the seller fails to do so, they can have the visibility of their product reduced in the platform and lose access to promotional and marketing tools.

This measurement is an apparent attempt by the company to ensure consumers find the best offers directly on its website, making the most of its dominant position in Latin America’s e-commerce market.

To analysts at Itaú BBA, the move is an aggressive but intelligent response to recent offenses by Amazon and Shopee in the Brazilian market.

“This time, Meli is making good use of one of their most powerful weapons: the platform's relevance and seller blocking”, they affirm in a report published this Wednesday, the 22nd.

Analysts also praised the occasion on which the e-commerce giant used this letter. After all, a few sellers risk losing item visibility on Meli’s platform during increased activity on Black Friday and at the end of the year.

Possible risks in investors’ radars

Some investors have raised concerns that the monitoring policy could lead to antitrust scrutiny. This happens primarily because Meli represents around 40% of online wholesale in Brazil, although its total market share in retail is still modest, ranging from 5% to 6%.

To BBA analysts, Meli is not, in fact, stopping sellers from operating on other platforms, but simply making a prioritization system and offering ordering on their own platform instead. Although it remains a critical dynamic to monitor, many consider this strategy, in essence, a way to enhance competitiveness on their own platform without infringing on competition rules.

The intensifying price war in e-commerce presses the margins of many companies in the sector. And Mercado Livre, more than anyone, knows that competition is tough, mainly due to giants such as Amazon and Shopee, making it seldom beneficial for profitability.

In this scenario, the growth of the GMV (Gross Merchandise Volume) will be crucial to assess whether investments are leading to a higher market share.

For the third quarter of 2025, market expectations point to Brazilian GMV growth of around 32% to 33% compared to the previous year. Should Meli surpass these expectations —keeping EBIT above US$700 million —the price of its shares is expected to rise accordingly, affirms BBA.