Selling on Walmart vs Amazon: Which Marketplace Is Better in 2026?

Amazon and Walmart are the two largest e-commerce marketplaces in the US, with Amazon having 310 million active users worldwide and Walmart with 280 million customers and members globally. Yet when it comes to selling on Walmart vs. Amazon, there is no simple either-or answer. Each platform serves a different type of shopper, charges different fees, and rewards different types of sellers.

This guide compares Walmart Marketplace vs Amazon across every dimension that matters to a working seller: fees, fulfillment, requirements, product fit, advertising, and the multi-marketplace strategy that has become the smart move for most established brands in 2026.

Selling on Amazon: Overview 

Amazon is the most established ecommerce marketplace in the world, with mature seller tools, deep advertising infrastructure, and a global buyer base spanning more than 20 countries. Amazon Prime alone has over 220 million subscribers worldwide, and the platform accounts for roughly 38 percent of all US product searches. For most sellers, the question is not whether Amazon is a viable platform. It is how efficiently they can operate within a marketplace that is more competitive than any other in e-commerce.

Strengths to Consider

• Massive reach and buyer base: Over 310 million active buyers worldwide with strong purchase intent.
• Mature advertising ecosystem: Sponsored Products, Sponsored Brands, Sponsored Display, DSP, and Amazon Marketing Cloud together provide the deepest advertising toolkit in e-commerce.
• FBA infrastructure: Prime shipping eligibility, native customer service, and 175+ fulfillment centers globally.
• Brand tools: Brand Registry, Amazon A+ Content, Storefronts, and Manage Your Experiments give registered brands significant conversion advantages over unbranded sellers.
• Global expansion: A single unified account structure across North America, Europe, and other regions.

Challenges to Plan for

• Intense competition: Roughly 2 million active sellers, with Page 1 ranking increasingly requiring aggressive PPC and external traffic.
• Higher total costs: Between monthly subscription, referral fees, FBA fulfillment, storage, and advertising, total take rate can reach 37 to 51 percent of gross revenue.
• Rising CPCs: Sponsored Products CPCs have climbed year over year for four consecutive years in most competitive categories.
• Strict policy environment: Account suspension risks require ongoing attention to metrics, compliance, and category rules.

Selling on Walmart: Overview 

Walmart Marketplace launched its online third-party seller platform in 2009 and has grown into the largest US marketplace outside Amazon. Walmart.com attracts approximately 180 million unique monthly visitors, plus 150 million weekly in-store shoppers across the US. Walmart’s third-party marketplace GMV grew a record 50 percent in the quarter ending April 2026, and its advertising business grew 37 percent in the same period.

For sellers evaluating sell on Walmart vs Amazon, Walmart offers something Amazon increasingly cannot: a less saturated marketplace where new sellers can gain visibility without immediately competing against millions of established competitors.

Strengths to Consider

• Lower competition: Just over 150,000 sellers compared to Amazon’s roughly 2 million active sellers.
• No monthly subscription fee: Sellers pay only referral fees on sales rather than a fixed monthly cost.
• Lower total take rate: Between 20 and 32 percent of gross revenue for comparable catalogs versus 37 to 51 percent on Amazon.
• Different buyer demographic: Walmart shoppers skew slightly older, have higher average household income, and are heavily concentrated in middle America. Roughly 30 to 40 percent of US households strongly prefer Walmart over Amazon.
• Walmart Fulfillment Services (WFS): Provides two-day delivery badges, native customer service, and a reliable US-based fulfillment network.
• Trusted brand: Walmart’s retail heritage builds buyer confidence, particularly for essentials and value-focused categories.

