Sell on Walmart: 4 Reasons Why & 4 Steps to Start

Michelle Thompson

April 6, 2022

Walmart.com is gaining traction as a digital marketplace, but how does it compare to selling on an established platform like Amazon?

Just ask LifeSeasons. LifeSeasons is a premium supplement brand who was successful on Amazon, but—like all supplement brands can attest to—was having ongoing issues with Amazon dramatically changing its dietary supplement approval requirements. One day a product is in the clear, driving revenue and helping consumers, the next it’s no longer approved to sell on Amazon, hurting both LifeSeasons’ sales and their mission to help consumers live life to its fullest.

Along with working to ensure the brand met Amazon’s ever-evolving specifications, LifeSeasons partnered with Pattern to explore alternative options to deliver supplements to their consumers. With the help of Pattern, LifeSeasons identified Walmart.com —an untapped marketplace, full of new consumers who had yet to discover LifeSeasons’ perfectly blended formulas.

Pattern analyzed the opportunity, as well as provided expert advice and an extra set of hands every step of the way–ensuring a seamless onboarding, optimized product listings, organized logistics, and consistent prices across all sales channels.

But did it pay off? With sales continuing on Amazon, LifeSeasons launched their nature-based products on the new platform, and went from $0 to five digit growth on Walmart.com within two months of release. Growth they could have lost to competitors.

Why Sell on Walmart.com?

Just because the opportunity worked for LifeSeasons, would it work for your brand? What are the 4 benefits of becoming a Walmart seller?

1. Walmart consumers are loyal to the platform

Launched in 2009, Walmart Marketplace continues to grow rapidly, giving sellers access to over 8 million Walmart+ members, who spend an average of more than $1,100 per year on Walmart.com.

2. Easier returns than Amazon

Similar to Amazon’s Prime program, Walmart+ members get free shipping and delivery on all orders. But outdoing Amazon, Walmart’s 4,740 US store locations act as distribution centers for orders. Since 90% of Americans live within 15 minutes of a Walmart, this means faster shipments and easier returns for your customers.

3. Less sellers to compete with

With an overwhelming 6.3 million sellers competing for attention on Amazon, and just over 100,000 third-party sellers on Walmart.com, you have all the more reason to launch on the platform now. With less competition, your product will stand out to Walmart Marketplace’s 308 million monthly visitors.

4. No hidden fees

Still looking for benefits? On Walmart.com there are no setup or monthly fees to be a seller, only a referral fee on purchases, which range from 6 to 20% depending on the product. So if you’re not making money, Walmart’s not either.

Walmart also charges for storing products in their fulfillment centers, but this cost is stated up front and based purely on the timeline of product storage and size.

Are there downsides? There really aren’t any downsides to selling on Walmart Marketplace. It’s a great opportunity to expand your market exposure and diversify your ecommerce business.

Get on Walmart.com now to stay ahead of future competitors. All other factors equal, Walmart.com has a first-come-first-serve cataloging system, which means the sooner you list your products, the better the chances are to be discovered. Ready to get started? We have the 4 simple steps to start selling on Walmart Marketplace.

4 Steps to Sell on Walmart.com

Now that you know why you should be on Walmart.com , it’s time to learn the 4 steps to start selling on the ecommerce platform.

1. Choose your selling type

To sell on Walmart Marketplace, you have three options. You can sell as a First-Party (1P), dropship vendor, or Third-Party (3P). Let’s go over how each is different:

  • As a 1P seller, you supply the product directly to Walmart, who then lists, markets, and sells it to customers on their website.
  • As a dropship vendor, you also sell to Walmart at wholesale prices, but not in bulk. Instead, you supply items to Walmart as the orders come in.
  • As a 3P seller, you use Walmart as a marketplace to list, market, and sell your product at your own retail price, giving you full control over sales and branding.

2. Become a seller on Walmart

We recommend partnering with a 3P Walmart seller like Pattern, which gives your brand the maximum potential to grow with the minimum stress of optimizing a new platform. Working with Pattern, you won’t need to worry about the process of applying to become a seller or setting up your online seller account—Pattern will handle all of the paperwork.

