The betting segment was the main driver of e-commerce growth across the key Latin American markets (Brazil, Mexico, Colombia, Chile, and Peru) between 2021 and 2024. By itself, the betting industry grew extraordinary 493% in that period, joining the giant retail and travel segments as the top 3 largest e-commerce verticals in the region.

The massive boom of betting might be over, but the segment is still rising considerably: from 2024 until 2028, it should rise 47% per year. This is what we uncovered in our latest white paper on the E-commerce & Payments landscape of Latin America, recently launched on January 19th.

For this growth to be scalable and continuous, betting operators targeting Latam must understand the strategic role payments play in engaging and retaining bettors. To know more about how to win on the Latin American betting market and how to create a payment strategy that adheres to customer requirements, keep reading:

The rise of online betting in Latin America

After growing nearly sixfold between 2021 and 2024, and reaching sustainable growth in 2025, the betting vertical reached a new level of maturity. Its biggest market in Latam, Brazil, already had its Bets Law established in 2023, but set new regulation for the industry starting on January 1st 2025. The new rules included the need for a local entity and parameters for pay-in and payout processing.

Another key market in the region, Colombia had established clear rules for betting way back when in the mid-2010s, with a new VAT of 19% set in February 2025. According to Fecoljuegos (the Colombian Federation of Betting Entrepreneurs), the tax has squeezed margins and led to changes in the vertical’s cash-in and payout models.

Amidst these regulatory advancements, cultural and technological changes are also boosting betting volumes. With betting becoming a more and more socially accepted form of entertainment, tied to Latin Americans passion and interest for sports and sport events, the region continues to grow in terms of access to smartphones and to the internet – leading more people to want to, and be able to, download and routinely use betting apps.

Why payments are a game-changer for betting operators

The betting market is made up of spontaneous, real-time decisions, often driven by the rush of the moment – that requires instant, reliable payment processing. Without that, the segment crumbles under frustrated customers, missed opportunities, and rising competition.

In A New Era for Latam’s Online Betting Industry, our white paper where we surveyed real Latam bettors, we discovered that slow or problematic payouts are the number one reason why users abandon a betting app (64%), even more critical for them than poor customer support (58%) or lack of security (58%).

Speed in payment processing is not a differential, but a requirement for the users:

57% of bettors expect to receive their payout immediately upon winning a bet, while 69% are not willing to wait any time after making a deposit to start betting.

Another essential part of the payment step is offering a wide range of payment options: it is the third most important aspect bettors evaluate when choosing which app to use (14%) – only behind brand reputation and reliability (37%) and user interface and ease of use (17%).

The dominant payment methods in betting

With speed and usability as key characteristics of betting payments, it is no surprise bettors in Brazil favor Pix above all other methods: it represents 97% of all betting transactions in the country, pushed also by a regulation that demands instant clearance of deposits and payouts (credit cards, for example, cannot be used in betting apps).

In the rest of Latin America, the preference varies but remains tied to the principles of speed and usability: Colombia sees 53% of its betting volume coming from bank transfers, which include instant-based method PSE – credit cards are allowed for bets, representing 34% of the volume.

Unlike other key Latam markets, debit cards lead in Mexico, with 33%.  In Peru, digital wallets reign supreme, representing 40% of the betting volume.

What these methods have in common is speed, ease of use, and familiarity: customers want to bet fast, in the spur of the moment, and do not want payments to be a hindrance.

Leveraging Latam’s betting industry growth

The betting industry has cemented its place in Latam’s e-commerce landscape, and now enters a phase of steadier, regulation-driven growth. Below are key strategies for companies seeking to capture the opportunities of this market:

Win trust with a 'local feel'

To win over Latin American shoppers, merchants need to offer a truly local-like checkout experience — in their language, currency, and preferred payment methods.

Localize payments from day one

Understanding and integrating local payment preferences is critical, as Latam consumers expect solutions that are familiar and aligned with their domestic financial ecosystem. Offering the payment methods the customers prefer – and the regulation allows – in each Latam country you’re targeting is a must.

Partner with local payment experts

Regulations, taxes, and consumer habits vary wildly by country. Partnering with a trusted local processor gives you instant access to compliance support, market knowledge, and faster settlement in local currency

Think long-term: build trust, not just traffic

In fast-evolving and highly competitive markets, reliability and a genuine “local touch” really matter. Transparent deposits, quick payouts, and responsive support in the local language foster loyalty that lasts well beyond the first purchase.

For even more insights and data about betting and other key verticals in Latin America’s e-commerce, click below to download the complete white paper:

Download Latam’s E-commerce Evolution: 2025 Opportunities Report!