Walmart Advertising Archives - Canopy Management Full Service Amazon Marketing Agency Tue, 23 Jul 2024 16:52:43 +0000 en-US hourly 1 https://wordpress.org/?v=6.5.5 https://canopymanagement.com/wp-content/uploads/2023/04/android-chrome-512x512-1-300x300-1-150x150.png Walmart Advertising Archives - Canopy Management 32 32 Selling on Amazon? Here’s Why the Walmart Marketplace Should Be Your Next Move https://canopymanagement.com/why-the-walmart-marketplace-should-be-next/ Fri, 19 Jul 2024 21:27:18 +0000 https://canopymanagement.com/?p=20327 As an Amazon seller, there’s a good chance that you’ve experienced the highs AND lows of selling on the platform. While Amazon offers incredible reach and an ever-increasing wealth of tools for sellers, it’s also becoming increasingly competitive.  That’s why forward thinking entrepreneurs are turning their attention to the Walmart Marketplace as a complementary sales […]

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As an Amazon seller, there’s a good chance that you’ve experienced the highs AND lows of selling on the platform. While Amazon offers incredible reach and an ever-increasing wealth of tools for sellers, it’s also becoming increasingly competitive. 

That’s why forward thinking entrepreneurs are turning their attention to the Walmart Marketplace as a complementary sales channel. 

Wondering if it’s time to make the move yourself? 

This post looks at the top five reasons why Amazon sellers should consider adding Walmart shoppers to their bottom line. 

1. Less Competition: A Clearer Path to Visibility

Feeling crowded in your Amazon niche? One of the most significant advantages of selling on the Walmart Marketplace is the considerably lower level of competition. Let’s break down the numbers: 

  • Amazon: With over 9.7 million sellers worldwide, the tidal wave of competitors can make it challenging for any one individual seller to stand out, especially in a popular niche.
  • Walmart Marketplace: The Walmart Marketplace has approximately 150,000 sellers. This drastically reduced number of competitors creates a less saturated environment for your products, increasing your chances of visibility and success with Walmart customers. 

Still, it’s going to feel familiar. Just like selling on Amazon, you use Walmart Seller Center to register your company, update your account settings, view reports, and manage catalog performance. If you don’t want to use Walmart’s APIs, your Walmart Seller account is where you will manage your items and orders.

What does this mean for you as a seller?

  • First-mover advantage: You’ll have the opportunity to establish a strong presence before the platform becomes more competitive.
  • Easier product discoverability: With fewer competing listings, your Walmart products have a better chance of appearing in search results and category pages.
  • Reduced advertising costs: Less competition has a tendency to translate to lower costs for Walmart sponsored product placements and other advertising options.
  • Quicker path to the Buy Box: The Walmart Buy Box, similar to Amazon’s, is going to be easier to win with fewer competitors vying for the same spot with their product listing. 
A large diverse group of shoppers in front of a Walmart store

2. Access to a Large and Diverse Customer Base

There’s no question that the Amazon marketplace is unrivaled in scale. Still, Walmart.com presents a unique opportunity for sellers to tap into a different demographic. Walmart’s strong brand presence, extensive network of physical stores, and loyal customer base provide an additional platform to reach millions of potential buyers who might not be as active on Amazon.

By leveraging both marketplaces, sellers can maximize their exposure, diversify their revenue streams, and enhance their overall market presence

Key demographic differences:

  • Geographic reach: Walmart has a strong presence in rural and suburban areas where Amazon’s penetration might be lower.
  • Income levels: Walmart tends to attract more budget-conscious shoppers, which can be advantageous for certain product categories.
  • Age groups: Walmart’s online platform is gaining traction among older shoppers who are familiar with the brand from their many trips to Walmart’s brick and mortar, shopping center locations.

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3. Walmart’s Lower Fees Help You Boost Your Bottom Line

Sometimes Amazon’s fee structure can feel like a death by 1000 cuts. The accumulated small charges all add up. One of the most attractive aspects of selling on Walmart Marketplace is its reduced fee structure, which can lead to higher profit margins for sellers. Here’s how it compares to Amazon’s fee structure:

  • Walmart Marketplace:
    • No monthly fees
    • Referral fees range from 6% to 20%, depending on the product category
  • Amazon:
    • Monthly subscription fee for Professional sellers ($39.99/month)
    • Referral fees typically range from 8% to 45%, depending on the category

When it comes to the difference between Walmart’s Fulfillment Services (WFS) and Fulfillment by Amazon (FBA), the choice between them may depend on specific needs such as cost, storage duration, product type, and additional services. Walmart WFS tends to have simpler, more predictable pricing.

The impact on your business:

  • Lower overhead costs: Without monthly fees, you can list products without ongoing expenses.
  • Potentially higher margins: Lower referral fees in many categories can translate to better profitability per sale. Sometimes a few cents are enough to tip a high volume product into the black. 
  • Simplified accounting: A straightforward fee structure makes it easier to calculate profits and manage your finances.
a landscape mode image of a view from he sky of a stylized countryside with Walmart stores represented by blue Walmart logos

4. Leverage Walmart’s Brick and Mortar Presence to Build Social Proof

Selling on Walmart Marketplace allows you to benefit from the company’s established brand reputation and consumer trust. Here’s why this matters:

  • Long-standing reputation: Walmart has been a household name for decades, with a reputation for value and reliability.
  • Trust transfer: When customers see your products on Walmart.com, a percentage of that trust can extend to your brand.
  • Perceived legitimacy: Being accepted as a Walmart Marketplace seller can lend credibility to your business, increasing customer confidence.