Challenges to Plan for

• Selective onboarding: Walmart requires a US business entity, tax ID, proof of prior ecommerce selling history, and compliant product data. Approval is not guaranteed.
• Primarily US-focused: While Walmart operates marketplaces in Canada, Mexico, and Chile, its main buyer base is US-centric compared to Amazon’s global scale.
• Stricter category rules: Certain categories require pre-approval, and listing standards are enforced more rigorously.
• Smaller total market: Total marketplace GMV is a fraction of Amazon’s, meaning the revenue ceiling is lower for equivalent products.
• Less mature advertising: Walmart Connect is growing quickly but does not yet offer the depth of formats and targeting available on Amazon.

Walmart vs Amazon: Cost Comparison

Fees are where the Walmart Marketplace vs Amazon comparison gets specific and where many sellers are genuinely surprised. The headline referral fees look similar. The total take rate opens up significantly once fulfillment, storage, and advertising are added.

1: Monthly and Subscription Fees

Amazon charges a Professional Seller subscription fee of $39.99 per month regardless of sales volume. The individual plan is $0.99 per item for sellers moving fewer than 40 items monthly. Walmart has no monthly subscription fee. Sellers pay only referral fees on completed sales.

2: Referral Fees

Both platforms charge category-based referral fees. Amazon referral fees typically range from 8 to 15 percent, with certain categories reaching 20 percent or higher (Amazon Devices at 45 percent, media items at similar high tiers). Walmart referral fees range from 6 to 20 percent depending on category, with some tiering based on price level.

For most standard consumer product categories, the two platforms charge similar referral percentages, but the underlying fee schedule details vary.

3: Fulfillment Fees (FBA vs. WFS)

Amazon FBA fulfillment fees vary by product size and weight, with a $3.5 percent fuel and logistics surcharge added in April 2026 on top of a January 2026 fee increase. WFS fulfillment fees are also weight- and size-based and are generally competitive with FBA, though WFS caps package weight at 30 pounds versus Amazon’s 150-pound limit.

4: Storage Fees

Amazon monthly storage fees are approximately $0.83 per cubic foot for most of the year, rising to $2.40 per cubic foot during Q4. Long-term storage fees add $6.90 per cubic foot for inventory stored beyond 365 days.

Walmart monthly storage fees are approximately $0.75 per cubic foot, with an additional $1.50 charge during Q4 for products stored over 30 days. Long-term storage fees are $7.50 per cubic foot after 12 months.

5: Total Take Rate: The Number Most Sellers Underestimate

The total take rate is every dollar the platform collects divided by your gross revenue, including referral fee, fulfillment, storage, advertising, and subscription. Published industry estimates put Amazon between 37 and 51 percent and Walmart between 20 and 32 percent for comparable catalogs.

This gap between the two platforms is the single most important number in any selling on Amazon vs Walmart analysis. On the same product with the same margin profile, Walmart typically leaves more profit in your pocket.

Fulfillment and Logistics Compared

Fast, reliable delivery drives visibility and conversion on both platforms. The right setup depends on your catalog, cash flow, and how much control you want over logistics.

1: Fulfilled by Amazon (FBA)

FBA is Amazon’s flagship fulfillment service. Sellers ship inventory to Amazon’s network of 175+ fulfillment centers globally, and Amazon handles picking, packing, shipping, customer service, and returns processing. FBA-fulfilled products qualify for the Prime badge, which significantly improves visibility and conversion rate. FBA is also the largest and most operationally mature fulfillment network in ecommerce.

The tradeoff is cost and complexity. FBA fees are meaningfully higher than WFS in many categories once storage, long-term storage, and returns processing are included. FBA also enforces strict inventory management rules, packaging requirements, and receiving standards. Staying ahead of these requires consistent Amazon FBA inventory management, particularly around receiving compliance and storage limits.

2: Walmart Fulfillment Services (WFS)

WFS operates on the same underlying principle as FBA: send inventory to Walmart’s fulfillment network, and Walmart handles the rest. WFS gives sellers access to a two-day delivery badge and native customer service, and integrates directly with the Walmart Marketplace listing infrastructure.

