Choosing between Amazon and Walmart is one of the most consequential decisions an e-commerce seller can make in 2026. Both marketplaces offer massive customer bases, robust fulfillment networks, and powerful advertising tools. But they differ sharply in fees, competition levels, seller requirements, and growth trajectories.
Understanding the scale of each platform is the first step to making a smart selling decision. Amazon remains the dominant force in U.S. e-commerce, but Walmart’s marketplace expansion has been one of the most aggressive growth stories in retail.
The table below captures the key performance benchmarks that define both platforms heading into 2026.
| Benchmark | Amazon | Walmart |
| U.S. E-Commerce Market Share | ~37.6% | ~6.4% |
| Annual Revenue (2024) | ~$638 billion (net sales) | ~$674 billion (total revenue) |
| Monthly U.S. Website Visits | ~2.5 billion | ~400 to 500 million |
| Active Third-Party Sellers | ~2 million | ~150,000+ |
| Membership Program | Amazon Prime (200M+ global members) | Walmart+ (estimated 20M+ members) |
| Third-Party Share of Sales | ~60% of units sold | Growing but still under 50% |
| E-Commerce YoY Growth Rate | ~8 to 10% | ~20%+ across multiple quarters |
| U.S. Physical Store Locations | ~500 (Whole Foods, Amazon Fresh) | ~4,700 stores |
Walmart’s total revenue actually exceeds Amazon’s when you factor in its massive brick-and-mortar business. But in pure e-commerce terms, Amazon still leads by a wide margin. The key takeaway for sellers is that Walmart’s marketplace is growing significantly faster, and the seller-to-customer ratio is far more favorable.
Amazon vs Walmart: Quick Comparison at a Glance
Before diving into the details, here is a high-level summary of how Amazon and Walmart compare on the factors that matter most to sellers.
| Factor | Amazon | Walmart |
| Monthly Seller Fee | $39.99 (Professional plan) | $0 |
| Referral Fee Range | 6% to 45% (most categories 8 to 15%) | 6% to 20% (most categories 8 to 15%) |
| Fulfillment Service | Fulfillment by Amazon (FBA) | Walmart Fulfillment Services (WFS) |
| Advertising Platform | Amazon PPC (Sponsored Products, Brands, Display) | Walmart Connect (Sponsored Search, Display) |
| Average CPC (Advertising) | $0.80 to $1.20 | $0.30 to $0.75 |
| Seller Competition Level | Very High | Moderate |
| Approval Process | Open registration (most categories) | Application-based (requires approval) |
| Customer Conversion Rate | ~10 to 15% (Prime members) | ~5 to 8% (estimated) |
| Return Window | 30 days (most categories) | 30 days (most categories) |
| Omnichannel Capabilities | Limited physical retail | 4,700+ stores for pickup and returns |
Both platforms share similar referral fee structures in most product categories. The biggest differences lie in seller competition, monthly subscription costs, advertising expenses, and the approval process. Amazon is a high-traffic, high-competition environment. Walmart offers lower competition and zero monthly fees but comes with a smaller customer base and a more selective onboarding process.
1. Market Reach and Customer Base
Amazon’s Marketplace Scale
Amazon is the undisputed leader in U.S. e-commerce. The platform attracts approximately 2.5 billion monthly visits in the United States alone, giving sellers access to the largest concentration of online shoppers anywhere in the world.
With over 200 million Prime members globally, Amazon has built one of the stickiest customer ecosystems in retail. Prime members shop more frequently, spend more per order, and are significantly more likely to convert than non-Prime visitors.
Here are the key advantages of Amazon’s market reach for sellers.
- Massive traffic volume with 2.5 billion+ monthly visits in the U.S.
- High conversion rates averaging 10 to 15% for Prime-eligible listings
- Global reach across 20+ international marketplaces
- Repeat purchase behavior driven by Prime membership benefits
- Established trust with shoppers who default to Amazon for product searches
However, this scale comes with a major trade-off. Nearly 2 million active sellers compete for customer attention, and many popular categories are heavily saturated. New sellers in competitive niches often struggle to gain visibility without significant advertising spend.
Walmart’s Growing Digital Footprint
Walmart’s e-commerce growth trajectory has been remarkable. The company has reported 20%+ year-over-year online sales growth across multiple consecutive quarters, and its marketplace seller count has expanded from roughly 100,000 in 2022 to over 150,000 by late 2024.