How this benefits your brand:

  • Increased conversion rates: Customers may be more likely to purchase from an unfamiliar brand when it’s associated with a trusted platform like Walmart.
  • Enhanced brand image: Association with a major retailer can elevate your brand’s perceived status.
  • Potential for cross-channel growth: Success on Walmart Marketplace can lead to opportunities in Walmart’s brick-and-mortar stores or other retail channels.
a landscape ode image of a large billboard with a Walmart logo on it

5. Walmart Connect – Next-Level Ad Tech

Entrepreneurs KNOW how important pay-per-click advertising is to success on Amazon.

Similarly, Walmart Connect, their inhouse advertising platform helps sellers succeed by enhancing product visibility, enabling more precise audience targeting, and providing valuable performance insights. 

Through features like sponsored product, sponsored brand, customizable display ads, and geo-targeting, Walmart marketplace advertising helps sellers reach relevant customers and drive sales. 

Walmart Connect’s flexible budgeting and pay-per-click model ensures cost efficiency, while seamless integration with Walmart’s ecosystem enhances the shopping experience and boosts conversion rates. 

Here’s a closer look at Walmart Connect capabilities: 

Targeted Advertising – Walmart’s wealth of shopper data helps sellers target ads based on demographics, interests, and shopping behavior, ensuring ads reach the most relevant customers.

Geo-Targeting – Focus ads on specific geographic locations to attract local shoppers, which is particularly useful for regional sellers and smaller niches.

Performance Insights – Access detailed performance reports that track ad effectiveness, sales impact, and return on ad spend (ROAS). This helps sellers optimize their campaigns, make data-driven decisions, and put their product catalog in the spotlight.

Integration with Walmart’s Ecosystem – Ads are integrated into the Walmart marketplace, creating a seamless shopping experience that can lead to higher conversion rates.

Omni-Channel Reach – Walmart Connect supports both online and in-store sales, allowing sellers to reach customers across multiple channels and drive omnichannel success.

Custom Solutions – Walmart Connect’s ad team can create custom advertising solutions that align with specific business goals and marketing strategies.

Seasonal and Event-Based Promotions – Leverage Walmart Connect for special promotions during key shopping events like Black Friday, Cyber Monday, and seasonal sales, maximizing exposure during peak times.

How Canopy Management Can Help

For Canopy Management, it’s not really a question of selling on Amazon OR Walmart. By leveraging the strengths of BOTH platforms, you can create a more resilient and diversified business model. Expanding to the Walmart Marketplace could be the strategic move that takes your online selling business to the next level.

Walmart onboarding (from A to Z) is our specialty. Find out how Canopy’s Walmart team can help you take this big step forward with your ecommerce brand. 

What would adding 67% more organic sales mean for your brand?

Turns out that when you combine the massive experience of Canopy’s Walmart Experts with smart tools and tech, you get industry-leading results like this:

  • 84% Average Year-Over-Year Profit Growth for Our Partners
  • 2.7 Billion in Revenue Managed
  • 99.1% Partner Retention Rate

Canopy Management is a full-service marketing agency for Amazon and Walmart sellers. Our team consists of former Amazonians, multi-million dollar sellers, and award-winning experts.

When you consider the many ways that Canopy Management can help you grow your business, you’ll see why selling on Amazon AND Walmart is much easier “under the Canopy.”

  • Strategic Growth Planning
  • Listing Copywriting Optimization
  • Listing Photography
  • Product Videography
  • Advertising Management
  • Customer Service
  • Demand Side Platform (Amazon DSP)
  • Amazon Posts
  • Full Service Management
  • Amazon Review Aggregation

Ready to Start Selling on Walmart?

Canopy’s Partners Achieve an Average 84% Profit Increase!

Let's Talk

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A Seller’s Guide to Walmart Marketplace Fees https://canopymanagement.com/sellers-guide-walmart-marketplace-fees/ https://canopymanagement.com/sellers-guide-walmart-marketplace-fees/#respond Tue, 07 May 2024 21:59:35 +0000 https://canopymanagement.com/?p=18720 The ecommerce space has grown exponentially in recent years, with online marketplaces becoming a lucrative arena for entrepreneurs worldwide. During this time the Walmart Marketplace has expanded quickly enough to have received a lot of attention from Amazon sellers looking to expand their customer base. That’s largely because of the millions of square feet of […]

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The ecommerce space has grown exponentially in recent years, with online marketplaces becoming a lucrative arena for entrepreneurs worldwide. During this time the Walmart Marketplace has expanded quickly enough to have received a lot of attention from Amazon sellers looking to expand their customer base.

That’s largely because of the millions of square feet of brick and mortar commercial real estate that Walmart occupies across the globe. That’s a lot of social proof to comfort online shoppers still new to the platform!

However, just like their (very) big brother Amazon, for a Walmart marketplace seller, there are associated fees.

If you’re considering selling on Walmart, understanding the Walmart seller fees is crucial. This guide will provide an in-depth breakdown of the expenses involved in selling on the Walmart Marketplace.

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(ZERO) Monthly Fees and Setup Costs

A significant distinction of Walmart’s Marketplace is that compared to many other online marketplaces, there are no monthly fees. 

Walmart doesn’t charge you to maintain your seller account every month. Instead, the costs primarily revolve around the products you list and sell. When it comes to item setup or product listing, there are no fees involved either. This means that you can list multiple products without worrying about additional costs.

A graphic image of two business suited hands passing a dollar bill

Walmart Marketplace Selling Fees

The primary cost to sell on the Walmart online marketplace is the referral fee. It’s based on the product category you list your items in. The Walmart referral fee is a percentage, most often around 15% for items in many categories. 

