According to a survey by Mirakl, Online marketplaces are the most convenient way to shop for 70% of consumers globally. In fiscal year 2023, there were approximately 240 million customer visits each week to Walmart stores throughout the world. The Walmart.com marketplace has historically exercised caution in selecting sellers for its platform. Their strict application process and stringent requirements have posed challenges for aspiring e-commerce sellers seeking to join Walmart’s platform. Consequently, a significant number of sellers have missed out on an incredible opportunity.
However, expanding your business to Walmart.com has never been easier if you are an established Amazon seller. Your status as a seasoned e-commerce seller grants you a distinct advantage during the Walmart application and acceptance process. It serves as undeniable proof that you possess all the qualifications necessary to cater to Walmart’s picky customer base. Continue reading to gain valuable insights on how to take advantage of this fantastic new opportunity and successfully sell on Walmart.
Why sell on Walmart?
Walmart’s marketplace has growing rapidly since its launch in 2009. According to a report by statista, Walmart peaked at 542 million customer visits in November 2022. Selling on Walmart presents a multitude of compelling reasons to embrace this retail giant as a marketplace for your products. Firstly, Walmart boasts an enormous customer base, providing unparalleled exposure to a vast audience eager to make purchases.
Secondly, Walmart’s reputation as a trusted brand instills confidence in consumers, leading to increased trust and higher conversion rates.
Additionally, Walmart’s commitment to offering competitive pricing ensures that your products remain accessible and attractive to a wide range of customers.
Moreover, with Walmart’s advanced logistics infrastructure and efficient fulfillment network, sellers can enjoy streamlined operations and prompt order fulfillment.
Lastly, Walmart’s dedication to fostering strong partnerships with sellers translates into valuable support, resources, and potential for growth.
By selling on Walmart, you gain access to an influential platform that propels your business forward, opening doors to new opportunities and expanding your customer reach.
Requirements to apply for Walmart Seller:
To apply for a Walmart Seller account, you need to meet several key requirements. These requirements play a crucial role in demonstrating your eligibility and commitment as a seller on Walmart’s platform. Here are the essential criteria you must fulfill:
- Provide a valid Business Tax ID(s) or Business License Number: Walmart requires sellers to submit a valid Business Tax ID(s) or Business License Number. Social Security Numbers (SSNs) are not accepted as a form of identification for your business.
- Submit supporting documents to verify your business name and address: You need to provide supporting documents that verify the authenticity of your business, including documents such as business registration papers, utility bills, or lease agreements. These documents establish your business’s legal presence and location.
- W9 form or W8 and EIN Verification Letter from the Department of Treasury that verifies your US business address or place of physical operations. (You will need to attach this as a PDF)
- A United States business address or place of physical operations.
- Demonstrate a successful history in the marketplace or e-commerce industry: Walmart values sellers who have a proven track record of success in the marketplace or e-commerce sector. Highlight your achievements, sales volume, positive customer feedback, and any notable milestones that showcase your marketplace or e-commerce success.
You need to provide a list of marketplaces where you currently sell, along with direct links to your products and stores.
- Planned integration method for your product catalog (bulk upload, API, solution provider)
- Maintain a catalog that complies with Walmart’s Prohibited Products Policy: It is vital to review and ensure that your product catalog aligns with Walmart’s Prohibited Products Policy. Make certain that your offerings meet Walmart’s guidelines and do not include any restricted items or prohibited categories.
How to start selling on Walmart:
Once you’ve gathered all the requisite documents, follow the steps below to begin applying to and selling on Walmart:
- Visit Walmart Seller Center: Go to the Walmart Seller Center website and click on the “Apply Now” button to start your application.
- Complete the application: Fill out the application form, providing accurate and detailed information about your business, products, and fulfillment method.
- Submit supporting documents: Upload the required supporting documents, such as your Business Tax ID(s), business registration papers, and address verification.
- Review and submit: Carefully review your application to ensure all information is accurate and complete. Once satisfied, submit your application.
- Await review and approval: Walmart will review your application and evaluate your eligibility as a seller. The review process may take some time, so be patient.
- Start selling on Walmart: Once approved, you will receive confirmation and access to your Walmart Seller account. You can then start listing and selling your products to Walmart’s vast customer base.
The easiest method for Walmart marketplace approval as a seller is to get in touch with Buzz Byte. Buzz Byte has an extensive history of getting Walmart seller approvals. You do not need to go through the hassle. Get a quote, submit your documents, and our expert agent will get in touch with you to initiate the Walmart marketplace application process. You can sit back and relax with peace of mind.
