MercadoLibre (MELI) has lowered its free shipping threshold in Brazil to R$19 from R$79, and its 6.6 promotional campaign is expected to exceed Black Friday and includes R$24M in coupons, BofA analyst Robert Ford Aguilar tells investors in a research note. BofA says the effort is “impressive” and is a systemic push into low average selling prices, and is a direct attack to Shopee’s (SE) value propositions, as well as PDD‘s (PDD) Temu and TikTok Shop. BofA made no change to its Buy rating or $3,000 price target on shares of MercadoLibre.
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