While walmart.com attracts approximately 400 to 500 million monthly visits (roughly one-fifth of Amazon’s traffic), the seller-to-visitor ratio is dramatically more favorable. Fewer sellers competing for a substantial customer base translates to better organic visibility and lower advertising costs.
Walmart’s biggest differentiator is its omnichannel infrastructure. Here is what that means for sellers.
- 4,700+ U.S. stores serve as distribution points, pickup locations, and return centers
- Walmart+ membership is growing and provides free delivery incentives
- In-store pickup options drive conversions that pure e-commerce platforms cannot match
- Cross-channel visibility where online listings can drive in-store traffic and vice versa
- Price-conscious customer base that responds well to competitive pricing
The combination of rapid growth and relatively low competition makes Walmart an increasingly attractive option, especially for sellers who are already established on Amazon and want to expand their channel mix.
2. Customer Demographics
The customer profiles on Amazon and Walmart differ meaningfully. Understanding these differences helps sellers determine where their products will resonate most.
The following table highlights the demographic and behavioral differences between shoppers on both platforms.
| Demographic Factor | Amazon Shoppers | Walmart Shoppers |
| Median Household Income | $75,000 to $150,000+ | $40,000 to $80,000 |
| Primary Age Group | 25 to 45 years old | 25 to 55 years old (broader range) |
| Shopping Motivation | Convenience, speed, selection | Value, price, everyday essentials |
| Product Discovery | Often starts on Amazon | Often starts with Google or in-store |
| Price Sensitivity | Moderate (willing to pay for Prime convenience) | High (price is often the primary driver) |
| Geographic Concentration | Urban and suburban areas | Suburban and rural areas (stronger rural presence) |
| Device Preference | Mobile and desktop | Mobile, desktop, and in-store kiosks |
Amazon shoppers tend to be higher-income consumers who prioritize convenience and fast shipping. Walmart shoppers are more price-driven and span a wider geographic and income range. If your product competes on price and targets budget-conscious families, Walmart’s audience is an excellent fit. If you sell premium or niche products, Amazon’s customer base may convert better.
3. Fee Structure Breakdown
Fees directly impact your profit margins. Both Amazon and Walmart charge referral fees on each sale, but the surrounding cost structures differ in meaningful ways. This section breaks down every major fee category.
Seller Account and Subscription Fees
One of the most discussed differences between Amazon and Walmart is the monthly subscription cost.
The table below compares the account-level fees on both platforms.
| Fee Type | Amazon | Walmart |
| Monthly Subscription | $39.99 (Professional plan) | $0 |
| Per-Item Fee (no subscription) | $0.99 per item (Individual plan) | Not applicable |
| Account Setup Fee | $0 | $0 |
| Category Approval Fees | $0 (but some categories require approval) | $0 (approval needed to join marketplace) |
Walmart charges no monthly subscription fee, which is a significant advantage for newer or lower-volume sellers. On Amazon, the $39.99 Professional plan is effectively mandatory for serious sellers because Individual plan sellers lose access to advertising, Buy Box eligibility, and bulk listing tools.
Over the course of a year, the Amazon Professional plan costs $479.88 in subscription fees alone. On Walmart, that cost is zero. For sellers testing a new market or operating with tight margins, this difference matters.
Referral Fees by Product Category
Referral fees are the percentage of each sale that the marketplace takes as commission. Both Amazon and Walmart charge referral fees, and the rates are similar across most categories.
The following table shows the referral fee comparison for popular product categories on both platforms.
| Product Category | Amazon Referral Fee | Walmart Referral Fee |
| Electronics | 8% | 8% |
| Clothing and Accessories | 17% | 15% |
| Beauty and Personal Care | 8 to 15% | 8 to 15% |
| Home and Kitchen | 15% | 15% |
| Toys and Games | 15% | 15% |
| Sports and Outdoors | 15% | 15% |
| Health and Household | 8 to 15% | 8 to 15% |
| Grocery and Gourmet | 8 to 15% | 8 to 15% |
| Pet Supplies | 15% | 15% |
| Automotive | 12% | 12% |
| Jewelry | 20% (first $250), 5% (portion above $250) | 20% |
| Books and Media | 15% | 15% |
| Baby Products | 8 to 15% | 8 to 15% |
| Furniture | 15% | 15% |
In most categories, referral fees are nearly identical. The notable exception is clothing and accessories, where Walmart charges 15% compared to Amazon’s 17%. This 2% difference can be meaningful for apparel sellers with high volume.