If you choose to go 3P, first, you need to apply online. Go to the Walmart Marketplace website and click “Request to sell” in the top right corner. There, you’ll be asked to gather required business information in order to complete the application process

Then, your seller application could take anywhere from 2 to 4 weeks to be processed and approved.

3. Set up your Walmart.com selling profile

After becoming a seller, you’ll create a Partner Profile by providing additional company information and adding your product catalog. You can integrate your products directly via API, bulk upload them with Walmart’s category-specific excel template, or add SKUs individually. Make sure to mark all relevant item attributes so your products are correctly categorized later in a shopper’s search results.

Setting up your profile and listings can feel complicated and overwhelming, but it doesn’t have to. If you work with an experienced 3P seller like Pattern, we know the ins and outs of optimizing your brand and products to obtain the highest possible listing quality score and, in turn, the highest search rank.

A few other things to be aware of—prohibited items and strict pricing rules. On top of local, state, and federal laws and regulations, Walmart has several product categories they won’t allow you to sell. Noncompliant products will be removed.

As for pricing, Walmart will remove items that are significantly overpriced or any product where the product is priced lower on another website. For states that require it, Walmart Marketplace also collects sales tax on your behalf. It is your responsibility to collect sales tax from customers in other states unless you opt to have Walmart remit all sales tax for you.

With your Partner Profile set up, you’re ready to navigate Walmart’s Seller Center. This is where you can manage all your product listings, inventory, orders, and analytics. To learn your way around the Seller Center, we recommend checking out Walmart’s Seller Help knowledge base, which offers a number of guides and answers to FAQs. Walmart Marketplace was built for sellers, so it provides tons of resources to help you succeed.

4. Choose your Walmart logistics strategy

Now for the final step in selling on Walmart, finalizing your logistics plan. Afterall, what good is selling on Walmart if you can’t get the products to your customers?

Walmart Fulfillment Service (WFS)

When it comes to logistics, we highly recommend using Walmart Fulfillment Service (WFS). Launched in 2020, WFS is similar to Fulfillment By Amazon (FBA) and handles storing, picking, packing, and shipping your products for you. Simply send your inventory directly to a WFS location and Walmart will send it to customers as orders are placed.

The benefits of WFS: In addition, WFS offers sellers a variety of benefits: They handle nation-wide 2-day shipping on all your listings, giving them “TwoDay Delivery” tags for extra visibility. They manage all your returns and customer service and offer you enhanced seller support with their dedicated WFS call center. In short, WFS helps streamline your supply chain and takes all the guesswork out of fulfillment.

How does WFS compare to FBA?: If you’re familiar with FBA, it’s also worth comparing Walmart vs. Amazon fulfillment services. WFS has stricter seller requirements to keep customer satisfaction high. As a result, it’s harder to qualify for WFS. But if you do, you benefit from a better buyer-to-seller ratio. With WFS, you’re competing with 100K other sellers instead of Amazon’s 6 million. Though applying for FBA is easier and faster, WFS gives your brand a competitive edge.

Handling Logistics In-house

When choosing to handle the logistics yourself, Walmart offers 6 different shipping methods, ranging from Free Value Shipping (3-7 business days) to Next Day shipping (0-1 business days). Sellers need to offer at least one method. Just remember, consumers expect fast delivery, so the more expedited shipping options you offer, the better. You can also optimize your products’ shipping settings with Walmart’s shipping templates.

Dealing with returns: With some exceptions, Walmart requires sellers to offer a 30-day return window starting 7 days after an item ships and to have at least 1 return center. That way, customers can return products in-store or online. You can also have Walmart handle your returns for you with their Enhanced Returns program and Returns Shipping Service (RSS). Also be aware that cancellations are final. Whether a customer or Walmart itself cancels your order due to a violation, you need to halt shipping immediately.

The benefits of handling logistics in-house: By opting to handle the shipping process, your brand takes on more responsibility, but also more freedom. In this scenario you have the ability to look into and compare every shipping option, carrier company, and associated cost. You then have the flexibility to choose what best fits both your business and customer needs.