For example, if you have a product listed at $100 and it falls into a category with a 15% fee, Walmart will take $15, and you will receive $85, excluding other charges like shipping and sales tax.

However, it’s essential to check the specifics as some categories might have lower or higher percentages.

Here’s a look at the specific charges for some of the more popular Walmart product categories:

Apparel & Accessories5% for items with a total sales price of $15 or less
10% for items with a total sales price between $15 – $20
15% for items with a total sales price greater than $20
15% for backpacks
Baby8% for items with a total sales price of $10 or less. 15% for items with a total sales price greater than $10
Beauty8% for items with a total sales price of $10 or less. 15% for items with a total sales price greater than $10
Books15%
Cell Phones8%
Consumer Electronics8%
Electronics Accessories15% for the portion of the total sales price up to $100. 8% for the portion of the total sales price greater than $100
Decor15%
Health & Personal Care8% for items with a total sales price of $10 or less. 15% for items with a total sales price greater than $10
Home & Garden15%
Jewelry20% for the portion of the total sales price up to $250. 5% for the portion of the total sales price greater than $250
Kitchen15%
Luggage & Travel Accessories15%
Music15%
Pet Supplies15%
Sporting Goods15%
Toys & Games15%
Video Games15%

A full list of Amazon’s charges can be found here.

A Walmart branded driverless car in a empty road in a big city

Walmart Fulfillment Service Fees

Just like Amazon’s marketplace, Walmart offers an all-in-one fulfillment service. And, like Amazon, there are referral fees associated with that program. With Walmart Fulfillment Services (WFS), you can ship and store any amount of inventory you choose, without minimums or maximums.

Standard Fulfillment Fee

An Item is considered standard when it meets these criteria:

  • Unit weight is less than or equal to 150 lb.
  • Longest side is less than or equal to 108 inches
  • Longest side + girth* is less than or equal to 165 inches

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For units that weigh less than 1 lb., use the unit weight to determine the fee. If your unit weight is between 1 lb. and 150 lb., Walmart specifies that you use the unit weight or dimensional weight, whichever is greater. The dimensional weight is equal to the unit volume in inches (length x width x height) divided by 139.

(Add 0.25 lb. for packaging materials to calculate the final shipping weight. Round up to the nearest pound.0

Shipping weightFee
≤ 1 lb.$3.45
2 lb.$4.95
3 lb.$5.45
4–20 lb.$5.75 plus $0.40 for each lb. > 4 lb.
21–30 lb.$15.55 plus $0.40 for each lb. > 21 lb.
31–50 lb.*$14.55 plus $0.40 for each lb. > 31 lb.
≥51 lb.*$17.55 plus $0.40 for each lb. > 51 lb.

*Heavier items may require more than two days for delivery because they’re shipped using ground transportation.

Additional Fulfillment Fees for Standard Items

ApparelYour item is an article of clothing.Add $0.50
Hazardous materialsYour item is or contains a chemical, aerosol, pesticide or battery.Add $0.50
Retail price less than $10Your item is priced under $10.Add $1
OversizeYour item meets at least one of these criteria: Longest side greater than 48″ and up to 96”
Median side greater than 30″
Longest side + girth greater than 105″ and up to 130”
Add $3
Your item meets at least one of these criteria: Longest side greater than 96″ and up to 108” – Longest side + girth greater than 130″ and up to 165”Add $28. The unit weight also starts at 90 lb. when determining the fulfillment fee.

A graphic image of a Walmart warehouse

Big & Bulky Fulfillment Fees

Walmart requires big & bulky fulfillment fees when items meet at least one of the following criteria:

  • Unit weight is greater than 150 lb. and up to 500 lb.
  • Longest side is greater than 108 inches and up to 120 inches
  • Longest side + girth* is greater than 165 inches

(Up to 500 pounds, the fee is $155 plus $0.80 per lb greater than 90 lbs)

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Walmart Fulfillment Service Storage Fees

Walmart’s fulfillment service for third-party sellers, known as Walmart Fulfillment Services (WFS), was launched in February 2020 to provide a comprehensive solution for sellers looking to streamline their order fulfillment process.

By leveraging Walmart’s extensive logistics network and infrastructure, WFS enables sellers to store their inventory in Walmart’s fulfillment centers, with Walmart handling the picking, packing, and shipping of orders placed on Walmart.com.

This service offers several benefits to third-party sellers, including faster delivery times, competitive shipping rates, and access to Walmart’s vast customer base. Additionally, products fulfilled through WFS are eligible for Walmart’s two-day shipping program, increasing their visibility and potential for sales.

Walmart’s WFS program also offers fixed monthly storage fees for storing your items at a Walmart fulfillment center. It’s based on the volume of the product being stored and the length of time. Unit cubic feet is equal to the unit volume in inches (length x width x height) divided by 1,728.

January–September$0.75 per cubic foot per month
October–December (peak season)$0.75 per cubic foot per month for items stored for fewer than or up to 30 days. Add $1.50 per cubic foot per month for items stored for more than 30 days.
>12 monthsUp to $7.50 per cubic foot per month
A business suited woman at a desk working on a laptop

You Need to Be Accepted to Sell On Walmart

This is one reason why Walmart might not be the ideal place for new sellers. Walmart requires that you show proof of having already found success in the ecommerce industry – particularly on similar platforms such as Amazon and eBay. 