Walmart also does not charge media closing fees ($1.80 per item on Amazon for books, DVDs, and similar media products). Sellers in media categories will find Walmart’s fee structure slightly more favorable.
Which Platform Costs Less
Comparing fee structures in isolation can be misleading. What matters is the total cost per sale, including referral fees, fulfillment costs, and subscription charges.
Here is a side-by-side example using a hypothetical product sold in the Home and Kitchen category.
Product Details for This Calculation:
- Sale price: $29.99
- Product weight: 1.2 lbs
- Category: Home and Kitchen
- Fulfillment: Platform fulfillment (FBA or WFS)
The table below shows the estimated total fees for this product on each platform.
| Fee Component | Amazon (FBA) | Walmart (WFS) |
| Referral Fee (15%) | $4.50 | $4.50 |
| Fulfillment Fee | ~$5.40 | ~$4.95 |
| Monthly Subscription (prorated per item at 100 sales/month) | ~$0.40 | $0.00 |
| Monthly Storage (estimated) | ~$0.15 | ~$0.12 |
| Total Estimated Fees | ~$10.45 | ~$9.57 |
| Effective Fee Percentage | ~34.8% | ~31.9% |
In this example, selling on Walmart saves approximately $0.88 per unit. At 100 units per month, that translates to $88 in monthly savings or $1,056 annually. The difference is driven primarily by the absence of a monthly subscription fee and slightly lower fulfillment costs.
4. Fulfilment Services
Fulfillment is often the deciding factor for sellers comparing these two platforms. Both Amazon and Walmart offer end-to-end fulfillment services that handle storage, picking, packing, shipping, and customer returns. But the details differ significantly.
How Amazon FBA Works
Amazon’s Fulfillment by Amazon (FBA) program is the gold standard in marketplace fulfillment. Sellers ship inventory to Amazon’s fulfillment centers, and Amazon handles everything from that point forward.
FBA-enrolled products automatically qualify for Prime two-day (and often same-day or next-day) shipping, which significantly boosts conversion rates and Buy Box eligibility. Here are the core features of Amazon FBA.
- Prime badge eligibility increases conversion rates by 25 to 50% compared to non-Prime listings
- Multi-channel fulfillment lets sellers use FBA inventory to fulfill orders from other channels
- Automated customer service and returns for FBA orders
- Subscribe and Save eligibility for consumable products
- Pan-EU and international fulfillment options for global sellers
- Extensive warehouse network with 110+ fulfillment centers in the U.S.
FBA also comes with several costs beyond the standard fulfillment fee. Sellers should be aware of these additional charges.
- Long-term storage fees for inventory stored over 181 days (aged inventory surcharge)
- Inbound placement service fees for distributing inventory across multiple warehouses
- Low-inventory-level fees for products that do not maintain adequate stock levels
- Removal and disposal fees for unsold inventory
- Prep service fees if Amazon handles labeling or packaging
How Walmart WFS Works
Walmart Fulfillment Services (WFS) launched in 2020 and has been rapidly expanding. The service functions similarly to FBA: sellers ship inventory to Walmart’s fulfillment centers, and Walmart handles storage, shipping, and returns.
WFS-enrolled products receive the “Fulfilled by Walmart” badge and qualify for Walmart+ free delivery and two-day shipping tags. These badges improve search ranking and conversion on walmart.com. Here are the key features of Walmart WFS.
- Two-day and three-day shipping tags boost product visibility in search results
- Walmart+ free delivery eligibility for member customers
- Free storage for the first 30 days (no storage fees during the initial period)
- Customer service and returns handling managed by Walmart
- Simplified fee structure with fewer surprise charges than FBA
- Growing warehouse network with continued expansion across the U.S.
WFS currently has a smaller fulfillment network than FBA, which can occasionally result in slightly longer delivery times to certain regions. However, Walmart has been investing heavily in logistics infrastructure, and coverage has improved substantially since 2022.