But beware, this comes with the additional pressure of ensuring you hit all promised shipping timelines, that your shipments arrive in the same condition they left in, and finding your own creative solutions to unexpected obstacles, like weather delays.

Using a 3rd-Party

One of the best parts of partnering with a Walmart 3P seller like Pattern? They handle all of this for you. As your authorized seller we will oversee the inventory management, ensuring your products are delivered to the correct warehouses at the appropriate times so you stay in stock. We also handle your customer support and returns, giving you extra room to breathe and focus on the areas you know best.

Partner with Pattern

Whether you need help managing your marketplaces or you’re looking to maximize your potential on Walmart Marketplace, our experts at Pattern can help.

Pattern was one of Walmart’s first WFS sellers—we started as a beta tester and have only continued to grow our understanding and success—so we know the ins and outs of what it takes to support your brand on the platform. Overall, our brands are seeing an average growth on Walmart Marketplace of 250%. Take your Walmart strategy to the next level by getting in touch today.

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Global Ecommerce Weekly News: 27th September 2022
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Global Ecommerce Weekly News: 27th September 2022

Get up to date with this week's ecommerce headlines from around the globe. --- Amazon News --- Amazon drives renewable energy push with 71 new projects Amazon is planning to add 2.7 gigawatts of clean energy capacity through a couple of new projects as the company attempts to use 100% renewable energy by 2025. The ecommerce business will soon have a total of 329 renewable energy projects, generating 50,000 gigawatt hours of clean energy, which is equivalent to powering 4.6 million US homes every year. [Read more on Reuters](https://www.reuters.com/business/sustainable-business/amazon-drives-renewable-energy-push-with-71-new-projects-2022-09-21/) Amazon launches Prime Early Access Sale Amazon is launching a new 2-day shopping event for its Prime members only, beginning on the 11th of October. Across 15 countries, Prime customers will have access to the shopping event, with thousands of deals on offer globall, ranging from fashion to electronics to essentials. The event has the purpose of giving Prime users the chance to spread the cost of items over the winter months, 6 weeks ahead of Black Friday. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/26/prime-early-access-sale/) --- Other Marketplace News --- Shopify unveils new localisation tool Shopify is launching a new localisation tool, called Translate & Adapt, which works with Shopify Markets to offer localisation for sellers who are looking to expand into new markets. The tool translates a user’s online store into different languages, including product pages and information pages. Merchants are also able to create different shipping terms for each market using the new tool, which allows international expansion and offers a more localised consumer experience, unveiling new potential. [Read more on Ecommerce News](https://ecommercenews.eu/shopify-launches-new-localisation-tool/) Etsy is set to invest hundreds of millions into its marketing platform Etsy CEO claims that the company is on route to spend more than $570 million USD on marketing this year. Even during a time of macroeconomic pressure, inflation and rising interest rates, the company is preparing itself and its sellers for the upcoming holiday season and is focused on retaining interest from buyers. [Read more on Yahoo News](https://uk.news.yahoo.com/etsy-600-million-on-marketing-ceo-154054219.html) --- Other Ecommerce News --- Meta looks to cut costs by 10% in the coming months Meta employees are facing job redundancies as the company plans to cut its costs by 10% over the next few months. Meta reported a 22% YoY increase in costs and expenses, totalling over $20 billion USD. The cuts are expected to come in the form of job redundancies as a result of department reorganisations rather than formal layoffs. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/22/meta-to-slash-costs-by-10-over-coming-months/) DHL teams up with Quadient to offer smart locker deliveries in the UK DHL and tech company, Quadient, have partnered to offer smart lockers parcel pick-up throughout the UK. The new contactless, secure locker stations will give recipients more choice and flexibility to receive their parcels at a time and location best suited to them. The partnership plans to install 500 locker stations across the country by the end of 2022. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/21/dhl-partners-with-quadient-to-offer-smart-locker-delivery/) The online fashion market is set to be worth nearly $170 billion USD in 2025 The European online fashion retail market is set to grow 50% by 2025, with an online turnover of $170 billion USD, which is 33% of the retail branch’s total. Cross-border marketplaces prove to be the largest drivers of this growth, with online websites and apps like Vinted largely pushing the market’s online growth. Zalando recently became the largest cross-border fashion retailer/marketplace, responsible for 11.7% of the online market’s share. [Read more on Ecommerce News](https://ecommercenews.eu/online-fashion-market-worth-e175-billion-in-2025/)