WFS is currently US-only and caps package weight at 30 pounds, meaningfully less than FBA’s 150-pound limit. WFS is also newer than FBA and approval is required, meaning not every seller qualifies immediately.

What Do I Need to Get Started on Each Platform? 

Getting started on Amazon and Walmart involves meaningfully different requirements and timelines.

Amazon Requirements

Amazon’s onboarding is relatively open to new sellers. Setup requires:

• Personal or business identification (ID verification through Amazon’s verification process)
• Bank account and credit card
• Tax information (US sellers: SSN or EIN; international sellers: tax documentation appropriate to their jurisdiction)
• Business registration is not strictly required for individual sellers, though Professional accounts recommend it

Most sellers can complete Amazon registration and begin listing within 1 to 3 days.

Walmart Requirements

Walmart Marketplace’s approval process is more selective and enforces higher entry standards:

• US-registered business with valid tax ID (EIN)
• Proof of prior ecommerce selling history (typically documented sales history from another marketplace or ecommerce platform)
• Product identifiers (GTIN/UPCs for all listings)
• Compliance documentation for regulated categories
• Ability to demonstrate reliable US-based fulfillment

Approval typically takes 1 to 4 weeks and is not guaranteed. Sellers without a US entity or without demonstrated ecommerce history often face rejection or require reapplication after building history elsewhere.

Which Products Sell Best on Each Marketplace? 

The two platforms attract different types of shoppers, and product-marketplace fit meaningfully affects your outcomes. Testing SKUs on both platforms is often the best way to identify where each product performs.

Best Categories for Amazon

Amazon shoppers are Prime-loyal, convenience-driven, and generally willing to pay slightly higher prices for fast delivery and product breadth. Categories that consistently perform well on Amazon include:

• Consumer electronics and tech accessories
• Home goods and furniture
• Private-label beauty and wellness
• Health and personal care
• Books, media, and content-adjacent products
• Kitchen and cookware
• Fashion and accessories with strong brand identity

Amazon is generally the better platform for premium, branded, or globally sold products where scale and buyer variety matter more than fee efficiency.

Best Categories for Walmart

Walmart shoppers are typically more value-conscious, deal-seeking, and heavily focused on essentials and household goods. Categories that consistently perform well on Walmart include:

• Grocery and consumables
• Baby, kids, and family essentials
• Pet supplies
• Household and cleaning goods
• Toys and seasonal products
• Home improvement and outdoor essentials
• Value-focused apparel and family basics

Walmart is generally the better platform for essentials, mid-price consumer goods, and products where fee efficiency and lower CPC allow better margin protection.

Buyer Demographics Compared

Amazon shoppers are more likely to make impulse purchases based on Prime convenience and skew toward higher-frequency online buyers who value review depth and product variety. Walmart shoppers make more planned purchases, respond strongly to competitive pricing, and often use in-store pickup for a portion of their orders. This blended online-and-offline shopping behavior is unique to Walmart’s marketplace and represents a customer segment Amazon largely cannot reach.

Advertising on Amazon vs Walmart

Advertising strategy and cost efficiency differ significantly between the two platforms.

Amazon Ads

Amazon offers the most mature advertising ecosystem in e-commerce. Sponsored Products, Sponsored Brands, Sponsored Display, and Amazon DSP together provide targeting depth and format variety that no other marketplace matches. Amazon Marketing Cloud enables sophisticated audience segmentation and attribution analysis for advanced advertisers.

The tradeoff is cost. CPCs on Amazon have risen year over year in nearly every competitive category, and many sellers now spend 20 to 40 percent of revenue on advertising just to maintain visibility. New sellers face particularly steep bid pressure because Amazon’s algorithm favors listings with existing conversion history. 

Walmart Connect

Walmart Connect is Walmart’s advertising platform, offering Sponsored Products, Sponsored Brands, Sponsored Videos, and other placement types across Walmart.com and connected platforms. CPCs on Walmart Connect are typically 30 to 50 percent lower than equivalent CPCs on Amazon, particularly for new sellers and smaller categories.