FBA vs WFS
The following table provides a direct comparison of the two fulfillment programs across the factors that matter most to sellers.
| Fulfillment Factor | Amazon FBA | Walmart WFS |
| Fulfillment Fee (1 lb item, standard) | ~$3.50 to $4.25 | ~$3.45 to $4.00 |
| Fulfillment Fee (2 lb item, standard) | ~$5.40 to $6.10 | ~$4.95 to $5.45 |
| Monthly Storage (Standard, Jan to Sep) | ~$0.87 per cubic foot | Comparable (free first 30 days) |
| Monthly Storage (Standard, Oct to Dec) | ~$2.40 per cubic foot | Higher peak season rates apply |
| Long-Term Storage Surcharge | Yes (after 181 days) | Yes (after extended period) |
| Inbound Shipping | Seller pays or uses Amazon partnered carriers | Seller pays or uses Walmart partnered carriers |
| Returns Handling | Included | Included |
| Customer Service | Included | Included |
| Multi-Channel Fulfillment | Yes (MCF) | Limited |
| Shipping Speed | 1 to 2 day (Prime) | 2 to 3 day (Walmart tags) |
| Warehouse Locations (U.S.) | 110+ fulfillment centers | Growing (fewer than Amazon) |
| Additional Surcharges | Inbound placement fee, low-inventory fee | Fewer additional surcharges |
Amazon FBA offers superior shipping speed and a more extensive fulfillment network, but it also carries more ancillary fees that can erode margins. Walmart WFS tends to be slightly cheaper on a per-unit basis and has a simpler fee structure, but its network is less mature. For sellers who are already using FBA, WFS requires minimal operational adjustment since the workflows are very similar.
5. Advertising and Marketing
Paid advertising has become essential for visibility on both platforms. Organic rankings are increasingly difficult to achieve without advertising support, especially on Amazon. Both marketplaces offer self-serve advertising platforms with cost-per-click (CPC) bidding models.
Amazon Advertising (Amazon PPC)
Amazon’s advertising ecosystem is the most developed of any e-commerce marketplace. Sellers have access to multiple ad formats and targeting options that can drive significant sales volume.
The primary Amazon ad formats include the following.
- Sponsored Products show individual product listings in search results and on product detail pages
- Sponsored Brands display custom headlines with brand logos and multiple products at the top of search results
- Sponsored Display targets audiences both on and off Amazon based on shopping behavior
- Amazon DSP (Demand-Side Platform) provides programmatic display and video advertising across the web
- Sponsored Brands Video delivers autoplay video ads within search results
Amazon’s advertising platform offers deep targeting options including keyword targeting, product targeting (ASIN targeting), and audience-based targeting. However, the maturity and popularity of the platform means that CPCs have been climbing steadily year over year. Competitive categories like supplements, electronics, and beauty products often see CPCs exceeding $2.00 to $5.00.
Walmart Connect (Walmart PPC)
Walmart Connect is Walmart’s advertising platform, formerly known as Walmart Media Group. It has grown significantly in capabilities since 2021 and now offers a robust set of tools for third-party sellers.
The primary Walmart Connect ad formats are listed below.
- Sponsored Search (Sponsored Products) displays product ads in search results on walmart.com
- Sponsored Brands shows banner-style ads at the top of category and search pages
- Display Ads targets customers across Walmart’s owned properties and partner sites
- In-Store Advertising connects digital campaigns to Walmart’s physical retail locations
- Walmart DSP provides programmatic advertising across Walmart’s omnichannel ecosystem
Walmart Connect’s biggest advantage for sellers is lower competition and lower CPCs. Because fewer advertisers are competing for the same search terms, the cost to acquire a click is significantly lower than on Amazon. This makes Walmart an attractive testing ground for advertising strategies.