What qualities does Walmart look for when inviting a seller to join Walmart Marketplace? Here’s Walmart’s answer to that question: 

“We are looking for relationships with reputable retailers and brands that provide first-class customer service, a compelling product assortment, competitive pricing and fast, reliable fulfillment.”

Once accepted, the process couldn’t be easier.

Walmart’s 3-Step Setup Process

To get instant access to millions of Walmart.com shoppers, Walmart is promoting a “newer, easier, and faster way to integrate your existing product catalog.” 

It’s as simple as these three steps:

  • Verify your business – Submit your business details and complete your Seller Profile.
  • Set up payments – Tell Amazon where to send your payments with no setup, subscription, or monthly fees. (This step will become available upon business verification)
  • Set up your product catalog and shipping details – Import your product catalog from an existing marketplace with just a spreadsheet, and choose the shipping method that works the best for your business.
A graphic image of a young woman with long dark hair holding a fanned out group of $100 bills with a workspace in the background

What Is the Walmart Buy Box? 

Once you’ve been accepted as a Walmart seller, and have paid your fees, there’s one more similarity with Amazon’s massive marketplace. Just like Amazon, Walmart also has a bullseye for online sellers to take aim at.

I’m talking about the Walmart Buy Box. 

If a product is sold by more than one seller, Walmart presents all the seller listings in one single page. This listing page contains all the merchants selling the product, even sellers with different prices. However, Only one seller can win the Walmart Buy Box.

The competition is stiff on Walmart, as with most online marketplaces. This is where the ‘Buy Box’ comes into play. Sellers often aim to win the Buy Box, a feature that directs potential buyers to purchase from the featured seller, typically the one offering the best price or value.

To enhance your chances of winning the Buy Box, you might consider investing in Walmart’s marketing services. However, selling on Walmart marketing fees can vary based on the services you choose. These could range from sponsored product listings to banner advertisements on the platform.

Canopy Management Can Help You Get Started Selling On Walmart

Walmart, being one of the largest retailers globally, provides an incredible platform for businesses to reach a massive audience. While the absence of monthly fees and item setup charges makes it enticing, success in the Walmart Marketplace requires understanding the full picture – from the registration process to the intricate nuances of the Buy Box.

Selling on Walmart’s marketplace is not a set-it-and-forget-it activity. You need to continuously adapt and optimize your listing as consumer behaviors and Walmart’s algorithm changes.

Because not everyone has the time to constantly stay on top of these changes, Canopy Management’s Walmart marketplace experts have their finger on the pulse of ecommerce and are at the front line so that you don’t have to be. 

Talk to our team about how you can get started selling on Walmart.

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Maximizing Your Walmart Sales: The Ultimate Guide to Walmart Fulfillment Services (WFS) https://canopymanagement.com/why-use-walmart-fulfillment-services-wfs/ https://canopymanagement.com/why-use-walmart-fulfillment-services-wfs/#respond Thu, 28 Mar 2024 14:38:11 +0000 https://canopymanagement.com/?p=18823 When it comes to ecommerce platforms, it’s hard to overlook the 800-pound gorilla in the online-selling space. I’m talking about Amazon, of course.  However, as Amazon continues to reward sellers on its own marketplace for bringing off-Amazon traffic back to its own site, it might be a perfect time to branch out and explore other […]

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When it comes to ecommerce platforms, it’s hard to overlook the 800-pound gorilla in the online-selling space. I’m talking about Amazon, of course. 

However, as Amazon continues to reward sellers on its own marketplace for bringing off-Amazon traffic back to its own site, it might be a perfect time to branch out and explore other avenues. 

This post takes a brief look at how easy it is to sign up for Walmart’s all-in-one fulfillment platform, WFS. Walmart Fulfillment Services is very similar to their principal competitor’s Fulfillment by Amazon (FBA) that has attracted so many sellers with its simple selling model. 

Ready to Grow Your Walmart Business?

Canopy’s Partners Achieve an Average 84% Profit Increase!

Let's talk

Increasingly, entrepreneurs have found that multi-platform selling can be an absolute game-changer for ecommerce sellers. One marketplace that’s been gaining significant traction is Walmart. 

That’s because Walmart.com is not just another ecommerce site; it’s a platform with millions of dedicated shoppers. When you list on Walmart Marketplace, you’re positioning your products right in front of this vast audience. This exposure can be monumental for brand visibility and sales. 

Walmart is also one of the fastest-growing ecommerce platforms. In addition to that, by joining Walmart Marketplace, you have the unique opportunity to reach nearly 120 million unique Walmart.com visitors each month and take advantage of innovative Walmart programs that make selling easier and help you grow your business.

How to Sign Up to Sell On Walmart

One of the standout features of the Walmart Marketplace is the straightforward setup process. In just three steps, you can become a verified seller.

First, you need to submit your business details. After that, you can complete your Seller Profile. The verification process is quick, sometimes taking just a few minutes. 

This is what’s required to get started:

  • Business Tax ID(s) (SSN not accepted) or Business License Number
  • Supporting documents that verify your business name and address
  • History of marketplace or ecommerce success
  • Products that have GTIN/UPC GS1 Company Prefix Numbers
  • A catalog that complies with Walmart’s Prohibited Products Policy
  • Fulfillment through Walmart Fulfillment Services (WFS) or another B2C U.S. warehouse with returns capability

Next, tell Walmart where to send your payments. Again, there are no hidden fees, no setup, subscription, or monthly fees for selling on Walmart Marketplace. 

Last, configure your shipping methods and costs. Select your preferred returns method and carriers. 