How an Amazon SEO Agency Should Be Serving Your Brand
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How an Amazon SEO Agency Should Be Serving Your Brand

If you’re in the global ecommerce space, you are most likely aware of Amazon, and probably selling your products on the marketplace. With over $470 billion in sales in 2021 alone, Amazon stands as the third largest company in the world based on revenue. The ecommerce giant is a household name in the U.S. and working hard to grow its market share across five continents worldwide.

Having your products available on Amazon and being competitive there, though, are definitely two different things. If you want to really succeed on Amazon, you’ll need specialized insight into how Amazon works and how to make it work for you. So, for many brands, it’s a great idea to work with an Amazon Search Engine Optimization (SEO) agency.

At Pattern, Amazon SEO optimization service is one of our key competencies. We understand that technology, data-driven insights and expertise  are the most important tools brands can leverage to win top listing spots on digital marketplaces. With expert teams and years of experience, we help brands conquer the Profitability Death Spiral as they compete with other products and sellers online. We offer Amazon SEO agency services as a core solution to brands that need more resources to get ahead. 

What is an Amazon SEO Agency?

An Amazon SEO agency serves brands by improving their products’ rank and listing performance on Amazon. They make strategic decisions about ad spending and placement that lead to higher traffic, conversions, and revenue for ecommerce brands.

A great Amazon SEO Agency partner will:

Prioritize Your Success

Unfortunately, many Amazon SEO agencies profit in unfair ways from your brands’ perceived success based on the ROAS numbers they provide. This is done through including branded search terms in ROAS reports, which naturally skew listing performance

Let’s say, for instance, your brand is called “Annie’s” and you sell lollipops. Your brand has a very high likelihood of winning the top listing spots on Amazon for lollipop search terms that are paired with “Annie’s,” your brand name. So, SEO agencies will spend your ad money on those terms and report a very high ROAS. 

To avoid scenarios like these, it’s best to look for an agency that either calculates their profits on metrics other than your ROAS scores or weighs branded search terms differently in the performance metrics reports. Regardless of your Amazon SEO agency’s cost structure, you should align onbranded search terms before committing to a scope of work.

Provide Detailed Competitive Insight

A great indicator of a high-quality Amazon SEO agency is the level of insight they can provide into your competitors’ listing positioning and how it compares to yours. Data fanaticism is so important at Pattern that we’ve developed proprietary technology to display this exact information with precise detail for every brand we work with. In fact, you can find our free version here to see how you compare to some of your top competitors based on ASIN.

It’s certainly possible to improve your Amazon search performance with blind spending strategies. But a truly great solution will help you to know where your dollars are at their most powerful and competitive.

Reduce Your Ad Spend Over Time

Amazon’s A10 algorithm prioritizes customer satisfaction—it wants to show consumers the best products that align with their search intent to improve conversions and sales. So, the best way to gain momentum on Amazon is to work on incremental wins. 

Improving your performance on more obscure search terms that align with your customers’ search intent is a great way to increase ROAS for the long term. A10 will reward your success with better rankings on higher-volume search terms and the virtuous cycle can help you conquer your most-coveted listing spots. And the best part? This process of gaining momentum, if done right, will naturally decrease your ad spend over time as Amazon recognizes your value and works with you to keep your products at the top of consumers’ search results.

Amazon SEO Optimization and More

As an Amazon SEO specialist, Pattern knows how to help your brand win better success for long-term profitability on Amazon. With our data-driven tools and brilliant teams of ecommerce experts, we help brands with listing management, content optimization, Amazon ad strategies, and more.

Contact us to learn more about our SEO optimization services.