Advertising Cost Comparison: Amazon PPC vs Walmart Connect
The cost and performance differences between the two advertising platforms are summarized in the table below.
| Advertising Metric | Amazon PPC | Walmart Connect |
| Average CPC (across categories) | $0.80 to $1.20 | $0.30 to $0.75 |
| CPC in Competitive Categories | $2.00 to $5.00+ | $0.75 to $1.50 |
| Typical ACoS (Advertising Cost of Sales) | 20 to 35% | 15 to 25% |
| Estimated ROAS (Return on Ad Spend) | 3x to 5x | 4x to 7x |
| Ad Formats Available | 5+ formats | 3 to 4 formats |
| Targeting Options | Keyword, product, audience, DSP | Keyword, product, audience, DSP |
| Attribution Window | 7 to 14 days | 14 days |
| Minimum Daily Budget | $1.00 | $1.00 |
| Self-Serve Platform Maturity | Very mature | Rapidly improving |
Walmart Connect offers a clear cost advantage for sellers looking to acquire customers through paid advertising. The lower CPCs and reduced competition often translate to better ROAS, meaning sellers can generate profitable sales with less ad spend. However, Amazon’s advertising ecosystem is more mature, offers more granular controls, and reaches a much larger audience.
For sellers operating on tight margins, Walmart’s advertising economics can make a meaningful difference in overall profitability.
6. Competition and Seller Saturation
Competition level is one of the strongest arguments in favor of selling on Walmart. The difference in seller density between the two platforms is dramatic and directly impacts product visibility, advertising costs, and pricing pressure.
The following metrics illustrate the competitive landscape on each platform.
| Competition Metric | Amazon | Walmart |
| Active Third-Party Sellers | ~2,000,000 | ~150,000 |
| New Sellers Joining Monthly | ~3,700+ per day (estimated) | Growing but at a fraction of Amazon’s pace |
| Listings per Search Term (avg.) | Hundreds to thousands | Tens to low hundreds |
| Category Saturation Level | High to very high in most popular categories | Low to moderate in most categories |
| Private Label Competition | Extremely intense | Growing but less intense |
| Price War Frequency | Common | Less common |
| Organic Ranking Difficulty | Hard (requires ads + reviews + optimization) | Moderate (good listings can rank faster) |
On Amazon, a new seller entering a popular category like phone cases, supplements, or kitchen gadgets will face thousands of established competitors with hundreds or thousands of reviews. Gaining visibility typically requires aggressive PPC spending, promotional pricing, and a long ramp-up period.
On Walmart, the same seller may find significantly fewer competitors and can often achieve organic visibility more quickly. This lower saturation is one of the most compelling reasons for sellers to expand to Walmart, especially in categories where they already have proven products.
7. Product Listing and Optimization
Creating effective product listings differs between Amazon and Walmart due to different search algorithms, content features, and optimization best practices.
Amazon Listing Features
Amazon’s listing ecosystem is mature and feature-rich. Sellers have access to multiple content tools that can enhance product pages and improve conversion rates. Here are the key listing components on Amazon.
- Product Title (up to 200 characters in most categories)
- Bullet Points (5 key feature bullets)
- Product Description (up to 2,000 characters)
- A+ Content (formerly Enhanced Brand Content) with rich media modules for brand-registered sellers
- Backend Search Terms (hidden keywords for search indexing)
- Product Images (up to 9 images including main image)
- Product Videos (available for brand-registered sellers)
- Amazon Posts (social-style content for brand discovery)
- Amazon Stores (branded multi-page storefronts)
Amazon’s A9 search algorithm prioritizes sales velocity, conversion rate, relevance, and review quality. Listings that sell consistently and maintain strong customer ratings tend to rank higher over time.
Walmart Listing Features
Walmart’s listing tools have improved significantly in recent years, though they still lag behind Amazon in some areas. The key listing components on Walmart are described below.
- Product Title (optimized for clarity and keywords, Walmart prefers structured formats)
- Key Features (bullet points highlighting product benefits)
- Product Description (longer-form descriptions supported)
- Rich Media Content (Walmart’s equivalent of A+ Content, available for eligible sellers)
- Product Images (up to 10 images)
- Product Videos (supported)
- Shelf Descriptions and Rich Content Modules (for enhanced visual storytelling)
- Item Specifications (structured attribute fields that influence search)
Walmart’s search algorithm places heavy emphasis on price competitiveness, content quality, shipping speed (WFS badges), and listing completeness. Walmart’s Listing Quality Score provides sellers with a dashboard that grades each listing and suggests improvements. Optimizing for this score is critical for Walmart visibility.
8. Returns, Refunds, and Customer Service Policies
Return policies affect both customer satisfaction and seller costs. Both platforms have customer-friendly return policies, but the seller’s experience differs.
