3 Key Differences: Walmart.com and Amazon
Over the past several years, Walmart.com has become a stronger competitor to Amazon. The marketplace first launched in 2009 and will be the corporation’s primary e-commerce focus moving forward. At Marketplace Strategy (MPS), our clients are embracing Walmart.com more than ever. And most now understand the value of selling on both Walmart.com and Amazon. Continue reading for an overview of Walmart.com, how it compares to Amazon, and why selling on both channels is important.
Getting Started on Walmart.com
Walmart.com recently opened its platform to third-party sellers. However, it still operates as an invitation-only channel. To get started, brands must complete Walmart's application and sign a retailer agreement.
Although this process can take several weeks, this allows brands the time to become familiar with Walmart.com, as there are key differences between Walmart.com and other popular online marketplaces.
A Breakdown of Walmart’s Marketplace
When selling on an e-commerce marketplace, brands aim for their products to be visible and discoverable. This requires knowledge of how the channel’s search algorithm works and how to properly position products. On Walmart.com, discoverability is driven by price, product title, product description, and back-end attributes. With this, product descriptions hold more weight on Walmart.com than on Amazon. Meaning, a strong keyword strategy, and copywriting skills are extremely important.
On Amazon, Seller Central users can choose from several fulfillment options; Fulfilled by Amazon (FBA), Fulfilled by Merchant (FBM), or Seller Fulfilled Prime (SFP). However, brands that sell on Walmart.com are responsible for managing both fulfillment and shipping. In addition, brands must process returns, exchanges, and other customer service duties.
Brands that advertise on Walmart.com have the benefit of being an early adopter. Overall, there is less competition for ad placements on Walmart.com than on Amazon, primarily because it’s a younger platform. MPS clients advertise on Walmart.com to increase visibility and gain an edge over their competitors.
The Benefits of Selling on Both Walmart.com and Amazon
As mentioned, more MPS clients have begun selling on Walmart.com, especially within the last year. For growing businesses committed to growing their e-commerce presence, it makes sense to expand onto Walmart.com. Selling on both channels will increase a brand’s reach, visibility, and discoverability. This strategy will also help brands gain recognition with online shoppers.
While selling on both Walmart.com and Amazon, it’s important to remember expectations cannot be the same. Performance and traction will vary between platforms and each requires dedicated expertise to ensure efforts are aligned.
If you could use the support of a strategic partner, schedule a free consultation. As always, we’re here to answer any questions about your Amazon presence and explorations into other e-commerce marketplaces. Finally, for a more in-depth look into this topic, we encourage you to download the guides below.
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