What Is OXXO Pay?

OXXO Pay is a voucher-based payment method used in Mexico. Instead of using a credit or debit card, customers choose OXXO Pay as their preferred payment method at checkout and receive a payment voucher with a barcode, which they can present at their nearest OXXO store to pay in cash.

Key facts about OXXO Pay

What type of payment method is OXXO Pay?

OXXO Pay is an alternative payment method (APM). APMs are any payment methods other than cash or major credit cards.

OXXO Pay operates on a voucher-based system. When a customer selects OXXO Pay at checkout, the system generates a payment voucher containing a 14-digit reference number and barcode. These vouchers expire between three and seven business days, as determined by the merchant.

The customer visits their nearest OXXO store and presents the voucher, either as a printed copy or on their mobile device. The cashier will check the voucher, accept the OXXO payment, and offer the customer a receipt as proof of payment.

Payment processing and confirmation typically take one business day, and settlement happens within 24-48 hours.

How is OXXO Pay different from paying in cash at an OXXO store?

OXXO is a convenience store chain in Mexico that has been around for decades. People visit an OXXO store to buy everyday essentials and pay utility bills in cash. OXXO Pay is the payment method that uses OXXO stores as cash collection points for e-commerce purchases.

OXXO Pay transactions typically range from a minimum of MXN 10 to a maximum of approximately MXN 10,000. The average transaction value is generally between MXN 500 and MXN 1,000. Customers may also be charged a small cash-handling fee.

What is OXXO, and what does OXXO stand for?

OXXO isn’t an acronym. It’s the brand name of Mexico’s largest convenience store chain owned by FEMSA (Fomento Económico Mexicano). There are currently over 20,000 OXXO convenience stores across the country, where people can pay for their online purchases in cash through OXXO Pay.

Where is OXXO Pay available?

OXXO operates convenience stores across Latin America. However, the payment method, OXXO Pay for online shopping, is exclusively available in Mexico and in Mexican pesos.

Unlimit supports OXXO Pay, along with other trusted payment methods in Mexico such as SPEI, CoDi, Bancomer, and Kueski Pay.

Who uses OXXO Pay?

The typical OXXO Pay user is aged between 15 and 35 and often falls into the lower-middle to middle-income bracket.

51% of the population in this segment is unbanked, which is 45.75 million people. Consequently, nearly 82% of Mexican consumers still prefer cash payments, a factor that has kept them away from e-commerce.

OXXO Pay allow customers to shop online and pay for their purchases in cash at any OXXO store without a bank account, credit or debit card. By supporting this popular payment method, businesses can align with local payment preferences and tap into the substantial unbanked or cash-preferring population in the Mexican market. This leads to enhanced customer experience and drives higher conversion rates.

Why is OXXO considered a trusted payment method?

OXXO’s trustworthiness largely comes from the fact that it’s already part of every Mexican consumer’s daily life.

OXXO is a familiar brand across Mexico. People already use its stores for essential services, so paying for an online order there feels like routine.

Additionally, the following factors add to OXXO Pay’s trustworthiness:

• Customers pay in cash, so there is lower chargeback risk and fraud risk
• Over 20,000 physical store locations across the country mean Mexican customers have easy access to cash collection points
• No card or bank account information is shared online, protecting customer privacy
• Customers can control their budgets as OXXO Pay requires cash for purchases.

Why does OXXO Pay matter for merchants?

Nearly half of the Mexican population lacks access to traditional banking services, and even those with a card or bank account still prefer cash payments. By integrating OXXO Pay into the checkout page, merchants can tap into a broader customer base that card acceptance alone can’t reach.

OXXO Pay is also a familiar payment method for a significant share of Mexican shoppers. That familiarity can make a difference at checkout, particularly for customers who are hesitant to enter card details online.

Additionally, because the customer pays in cash at the store rather than authorising a card, the payment is final once it’s made, and there’s no risk of chargeback disputes or refunds.

Unlimit supports OXXO Pay, along with a wide array of other payment methods in Mexico, including SPEI, CoDi, and Kueski Pay.

What OXXO Pay is not

• Not a card or a digital wallet: No card details are ever entered
• Not a bank transfer: The customer doesn’t need to have a bank account
• Not an account-based product: Customers don’t have to create an OXXO account to use it
• Not instant: The order goes through before the money moves
• Not built for automatic recurring payments: There’s no auto-debit function, so subscription businesses should issue a fresh voucher every billing cycle.