The table below compares the key return and customer service policies for sellers on Amazon and Walmart.
| Policy Area | Amazon | Walmart |
| Standard Return Window | 30 days | 30 days |
| Extended Holiday Returns | Yes (orders placed Oct to Dec returnable through Jan 31) | Yes (similar extended window) |
| Who Handles Returns (Fulfilled by Platform) | Amazon handles FBA returns | Walmart handles WFS returns |
| Return Shipping Cost | Often absorbed by seller (varies) | Often absorbed by seller (varies) |
| Restocking Fees | Allowed in limited categories | Allowed in limited categories |
| Refund Before Return (“Returnless Refund”) | Increasingly common for low-value items | Supported for qualifying items |
| A-to-Z Guarantee / Customer Claims | Amazon A-to-Z Guarantee (can debit seller) | Walmart dispute resolution process |
| Customer Service for FBM Orders | Seller handles directly | Seller handles directly |
| Impact of Returns on Seller Metrics | High return rates can trigger account warnings | High return rates affect seller scorecard |
Both platforms favor the customer in dispute situations. Sellers should build return costs into their pricing strategy regardless of which marketplace they choose. FBA and WFS both handle returns for fulfilled orders, which simplifies operations but means sellers have less control over the return process.
Pros and Cons: Amazon vs Walmart for Sellers
1. Selling on Amazon: Pros and Cons
Every selling platform involves trade-offs. Here is a balanced view of what Amazon offers and where it falls short for third-party sellers.
Pros of Selling on Amazon:
- Access to 2.5 billion+ monthly visits and 200M+ Prime members
- Mature FBA fulfillment network with fast shipping options
- Advanced advertising platform with multiple ad formats
- Global marketplace presence across 20+ countries
- Established customer trust and brand recognition
- Extensive third-party tool ecosystem (Helium 10, Jungle Scout, etc.)
- Higher average conversion rates compared to most other marketplaces
Cons of Selling on Amazon:
- $39.99 monthly subscription fee adds to fixed costs
- Extremely high competition in most popular categories
- Rising advertising costs (CPCs increasing year over year)
- Complex and expanding fee structure (inbound placement, low inventory, etc.)
- Risk of account suspension with limited seller support
- Amazon’s own private label brands compete directly with sellers
- Difficult to build brand loyalty (customers associate purchases with Amazon, not the seller)
- High return rates in some categories due to lenient return policies
2. Selling on Walmart: Pros and Cons
Walmart’s marketplace is less established but offers distinct advantages for the right sellers.
Pros of Selling on Walmart:
- No monthly subscription fee saves $479.88 per year
- Significantly less seller competition (150,000 vs. 2 million sellers)
- Lower advertising CPCs and better ROAS potential
- Omnichannel advantage with 4,700+ physical stores
- Walmart+ membership is growing and driving repeat purchases
- Listing Quality Score tool helps optimize product pages
- Faster path to organic visibility for well-optimized listings
- Price-conscious customer base responds well to competitive offers
Cons of Selling on Walmart:
- Smaller online customer base (~400 to 500M monthly visits)
- Application-based seller approval process (not all applicants accepted)
- Fewer advanced advertising tools compared to Amazon
- Smaller fulfillment network with WFS
- Lower average conversion rate than Amazon
- Less mature third-party tool ecosystem
- Limited international marketplace presence
- Brand-building tools (Rich Media) are less developed than Amazon’s A+ Content
Who Should Sell Where: A Decision Framework
The best platform depends on your business model, product type, budget, and growth goals. Use this framework to guide your decision.
1. Choose Amazon If Your Business Matches These Criteria
Amazon is the better starting point for sellers who fit the following profile.
- You are a new seller looking for the largest possible audience
- Your products are in a niche where you can differentiate through branding and reviews
- You have budget for advertising and are comfortable with CPC-based marketing
- You want access to international markets through Amazon’s global selling program
- You sell products that benefit from Prime’s fast shipping and high conversion rates
- You are willing to invest in Amazon Brand Registry and A+ Content
- Your margins can absorb Amazon’s fee structure including FBA and subscription costs
2. Choose Walmart If Your Business Matches These Criteria
Walmart is the better choice (or expansion channel) for sellers who align with these factors.