Reasons for Walmart Marketplace Denying Your Application:
If your application to join Walmart Marketplace has been denied, there are several potential reasons behind it. Understanding these common factors can help you address any shortcomings and improve your chances of approval:
Insufficient Annual Revenue:
Walmart seeks experienced e-commerce sellers who demonstrate consistent sales performance. While there are no official revenue requirements, it’s advisable to have at least $250,000 in annual sales across platforms like Amazon and other e-commerce marketplaces. However, some sellers with lower sales figures have still been accepted.
Lack of Product Uniqueness:
Walmart Marketplace prioritizes new and distinctive items to enrich its catalog. They tend to avoid saturating their platform with numerous identical products. Make a strong case for your company and products during the application process by highlighting their uniqueness and why they would add value to Walmart’s offerings.
Inconsistent Tax or Business Documentation:
Any inconsistencies in your application, such as addresses or essential details, can lead to rejection. To save time and frustration, ensure all information provided is accurate and up-to-date before submitting your application.
Limited E-commerce Experience:
Walmart Marketplace favors sellers with proven e-commerce track records. If you are new to e-commerce, it’s recommended to gain experience by selling on platforms like Amazon, eBay, or Shopify first. Building a presence across multiple platforms strengthens your business and enhances your chances of approval. Remember, having a portfolio of successful e-commerce ventures is valuable evidence of expertise.
Failure to Meet Customer Service Requirements:
Walmart requests links to your current website and stores on platforms like Amazon or eBay, taking into account your seller account and reviews. A low rating or customer complaints can lead to rejection. Invest time in optimizing your seller account and ensuring high product ratings before applying to Walmart Marketplace. Walmart seeks sellers who prioritize exceptional customer service and hold a pro seller badge.
Low Product Review Ratings:
In addition to seller ratings, Walmart considers product reviews. If your products have low quality, poor reviews, or rank poorly within their respective categories, it becomes challenging to secure a spot on Walmart Marketplace.
Lack of Reliable Fulfillment:
Walmart Marketplace values sellers capable of efficient and timely order fulfillment. If you don’t have your own warehouse or utilize a reliable third-party fulfillment service like Buzz Byte, your application may be rejected. Demonstrating a commitment to fast and reliable fulfillment processes is crucial.
By addressing these potential issues, enhancing your e-commerce experience, improving customer service, and ensuring product quality, you can increase your chances of successfully joining Walmart Marketplace. Take the time to strengthen your application and meet Walmart’s requirements, positioning yourself as an attractive and reliable seller.
Amazon VS Walmart:
Amazon and Walmart are two retail giants that have established their dominance in the e-commerce industry. Let’s delve into the details of how these two giants compare in various aspects:
Market Presence and Reach:
Amazon: Amazon is a global e-commerce monster, operating in multiple countries and serving millions of customers worldwide. It has an extensive reach and a vast customer base, making it a go-to platform for online shopping.
Walmart: While Walmart is primarily known for its brick-and-mortar stores, it has made significant strides in the e-commerce space. Walmart’s online presence has been growing rapidly, allowing it to tap into its existing customer base and expand its reach.
Product Variety and Selection:
Amazon: Amazon offers an unparalleled range of products, including electronics, apparel, books, home goods, and much more. It provides a platform for both large and small sellers, offering an extensive selection that caters to diverse customer needs.
Walmart: Walmart also offers a wide range of products across various categories. While it may not match Amazon’s product diversity, it leverages its strong relationships with brands and suppliers to provide customers with a comprehensive selection of items.
Fulfillment and Logistics:
Amazon: Amazon’s fulfillment network, known as Fulfillment by Amazon (FBA), is highly regarded for its efficiency. Sellers can store their inventory in Amazon’s warehouses, and Amazon takes care of packaging, shipping, and customer service. This ensures fast and reliable order fulfillment for customers.
Walmart: Walmart has been investing in its fulfillment capabilities, with Walmart Fulfillment Services (WFS) as its counterpart to FBA. It allows sellers to utilize Walmart’s fulfillment centers to handle their orders, ensuring timely delivery to customers.
Seller Programs and Requirements:
Amazon: Amazon offers various seller programs, such as Amazon Seller Central and Amazon Vendor Central. These programs cater to different types of sellers, including third-party sellers, manufacturers, and distributors. Amazon has certain requirements and fees associated with each program.
Walmart: Walmart’s seller program is known as the Walmart Marketplace. It welcomes third-party sellers to join its platform and offers them an opportunity to reach a broader customer base. Walmart has specific requirements for sellers, including proper business documentation and compliance with its policies.
Customer Experience and Loyalty:
Amazon: Amazon is known for its customer-centric approach. It prioritizes convenience, fast shipping, and excellent customer service. Features like Amazon Prime, which offers fast and free shipping, and personalized recommendations contribute to a high level of customer loyalty.