Walmart’s improved catalog uploading feature allows sellers to integrate your existing product catalog effortlessly. Whether you’re migrating from another marketplace or starting from scratch, you can set up your product catalog and shipping details with just a spreadsheet. This simplification means that you spend less time on setup and more on what matters – selling.

Getting Started With Walmart Fulfillment Services 

The best part about getting started selling on Walmart is the very familiar, “Amazon-like” fulfillment platform that duplicates the ease of becoming an online seller that has allowed Amazon to grow so big so fast.

Once you’re on the Marketplace, you gain immediate access to Walmart Fulfillment Services (WFS) and Walmart Connect, their own version of Amazon pay per click (PPC) advertising

These tools are tailored to ensure that your operations run smoothly, from inventory management to advertising.

Simply put, WFS is where your next best-selling products meet Walmart’s world-class supply chain and expert team. Offering an end-to-end fulfillment service, WFS is a bridge between you and potential success on Walmart.com. 

Thanks to Walmart’s expansive supply chain, sellers get an unbeatable combination of scale, quality, cost, and efficiency.

Walmart has even purchased a fleet of cool electric vehicles to manage the troublesome last mile delivery issues that plague ecommerce fulfillment models.

With Walmart Fulfillment Services, sellers can keep their stock at fulfillment centers owned by Walmart. 

The WFS team will pick, pack, and ship your sold products as soon as you place it on Walmart.com. Just like Amazon’s FBA, once they are shipped Walmart handles customer service and returns for orders sent through WFS.

Signing Up for Walmart Fulfillment Services 

  1. Sign up for the Walmart Marketplace: Before you can tap into WFS, you need to be a part of the Walmart Marketplace. Once you’re in, you can set up your products and take advantage of Walmart’s fulfillment network.
  2. Ship Your Inventory: Send your items to a designated WFS facility.
  3. Sit Back and Relax: Item setup is a breeze. Then, once a sale is made, Walmart will store, pick, pack, and ship your orders. Order fulfillment includes a promise of low-cost, 2-day shipping anywhere in the contiguous U.S. (though, keep in mind this might change during the peak season from September-January).

The Benefits of Walmart Fulfillment Services

  • Meet Delivery Expectations: Walmart’s two-day shipping across the U.S. helps meet the expectations of customers increasingly accustomed to ultra-fast shipping. 
  • Enhanced Visibility: WFS items are badged with special tags such as ‘Two-Day Delivery’ and ‘Fulfilled by Walmart’. This improves visibility and according to Walmart, increases sales by 50% on average.
  • Discounted Shipping Rates: The WFS Preferred Carrier Program offers reduced rates on FedEx small parcel and less-than-truckload (LTL) deliveries.
  • Fast Inventory Processing: Walmart says that (outside of peak season) items are “usually” stocked within two days after reaching the WFS warehouses. 
  • Inventory Preparation Service: For a small fee, Walmart will prepare and label your fulfilled orders for you. At the moment, the fee is $0.45/unit. 
  • Real-time Data Access: WFS dashboards and APIs allow sellers to monitor sales performance, manage inventory, and track shipments. Walmart says that Integration options include Seller Center, direct APIs, or solution providers like ChannelAdvisor and Sellercloud.
  • Exceptional Customer Service: WFS associates are available seven days a week. With customer service a potential major time expenditure, that’s a big one. 
  • Attract Brand Loyal Customers: Building brand loyalty is a key component of ecommerce growth. The inclusion of WFS items in the Walmart+ free shipping subscription program, can help build both new and repeat customers.

How Does Walmart Fulfillment Services Pricing Work? 

One of the most appealing aspects of Walmart Fulfillment Services is its straightforward and transparent pricing model. Unlike some other fulfillment services, WFS keeps things simple by basing its fees on the weight and dimensions of your products.

When you sign up for WFS, you won’t be hit with any surprising costs like setup fees, subscription charges, or monthly storage fees. This means you can focus on growing your business without worrying about hidden expenses eating into your profits.

The pricing for WFS is all-inclusive, covering essential services such as picking, packing, shipping, handling returns, and customer support. This comprehensive approach allows you to streamline your operations and provide excellent service to your customers without the need for additional investments.

To help you make informed decisions about your fulfillment strategy, Walmart provides detailed pricing information for various aspects of the WFS program:

  • Fulfillment fees: These fees cover the costs associated with picking, packing, and shipping your products to customers. The fees are based on the weight and dimensions of your items, with larger and heavier products incurring higher costs.
  • Storage fees: WFS storage fees are assessed based on the volume of your inventory stored in Walmart’s fulfillment centers. These fees vary depending on the time of year, with higher rates during peak seasons.
  • Optional services: WFS offers additional services like labeling and bagging for a small fee. These services can help you save time and ensure that your products are properly prepared for shipment.

You can quickly estimate fulfillment and storage fees using the WFS Calculator here.

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Frequently Asked Questions

Are there WFS inventory or SKU minimums?

There are no minimums. Walmart recommends that “to see the full potential of WFS, it’s recommended to have at least 50 items with continuous inventory replenishment.”

What is Walmart’s idea of an ideal WFS product?

Walmart is looking for top-selling items, premium brands, and products not currently on Walmart.com. It’s important that they follow Walmart Marketplace guidelines.

How are WFS products packaged?

Standard Walmart-branded packaging.

Does WFS fulfill non-Walmart.com items?

No, only items sold on Walmart.com.

How can I maximize revenue with WFS?

Walmart recommends that sellers “price competitively, maintain high-quality item content, ensure ample inventory, and consider joining the Walmart Sponsored Search program.”

Does Walmart ship internationally?

