This is a guest post from a fantastic new relationship I made recently, DotCom Partners. They are pros at helping sellers onboard and stay compliant on Walmart. Walmart is notoriously hard for sellers to manage but that's where DotCom Partners comes in. Please enjoy this guest post!
A common question asked around the e-commerce industry is if it’s better to sell across multiple platforms, or just focus on optimizing one. The short answer to this question is that you should definitely sell across multiple channels - for example, Amazon and Walmart.com. Just like you’d want to diversify revenue streams in your catalog, you should diversify your business through your marketplace channels.
At DotCom Partners, we believe diversifying your business across e-commerce platforms leads to long-term, sustainable growth online. This means that, although your business may be skyrocketing on Amazon, you are limiting yourself on your potential to increase sales if you aren’t tapping into other profitable marketplaces - like Walmart.com. At DotCom Partners, we manage accounts across multiple marketplaces, but specialize in helping brands and sellers grow on Walmart.com. As former Walmart merchants, our expertise and knowledge of best practices on Walmart has generated millions of dollars in incremental revenue for our clients.
Why do we suggest selling on Walmart?
1. You get access to an entirely new customer base compared to Amazon
2. The marketplace isn’t flooded with un-vetted sellers - meaning customers avoid encountering scams and counterfeit products
3. You diversify your revenue (and risk) away from Amazon
4. There is less competition due to fewer sellers
5. Lower fees in many categories; increased profitability
How much can you make on Walmart?
We believe a fully matured business on Walmart.com that has been optimized should generate anywhere from 8% to 15% of your annual revenue on Amazon. However, this does not represent figures for the sellers who are using the copy/paste strategy to sell on Walmart. The search algorithm is vastly different on Walmart.com, requiring item optimization on your listings.
Should you use a listing tool?
Listing tools like SellerCloud & ListingMirror are great for multi-channel management. However, you’d still need to optimize those listings & implement best practices on Walmart.com to see meaningful growth. If you decide not to use a listing tool, you will be using Seller Center (Walmart’s version of Seller Central) to manage your business.
How is the reporting on Walmart?
The reporting is fairly decent through Seller Center. However, for our clients, we develop custom API dashboards that are based on the internal tools we used as merchants at Walmart. They provide actionable insights & reports on your business so you can make data-driven decisions.
Does Walmart have a service like FBA?
Yes - it is called Walmart Fulfilled Service (WFS). In our experience, WFS has been a great lever to increase ship speed & win the buybox. Our clients have seen a significant increase in sales using WFS on their top sellers. You’ll have to apply for WFS once your application is accepted.
How can I apply?
You can apply online to sell on Walmart’s marketplace. However, Walmart receives thousands of applications each week. If you’d like to ensure your application is reviewed by a marketplace manager, contact us directly and we can refer you. Feel free to reach out to us at https://www.dotcompartners.com/pages/contact-us