• Craig Gedey

Should I start selling on Walmart Marketplace?

Updated: Nov 25

Amazon continues to dominate the online marketplace, but it certainly isn’t the only site for ambitious businesses to expand into.

Walmart Marketplace, connected to the retail giant’s physical stores in America and around the world, is growing rapidly. A recent report suggested that its e-commerce sales grew 79 percent in 2021 and the platform now has over 100,000 sellers.

But is it an avenue that will suit your business and what are the main benefits from selling on Walmart Marketplace? Thompson and Holt’s managing partner Stuart White, who has extensive experience selling on Amazon, looks at the growing influence of Walmart, the differences with Amazon and whether it is worth you looking at expanding onto a new platform.

“Walmart is now ranked second behind Amazon in terms of e-commerce market share, which is enough to suggest it is worthy of businesses’ consideration almost on its own,” White explained. “But beyond that headline statistic, Walmart has some unique benefits that even Amazon doesn’t, giving it some distinctive plus points for those thinking about selling on there.

“Being such a strong physical retain presence has helped them here, because it provides instant brand recognition and established infrastructure. You can use that brand recognition and tap into the company’s loyal customer base which is a significant head start. By selling on their site, your association to the Walmart brand is immediate and tangible.

“That infrastructure also becomes a benefit once you’re up and running. Walmart enables sellers to offer free two-day shipping to customers, a great advertising tool, their checkout process is extremely straight forward and there are a host of options available in their listing and analytics tools.

“Walmart also has a strict seller criteria that means not just anybody can start selling on their site. While that might be bad news for some, for credible, established and trustworthy businesses it is another positive, because you are operating in a field that customers already have faith in. It also has the further benefit of significantly cutting down competition compared to Amazon.

“Costs on Walmart are also lower. There are no monthly fees, you only pay when you sell something - it ranges from 6 percent to 20 percent depending on your product, and is worth researching to see how it would impact on your own profit lines compared with Amazon.

“So how do you start selling on Walmart Marketplace? It’s a three step process which starts with getting approved via the Walmart Marketplace application. In that you will need to share details about your business and products, with positioning your items closely to Walmart’s customers’ expectations increasing your chances of a successful application.

“If approved, you will be able to register a seller account and start setting up your payment information, product details and everything else you want to appear on your shopfront. There is also a useful tool that allows you to integrate sites from Shopify and others if you already use them.

“Finally, there is a useful testing step before you launch, allowing you to check your order processes, refunds and cancellations so you can fix any errors before going live.

“All of that might sound a lot compared to Amazon, but it’s a process that ultimately benefits trustworthy sellers, and there are definite rewards for making it through to the selling platform. If you’re looking to expand and diversify in 2022, it certainly an option that Thompson and Holt believes is worth your consideration and research at the very least.”

If you are ready to start selling on Walmart then here's the link

If you have found yourself suspended while selling on Amazon, contact Thompson and Holt for a free LiveChat to get your Seller business back online as quickly as possible.

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