No, only within the U.S.

How Canopy Management Can Help Make WFS Easier

So, you’ve made it through the guide and you’re now thinking that WFS is probably the best path forward to get even more from your Walmart channel. But if you’re like most brand owners, your time is extremely limited, and you want to make sure you get it right the first time.

If this sounds like you, one of the best paths forward is to outsource the grunt work of setting up Walmart Fulfillment Services to a Walmart specialist. Our Walmart team has been through this process many times before, and can help you make a seamless transition into getting the most out of WFS. 

To learn more, click here to start the conversation with one of our in-house Walmart specialists.

Ready to Grow Your Walmart Business?

Canopy’s Partners Achieve an Average 84% Profit Increase!

Let's talk

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What You Need to Know About Selling On Walmart in 2024 https://canopymanagement.com/what-you-need-to-know-selling-on-walmart/ Tue, 27 Feb 2024 22:24:42 +0000 https://canopymanagement.com/?p=15452 Even though Amazon casts a very large online shadow, Walmart’s overall net sales of 151 billion far surpasses Amazon’s 121 billion.  These numbers are important because they hint at the growth potential of Walmart and why Amazon might have a very concerned eye on their rear view mirror.  This post is going to offer an […]

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Even though Amazon casts a very large online shadow, Walmart’s overall net sales of 151 billion far surpasses Amazon’s 121 billion. 

These numbers are important because they hint at the growth potential of Walmart and why Amazon might have a very concerned eye on their rear view mirror. 

This post is going to offer an introduction to selling on Walmart as well as a high level view of the Walmart marketplace versus Amazon. The main takeaway for Amazon sellers reading this post is that you’ve probably already done 95% of the work that will allow you to be a successful Walmart seller.

This might offer a perfect opportunity to put a few of your online-commerce eggs in a different basket. As always, the Walmart Specialists at Canopy Management are happy to help you with the process.

A screenshot of a welcome page to the walmart online marketplace

Signing Up to Sell On Walmart 

Much like selling on Amazon, getting started selling on Walmart is a simple process. The first step involves creating your selling account in Walmart’s Seller Center and (if you’re using Walmart’s all-in-one selling ecosystem, Walmart Fulfillment Services), adding your WFS details. If you’re already an Amazon seller, the similarities of WFS vs FBA will make it easy. It takes only one minute to create your Walmart Marketplace account. 

From there, you’ll just need to complete the 3-step setup to begin onboarding as a Walmart marketplace seller.

  • Business Verification – Submit your business details to Walmart to complete your Seller Profile
  • Payments – Tell Walmart where to send your payments. No setup, subscription, or monthly fees
  • Shipping – Configure your shipping methods and costs. Select your preferred returns method and carriers for your budget

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Next up, converting your products’ details into Walmart-fulfilled listings. After that, if you’re using Walmart’s WFS, it’s just a matter of sending your items into the Walmart Fulfillment Center. 

Now it’s time to discuss the biggest difference between selling on Amazon and selling on Walmart. Compared to Amazon, Walmart is a “gated” community. On Amazon, virtually anyone can register to sell and within a few days have a product listed. On Walmart.com, you need to apply and be approved before you can sell. 

Here’s what’s needed to begin the application process:

Walmart’s Business Requirements

  • Business Tax ID(s) (SSN not accepted) or Business License Number
  • Supporting documents that verify your Business Name and Address
  • History of marketplace or eCommerce success
  • Products that have GTIN/UPC GS1 Company Prefix Numbers
  • Catalog that complies with Walmart Prohibited Products Policy
  • Fulfillment through Walmart Fulfillment Services (WFS) or another B2C US warehouse with returns capability

You Know This! – WFS Program Benefits  

If you know Amazon’s FBA or Fulfillment by Amazon platform, Walmart’s WFS (Walmart Fulfillment Services) will feel very familiar. 

Walmart Fulfillment Services (WFS) allows sellers to store their inventory at Walmart fulfillment centers. After placing an order on Walmart.com, Walmart picks, packs, and ships the item(s) to the customer. WFS also handles all customer support and returns for these orders.

WFS also gives sellers access to Walmart’s Free & Easy Returns program. Participating items are displayed with 2-Day Shipping and Fulfilled by Walmart tags that dramatically increase both visibility and conversion rates for sellers. 

Walmart’s WFS: 

  • Stores your products
  • Prepares them for shipping after orders are placed
  • Tracks inventory, orders, and shipments with easy-to-read dashboards
  • Delivers your items
  • Gain higher search rankings and Buy Box prominence with 2-Day Shipping tags
  • Supports customer inquiries
  • Optimize your returns with Walmart’s omnichannel Free & Easy Returns program

Walmart’s fulfillment program features a fixed monthly storage fee and a fulfillment structure based on item weight alone. In addition there’s zero signup or monthly subscription fees!

WFS Product Requirements

There are some limits to the types of products that can be included in the program:

  • Products must ship to Walmart fulfillment centers from within the United States
  • No perishable or regulated products 
  • No prohibited products
  • Maximum product weight is 150 lb.
  • Maximum product dimensions are 108″ in length and 165″ in length + girth

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Setting Up Your Walmart Items for Sale

Marketplace sellers have 3 options for integrating their catalogs with Walmart.com.

Solution Providers

  • Walmart partners with a number of leading solution providers to offer a full range of eCommerce services to online sellers
  • While some solution providers offer wide range of eCommerce services (including item setup inventory, order fulfillment, pricing etc), others provide more specific functions
  • Integrations are tailored to the precise needs of individual Walmart sellers

API Connection

Marketplace sellers and supplier developers are able to access API tools allowing for integration with the Walmart eCommerce platform.