Global Ecommerce: Weekly News (20th September 2022)
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Global Ecommerce Weekly News: 20th September 2022

Get up to date with this week's ecommerce headlines from around the globe. --- Amazon News --- Amazon to raise pay and add extra work benefits for delivery drivers Following the rise in fuel prices and protests by Amazon workers, the ecommerce giant is raising its delivery drivers’ pay and adding more work benefits. Amazon has mentioned that it will be investing $450 million into rate increases along with an education program and a Delivery Service Partners program. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/14/amazon-to-raise-delivery-drivers-pay-and-add-more-work-benefits/) Amazon announces it will give away shipping software to merchants at no cost Amazon has recently announced that it will be giving ecommerce merchants free software to manage shopper orders on and off its platform as it extends its reach. The ecommerce giant will be ending monthly costs for sellers using Veeqo, a shipping software it recently acquired and instead offer to them a new, free shipping software. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/16/amazon-to-give-away-shipping-software-to-merchants/) --- Other Marketplace News --- Walmart unveils new virtual fitting rooms In an effort to drive clothing sales, Walmart has launched virtual fitting rooms while competitors reduce spending amid the cost of living crisis. The virtual try-on tool can be used by Walmart customers to virtually measure the clothing items and see how the products would look on them. Shoppers will now be able to see how over 270,000 clothing items on Walmart’s ecommerce site would look on their bodies. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/15/walmart-launches-virtual-fitting-rooms-to-drive-clothing-sales/?utmsource=Retail+Gazette+Subscribers&utmcampaign=2da7f0f8f8-EMAILCAMPAIGN202209150742&utmmedium=email&utmterm=0d23e2768b6-2da7f0f8f8-61040615) THG slashes sales and profit expectations The Hut Group has slashed its forecasts for 2022 as rising interest rates, inflation and energy costs take a toll on consumers. Previously, THG estimated its sales growth to be between 22-25% but after a recent evaluation, has lowered this prediction to between 10-15%. Initial predictions did not take into account the negative effects of ceasing sales in Russia and Ukraine along with the impact that the cost-of-living has had on consumer spending. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/15/thg-slashes-forecast-as-cost-of-living-crisis-hits-consumers-wallets/) --- Other Ecommerce News --- DHL and Post Office team up to provide click and collect services Through a partnership between delivery company, DHL and Post Office, a new click and collect service is to be tested at Post Offices before rolling out to over 1000 branches across the UK. Online shoppers will now have the option of choosing their local Post Office as a collection point, and DHL will fulfil the delivery aspect, opening up networks for both parties. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/14/post-office-partners-with-dhl-express-to-provide-click-and-collect-services/) US consumer watchdog plans to further regulate the BNPL sector The US Consumer Financial Protection Bureau (CFPB) has raised concerns regarding the collection of consumer data and the fast-growing nature of the BNPL sector, which includes companies such as Affirm and Klarna. The CFPB is worried that these companies could be negatively impacting consumers’ financial health and aims to put better regulations in place to ensure consumers are safe and empowered. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/16/us-consumer-watchdog-to-start-regulating-bnpl-sector/) Japanese ecommerce market estimated to grow by 6.9% in 2022 The ecommerce market in Japan, largely dominated by domestic online retailers including Reakuten and Mercari, is set to reach $194.3 billion USD in 2022, after seeing an annual compound growth rate of 5.2% between 2018 and 2021. This makes Japan the fourth leading ecommerce market globally, following China, the US, and the UK. [Read more on Charged Retail](https://www.chargedretail.co.uk/2022/09/13/japan-ecommerce-market-to-grow-by-6-9-in-2022/) Ecommerce brands are spending more on TikTok ads TikTok may soon be surpassing Facebook and Google as the most lucrative advertising channel, with ecommerce brands spending 60% more on TikTok ads in Q2. Facebook is still ahead as the top choice for ecommerce advertisers but only grew by 5.6% from Q1, while Google grew 20.5% in Q2, and Snap declined 10.8% in Q2. [Read more on SearchEngineLand](https://searchengineland.com/ecommerce-brands-spent-60-more-on-tiktok-ads-in-q2-387876)