- You sell price-competitive products that appeal to value-conscious shoppers
- You want to avoid the $39.99 monthly subscription fee
- You prefer a less competitive marketplace where organic visibility is easier to achieve
- You already sell on Amazon and want to diversify your sales channels
- Your products are in categories that are not yet saturated on Walmart
- You can meet Walmart’s seller approval requirements and performance standards
- You want to leverage omnichannel benefits like in-store pickup and Walmart+ delivery
3. Sell on Both Platforms If These Conditions Apply
A multichannel strategy is increasingly the smartest approach for established sellers. Consider selling on both Amazon and Walmart if the following conditions are true.
- You have proven products with healthy margins on at least one marketplace
- You can manage inventory across two fulfillment systems (FBA and WFS)
- Your operational infrastructure supports multi-platform listing management
- You want to reduce dependency on a single sales channel
- You are looking to maximize total addressable market
- You have or are willing to adopt a multichannel management tool (ChannelAdvisor, Sellbrite, Zentail, etc.)
Multichannel Strategy: Selling on Amazon and Walmart Together
Selling on both platforms simultaneously is no longer a luxury. It is becoming a competitive necessity for serious e-commerce brands. Diversifying across Amazon and Walmart protects your business from platform-specific risks like account suspensions, algorithm changes, or fee increases.
Here are practical steps to execute a successful multichannel strategy across both marketplaces.
- Unify your inventory management using a tool that syncs stock levels in real time across FBA and WFS
- Customize product listings for each platform rather than copying listings verbatim (Walmart’s algorithm rewards different title structures and content formats)
- Adjust pricing strategically to account for Walmart’s price-matching culture and Amazon’s competitive dynamics
- Allocate advertising budgets based on each platform’s CPC and ROAS performance
- Monitor platform-specific analytics separately and optimize each channel independently
- Maintain consistent branding across both platforms while adapting to each marketplace’s content format
- Start with your best-selling products on the new platform before expanding the full catalog
A common pitfall is treating Walmart as a carbon copy of Amazon. The platforms have different search algorithms, customer behaviors, and competitive dynamics. Sellers who customize their approach for each marketplace consistently outperform those who use a one-size-fits-all strategy.
Frequently Asked Questions
Is it better to sell on Amazon or Walmart in 2026?
It depends on your business profile. Amazon offers the largest customer base and highest traffic volume, making it ideal for sellers who can handle intense competition and higher fees. Walmart is better suited for price-competitive sellers who want lower fees, less competition, and access to a growing marketplace. Many successful sellers operate on both platforms simultaneously.
Does Walmart charge a monthly fee to sellers?
No. Walmart does not charge any monthly subscription fee for third-party sellers. This is one of its biggest advantages over Amazon, which charges $39.99 per month for the Professional seller plan.
How do I get approved to sell on Walmart Marketplace?
You need to apply through Walmart’s Marketplace application portal. Walmart evaluates applicants based on business credentials, e-commerce experience, product quality, and operational capabilities. Having a U.S. Tax ID, prior marketplace selling history, and UPC-coded products improves your chances of approval. The review process typically takes a few days to several weeks.
What percentage does Walmart take from sellers?
Walmart charges referral fees ranging from 6% to 20% depending on the product category. Most popular categories fall in the 8% to 15% range, which is comparable to Amazon’s referral fee structure. Unlike Amazon, Walmart does not layer on a monthly subscription fee.
Which marketplace has less competition for new sellers?
Walmart has significantly less competition. With approximately 150,000 active sellers compared to Amazon’s 2 million, Walmart’s seller density is roughly 13 times lower. This translates to easier organic visibility, lower advertising costs, and less price pressure in most categories.
Does Walmart have a fulfillment service like Amazon FBA?
Yes. Walmart Fulfillment Services (WFS) operates similarly to Amazon FBA. Sellers ship inventory to Walmart’s fulfillment centers, and Walmart handles picking, packing, shipping, and returns. WFS-enrolled products earn two-day and three-day shipping tags and qualify for Walmart+ free delivery.
Is Walmart Marketplace growing?
Yes. Walmart Marketplace has experienced significant growth, expanding from approximately 100,000 sellers in 2022 to over 150,000 by late 2024. Walmart’s e-commerce sales have grown 20%+ year-over-year across multiple consecutive quarters, and the company continues to invest heavily in its marketplace infrastructure, fulfillment network, and advertising platform.