Seller Center 

Using Seller Center, you can Integrate your Walmart products with SellerSetup by Match, Single Item, or Bulk Upload Setup. 

A screenshot of a desktop view of a Walmart product page

Walmart Sponsored Search (ADS)

If you’re an Amazon seller, this will feel very familiar! 

Just like Amazon PPC advertising, Sponsored Search advertising from Walmart Connect puts your brand and products in front of customers that are searching and browsing Walmart’s site and app for products like yours. 

And, like Amazon PPC, you only pay when customers click your ad.

Walmart Sponsored Advertising Variations 

Sponsored Products ads appear in high-visibility placements, including within relevant search results and on item pages. A click advances customers to your product’s item page.

Sponsored Brand ads send your brand logo and products to the top of relevant search results. These premium placements have the highest viewability on search pages and are available to Marketplace brand owners registered with the Walmart Brand Portal.

Automatic Ad Signup on Walmart

New Marketplace sellers are automatically registered to Walmart Ad Center, Walmart’s self-serve ad platform. It offers step-by-step information and strategies that help first time sellers set up their Walmart ad campaigns. 

How to Get Started With Walmart Ads

  • Check your product eligibility requirements then set your campaign goals
  • Select the variation of the Walmart Sponsored Search campaign you want to run. Combine Sponsored Products and Sponsored Brands for the best results
  • Determine your targeting strategy. Just like selling on Amazon, do your research and capitalize on relevant, searchable keywords in your campaigns

You’ve Promoted Your Products, Now Promote Your Brand! 

Sponsored Brands ads can help with the launch of new or seasonal items, when promoting items with lower search rankings and to help boost performance of higher-priced items. 

  • Sponsored Brands ads include your brand logo, custom headline and up to four advertised items, with shoppable links.
  • Sponsored Brands ads are designed to increase awareness and conversion by increasing your product’s and brand’s visibility and conversions
  • Sponsored Brands ads are great for newer brands that may not yet have high organic search rankings at Walmart

To use Sponsored Brands, Walmart Marketplace sellers must be a brand owner and meet the following criteria:

  • Based in the United States, China, Hong Kong or the United Kingdom; or a pre-approved seller in India
  • Rights owner registered with the United States Patent and Trademark Office
  • Onboarded to the Walmart Brand Portal, Walmart’s intellectual property rights management platform

Ready to Grow Your Walmart Business?

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Determining Your Walmart Advertising Targeting Strategy

Choose from two campaign types:

Automatic campaigns

Automatic campaigns depend on Walmart’s algorithm to select the best keywords for your ad campaign. Just like Amazon’s ad program, this is perfect for those new to Sponsored Search advertising

Manual campaigns

With Manual Campaigns, you choose your own keywords. This is a better option for advertisers who have a good idea of the keywords that their products already rank (or are searched) for. 

A stylized image of a medieval village with amazon on one side and walmart on the other

What are the Biggest Differences Between FBA and WFS? 

Even though there are a number of ways that selling on Walmart is very much like selling on Amazon, there are significant differences. Here are a few of the biggest ones.

1. Sellers Need to Apply and Be Approved to Sell on Walmart.com

This might be the biggest difference between the two platforms and it’s where Amazon gets the win. With Amazon, virtually anyone can register to sell and within a few days have a product listed. On Walmart.com, you need to apply and be approved before you can sell. In fact, the following sentence is part of Walmart’s welcome page:

“Make sure you have a history of marketplace or eCommerce success. Being an established and credible seller is something we take seriously.”

Walmart

However, this does mean that there’s a good chance that you’ll have less competition from other sellers on Walmart’s marketplace. 

2. When It Comes to Pricing, Walmart Referral Fees Keep It Simple

Walmart marketplace fees are straightforward and feature a simple Walmart referral fee structure. 

There is no setup, monthly, or hidden fees for any sellers. Instead, on Walmart, you pay for what you sell. Walmart deducts a referral fee from each completed purchase. The commission rates vary by category and total sales price but range from 6% to 15%.

While Walmart’s fixed storage and fulfillment fee is based on the shipping weight of the product, Amazon’s storage fees also factor in the amount of inventory you have stored in their warehouses. 

3. Walmart – No Monthly Subscription Fee for Sellers

Amazon has two different selling plans to choose from. If you want to use Amazon PPC advertising (and who wouldn’t?), you need to opt for the Professional selling plan at $39.99 a month. 

By contrast, Walmart doesn’t charge its sellers a monthly subscription fee. 

4. Personalized Account Management

Walmart will connect sellers with a WFS fulfillment expert free of charge to develop personalized recommendations on business optimization and growth. 

To work with one of Amazon’s dedicated Account Managers, sellers are required to pay $1,600 per month plus a percentage of their sales.  

Ready to Grow Your Walmart Business?

Canopy’s Partners Achieve an Average 84% Profit Increase!

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More Alike Than You Might Realize

Here are the similarities that really matter between the two eCommerce platforms.

1. Guaranteed 2-Day Free Shipping PLUS Free Returns 

Just like Amazon FBA, when sellers store their products in a Walmart Fulfillment Center, they’re able to offer 2-day free shipping to their customers. Walmart will pick, pack, ship, and deliver orders to your customers within 48 hours. Sounds familiar? Yep, that mirrors Amazon’s FBA features. 

2. Let Walmart Manage . . . Everything

Both Amazon and Walmart.com give sellers the option of fulfilling customer orders themselves or through their own proprietary fulfillment centers. 