Walmart: Walmart focuses on providing customers with value and affordability. It offers competitive pricing, in-store pickup options, and a price-matching policy. Walmart also offers a loyalty program called Walmart+, which provides benefits like free shipping and discounts.
Both Amazon and Walmart have their strengths and cater to different customer preferences. Amazon excels in its vast product selection, convenience, and global reach. On the other hand, Walmart leverages its physical store presence, affordability, and strong supplier relationships. Ultimately, the choice between Amazon and Walmart depends on individual customer preferences, seller requirements, and the specific products or services being offered.
FBA vs WFS: similarities and differences
Fulfillment by Amazon (FBA) and Walmart Fulfillment Services (WFS) are two robust fulfillment programs that offer distinct benefits to sellers. Let’s delve into the similarities and differences between FBA and WFS, helping you make an informed decision for your e-commerce business.
Differences between WFS and FBA:
- Walmart’s Exclusive Approval Process: Selling on Walmart.com requires approval, regardless of whether you choose WFS or not. This means less competition compared to Amazon, where anyone can register as a seller. Walmart.com currently has around 150,000 sellers, while Amazon boasts a staggering 9.7 million globally and 2.4 million on Amazon.com.
- Simple Cost Structure: Walmart follows a straightforward cost structure with a fixed monthly storage fee and fulfillment price based solely on the shipping weight of your product. In contrast, Amazon’s storage fees depend on the amount of inventory stored, and fulfillment fees are determined by the weight and dimensions of each item.
- No Monthly Subscription Fee: Walmart does not charge sellers a monthly subscription fee, unlike Amazon’s professional selling account, which costs $39.99 per month. This eliminates an additional expense for sellers on Walmart’s marketplace.
- Increased Visibility on Walmart: With fewer sellers on Walmart Marketplace, each seller enjoys approximately 27,000 monthly visitors, while Amazon sellers receive around 2,100 visitors per month. This means Walmart sellers receive 13 times more monthly visitors compared to Amazon sellers, presenting a greater opportunity for visibility and sales.
- Personalized Account Management: Walmart offers personalized support through a WFS fulfillment expert who provides custom recommendations for optimizing and growing your business. Amazon, on the other hand, offers dedicated Account Managers but charges a substantial monthly fee plus a percentage of your sales.
Similarities between WFS and FBA:
- Guaranteed 2-Day Free Shipping: Both WFS and FBA offer fast, reliable shipping services to customers across the United States. By utilizing Walmart’s fulfillment centers or Amazon’s warehouses, sellers can provide their customers with the convenience of 2-day free shipping.
- Managed Customer Support: Walmart and Amazon handle customer service and return requests on behalf of sellers enrolled in WFS and FBA, respectively. This relieves sellers from the burden of dealing with customer inquiries, allowing them to focus on growing their sales.
- Seller Support: Walmart provides dedicated WFS associates to address sellers’ questions and concerns related to WFS. This support system ensures prompt assistance for sellers utilizing Walmart’s fulfillment services.
- Enhanced Product Page Content: Walmart offers a feature called ‘Item Page Content’ that allows sellers using WFS to enhance their product pages. This serves as Walmart’s version of Amazon’s A+ Content, providing an opportunity to showcase products effectively and drive conversions.
- Walmart+ Membership: Walmart has introduced Walmart+, a membership program similar to Amazon Prime. Walmart+ offers perks such as same-day delivery on groceries and general merchandise, fuel discounts, early access to deals, and more. Buyers without Walmart+ can still enjoy free 2-day shipping by spending a minimum of $35.
Understanding the differences and similarities between WFS and FBA empowers sellers to choose the most suitable fulfillment program based on their specific needs and goals. Whether you prioritize an exclusive marketplace, simplified cost structure, increased visibility, personalized support, or other factors, carefully weighing the options will help optimize your e-commerce operations.
Selling on Walmart has been challenging, but established Amazon sellers have an advantage. Benefits of selling on Walmart include a large customer base, increased trust, competitive pricing, streamlined operations, and growth support. Requirements include valid business identification, supporting documents, e-commerce success, and compliance with policies. Reasons for application denials include insufficient revenue, lack of product uniqueness, inconsistent documentation, limited e-commerce experience, poor customer service, low product ratings, and unreliable fulfillment. Amazon and Walmart differ in market presence, product variety, fulfillment, seller programs, and customer experience. Walmart’s WFS and Amazon’s FBA have unique approval processes, cost structures, visibility, and support. Selling on Walmart is a great way to make handsome profits. If you want to start your journey to selling on Walmart, get a quote from Buzz Byte for smooth account creation, inventory management, and account management.