Choosing between Amazon and Walmart as your primary e-commerce marketplace can be challenging. Both platforms offer massive customer bases, fulfillment options, and revenue opportunities. But which one is right for your business? In this guide, we’ll compare Amazon vs. Walmart for sellers, covering fees, competition, fulfillment, and profitability.
Amazon vs. Walmart: Key Differences for Sellers
📢 Amazon is the dominant player, but Walmart is growing rapidly.
| Factor | Amazon Marketplace | Walmart Marketplace |
|---|---|---|
| Monthly Traffic | 2.5B+ visits per month | 400M+ visits per month |
| Seller Competition | High – Millions of sellers | Lower – Less saturation |
| Approval Process | Easy – Anyone can sell | Strict – Vetting process |
| Selling Fees | 8-15% per sale + FBA fees | 8-15% per sale (no monthly fee) |
| Fulfillment Options | FBA (Amazon handles shipping) | WFS (Walmart handles shipping) |
| Buy Box Algorithm | Prioritizes Prime sellers | Prioritizes low-priced, in-stock items |
📢 Amazon has a larger customer base, but Walmart offers less competition and lower fees.
For Walmart-specific inventory tips, check out Walmart Inventory Management: Tips for Keeping Stock Levels Optimal.
1. Selling on Amazon: Pros & Cons
🚀 Amazon Pros:
✅ Massive customer base – Over 300 million active buyers.
✅ Amazon Prime advantage – Prime-eligible listings get higher conversion rates.
✅ Amazon FBA makes fulfillment easy – Storage, packing, and shipping handled for you.
✅ Global expansion – Sell in multiple countries via Amazon Global Selling.
❌ Amazon Cons:
❌ High competition – More than 9 million active sellers.
❌ Expensive fulfillment fees – FBA storage and long-term storage fees can eat into profits.
❌ Strict policies & suspensions – Account shutdowns can happen without warning.
❌ Buy Box challenges – Price wars make winning the Buy Box difficult.
📢 Amazon is best for high-volume sellers who can compete on price and fulfillment speed.
For tips on preventing stockouts and staying competitive, check out How to Avoid Amazon Stockouts and Maintain High Seller Ratings.
2. Selling on Walmart: Pros & Cons
🚀 Walmart Pros:
✅ Less competition – Fewer sellers = better visibility.
✅ No monthly seller fees – Unlike Amazon’s $39.99/month professional plan.
✅ Easier Buy Box wins – Focuses on price, fulfillment speed, and stock levels.
✅ Lower fulfillment costs – Walmart Fulfillment Services (WFS) is often cheaper than Amazon FBA.
❌ Walmart Cons:
❌ Stricter approval process – Walmart vets sellers and requires a proven business history.
❌ Smaller audience than Amazon – But Walmart’s e-commerce segment is growing fast.
❌ No PPC advertising for all categories – Limited ad options compared to Amazon.
📢 Walmart is best for sellers looking for lower fees, fewer competitors, and better Buy Box opportunities.
For sellers interested in Walmart’s fulfillment, check out How to Automate Your E-commerce Supply Chain for Efficiency and Profitability.
3. Fulfillment: FBA vs. WFS – Which is Better?
Both Amazon FBA and Walmart WFS offer storage, packing, and shipping services, but they have key differences.
📦 Amazon FBA (Fulfillment by Amazon)
✔ Higher fees, but gives Prime eligibility.
✔ Best for sellers who want hands-off fulfillment.
✔ Long-term storage fees penalize slow-moving inventory.
📦 Walmart WFS (Walmart Fulfillment Services)
✔ Lower fulfillment fees than Amazon FBA.
✔ Best for sellers who can maintain stock levels and competitive pricing.
✔ Fewer sellers = easier Buy Box wins.
📢 Amazon FBA is better for scaling quickly, but WFS is more cost-effective.
For insights on multi-channel inventory forecasting, check out How to Use AI and Machine Learning for E-commerce Inventory Forecasting.
4. Amazon vs. Walmart: Which Marketplace is More Profitable?
🔹 Amazon has higher sales volume but also higher fees.
🔹 Walmart has fewer sellers, meaning easier competition.
🔹 Your profitability depends on fees, fulfillment costs, and product margins.
📢 The best strategy? Sell on BOTH platforms and optimize inventory management!
🔗 Try SelloPod to manage inventory across Amazon & Walmart
5. Should You Sell on Both Amazon & Walmart?
Many successful e-commerce brands sell on both platforms to maximize revenue.
📌 How to Succeed on Both Amazon & Walmart:
✔ Use multi-channel inventory syncing to prevent overselling.
✔ Analyze demand trends across platforms to adjust stock levels.
✔ Optimize fulfillment with a hybrid model (FBA + WFS + 3PL).
📢 Managing inventory across platforms is easy with SelloPod!
🔗 Get AI-powered inventory forecasting for Amazon & Walmart
Final Thoughts: Which Marketplace Should You Choose?
📢 Amazon vs. Walmart – What’s best for you?
✔ Choose Amazon if you want higher sales volume and global reach.
✔ Choose Walmart if you want lower competition and better profit margins.
✔ Sell on BOTH for maximum profitability and diversification.
📢 Want to manage inventory seamlessly across Amazon & Walmart? Try SelloPod today!