Amazon began offering FBA in 2006, In 2020 Walmart introduced WFS to keep pace with Amazon’s increasingly popular fulfillment option. Much like Amazon’s FBA platform, Walmart manages customer service and returns for its sellers. (This benefit applies to sellers taking advantage of WFS fulfillment)

3. Seller Support 

Although Amazon’s seller support typically receives mixed reviews, Walmart will duplicate that effort with dedicated WFS call center associates to take care of marketplace sellers.  

4. Ultra-High Quality Listing Content

Both platforms offer their own version of ultra-high quality listing content. On Amazon, brand registered sellers can access A+ Content that features images, infographics, logos, and unique modules. 

Walmart sellers don’t need brand registry, but they do need to sign up for WFS. Then, they can create what’s called “Item Page Content.” If you’re not brand registered, this is a big plus for Walmart. 

5. Listing Optimization

This is a big one! 

As an ecommerce seller, you probably have a good idea how important it is to have your listings fully optimized. Selling on Walmart, that’s not going to change. 

If you’re going to sell products online, you need to make sure that your listing is found. 

Just like Amazon, it’s in Walmart’s best interest to connect shoppers with high-quality products that fit their needs.

That’s why the Walmart search engine is designed to provide the most relevant products for every search. Too many sellers focus on driving a high volume of traffic, and fail to consider relevancy to their audience.

Instead, you need to focus on selecting keywords and phrases that connect your product with the right shoppers at the right time in the purchasing journey.

How Canopy Management Can Help

Canopy Management is a full-service marketing agency for Amazon and Walmart sellers. Our team consists of former Amazonians, multi-million dollar sellers, and award-winning experts. 

When you consider the many ways that Canopy Management can help you grow your business, you’ll see why selling on Amazon is much easier “under the Canopy.”

  • Strategic Growth Planning
  • Listing Copywriting Optimization
  • Listing Photography
  • Product Videography
  • Advertising Management
  • Customer Service
  • Demand Side Platform (Amazon DSP)
  • Amazon Posts
  • Full Service Management
  • Amazon Review Aggregation

Ready to Grow Your Walmart Business?

Canopy’s Partners Achieve an Average 84% Profit Increase!

Let's talk

The post What You Need to Know About Selling On Walmart in 2024 appeared first on Canopy Management.

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Walmart Sets Its Sights on Amazon’s Ad Business https://canopymanagement.com/walmart-sets-its-sights-on-amazon-ads/ https://canopymanagement.com/walmart-sets-its-sights-on-amazon-ads/#respond Tue, 20 Feb 2024 18:41:44 +0000 https://canopymanagement.com/?p=19868 As if there was any doubt at all that Walmart is determined to follow in Amazon’s large footsteps, here’s one more example.  Walmart announced Tuesday (Feb 20, 2024) that it’s buying TV maker Vizio for $2.3 billion. To expert ecommerce observers, it appears to be a great way for Walmart to accelerate its advertising business […]

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As if there was any doubt at all that Walmart is determined to follow in Amazon’s large footsteps, here’s one more example. 

Walmart announced Tuesday (Feb 20, 2024) that it’s buying TV maker Vizio for $2.3 billion. To expert ecommerce observers, it appears to be a great way for Walmart to accelerate its advertising business and position itself as a legitimate rival to Amazon’s own ad business.

Walmart is clearly NOT content to serve as an anchor of big-box shopping centers or to be known for selling groceries and household essentials. Like Amazon, it wants to carve out for itself a large chunk of the advertising revenue that Amazon has used to get to where it is today.

Although Walmart currently sells ads at physical stores and its website, by taking a page from Amazon’s advertising strategy and acquiring Vizio, Walmart will now be able to sell ads through streaming services on television.

Vizio’s Smart TV operating system, SmartCast, has over 18 million active accounts. This acquisition by Walmart dramatically expands their ability to offer ads through Vizio televisions, as well as create entertainment – and advertising – options for customers that own Vizio TVs.

Access to Shopper Data Offers Walmart an Inside Track

Walmart’s ad revenue is expected to total $3.14 billion in 2023. That’s a significant total, but well behind Amazon’s $49.9 billion

Selling a lot of groceries is great, but with such a small profit margin, that’s not going to be how Walmart closes the gap with Amazon. However, many of those brick and mortar shoppers share their data with Walmart.

That’s where the real gold lies. 

Both Amazon and Walmart have been running out of ways to squeeze more advertising dollars out of their existing advertising customers. With approximately 65% of shoppers admitting to purchasing from Walmart in the last 30 days, and its website and stores attracting over 160 million visitors a week, Walmart has an inside track on a data stream that even Amazon would be envious of. 

A Walmart infographic showing a woman holding a Walmart bag in front of a Walmart store

Walmart is Betting On TV to Help Convince Advertisers to Buy

The ecommerce marketing funnel is a big place. With this move, it’s pretty clear that Walmart is hoping that that big (TV) screen will help their advertising platform gain upper-funnel ad dollars from those brands both on, and off of Walmart. 

Internet cookies are going the way of the dinosaurs. This access to first-party data might be the best way for Walmart to connect the dots between buyer intent and purchase. 

Walmart’s purchase of Vizio helps them acquire an enormous amount of already established TV ad inventory. That’s a resource that up until now, it didn’t have.

If you’re looking for expert advice on how to implement this recent pivot by Walmart into your overall ecommerce business strategy, look no further. Click here to find out more about how Canopy Management’s Walmart experts can help you grow your brand, or to schedule a personalized strategy session.

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