The platform is growing rapidly (Walmart’s ad business grew 37 percent in the quarter ending April 2026) but does not yet match Amazon’s depth of formats, audience targeting, or reporting capabilities. For sellers whose primary need is efficient acquisition, Walmart Connect frequently delivers better ROAS than Amazon Ads for equivalent products.

Advertising Comparison

Should You Sell on Both? Multi-Marketplace Strategy

For most established sellers, the honest answer to sell on Walmart vs Amazon is “both.” Neither platform alone is optimal for a scaling business in 2026.

Why Diversification Matters in 2026

Relying on a single marketplace creates concentration risk. Amazon fee increases, algorithm shifts, or category-specific competitive changes can meaningfully affect revenue overnight for single-marketplace sellers. In April 2026 alone, Amazon added a 3.5 percent fuel and logistics surcharge on top of a January fee increase and changes to seller payment timing. Sellers with revenue distributed across multiple marketplaces have structural protection against any single-platform disruption.

Beyond risk management, multi-marketplace selling opens genuinely incremental revenue. Roughly 30 to 40 percent of US households strongly prefer shopping on Walmart over Amazon, meaning a significant share of potential customers cannot be reached through Amazon regardless of advertising spend. Selling only on Amazon actively ignores this segment.

When to Add Walmart to Your Amazon Business

Not every Amazon seller is ready to open Walmart on day one. The right time to expand is when:

• Your Amazon operations run without daily crisis intervention: Adding a second marketplace multiplies operational load. A stable Amazon foundation is essential.
• You have documented processes and team bandwidth or an agency partner to handle the launch: Walmart requires 60 to 90 days of active management to reach steady-state operation.
• Your product category has clear demand on Walmart: Confirm this by searching your primary keywords on Walmart.com and reviewing the top-ranking listings for category depth.
• You meet Walmart’s approval requirements: US entity, tax ID, and demonstrated ecommerce history are non-negotiable for Walmart approval.

For established Amazon sellers doing $50,000 per month or more in monthly revenue with a stable operation, Walmart is typically worth testing. The lower competition density and better take rate can produce meaningful incremental profit within the first six months.

Bottom Line: Which Platform Is Better for You? 

There is no universal winner between selling on Amazon vs Walmart. The right choice depends on your specific product, business stage, and margin profile.

Choose Amazon if:

• You need global reach and mature seller infrastructure
• You sell premium, branded, or globally distributed products
• You have the operational capacity to compete in a saturated marketplace
• You are willing to invest in advertising to build initial visibility

Choose Walmart if:

• You have a US-registered business and US-focused operation
• You sell essentials, family products, or value-focused goods
• Margin protection matters more than raw revenue volume
• You are new to marketplace selling and want a less competitive environment
• You want to serve the significant share of US households who prefer Walmart

Choose both if:

• You have an established, stable operation on your primary marketplace
• You want to reduce single-platform concentration risk
• You have the bandwidth or partner support to manage two marketplaces effectively
• Your product category has demand on both platforms

Comparison Table

Conclusion

The choice between selling on Walmart vs Amazon in 2026 is not really a choice between two competing options. It is a choice about which platform fits your current business stage and which combination of platforms best supports your long-term growth.

Amazon remains the largest, most mature marketplace with the broadest reach and deepest seller tools. Walmart offers lower fees, less competition, and a genuinely different buyer base that Amazon cannot reach. The sellers who scale most efficiently in 2026 are the ones who match their product and stage to the right platform, then expand to the second platform once their operations are ready to support both.

If you want a partner who can help you evaluate which marketplace fits your specific brand and manage your Amazon or multi-marketplace advertising strategy as an integrated growth system, AMZDUDES, a full service Amazon agency, can help. Our Amazon Marketplace Management Services support sellers across Amazon and Walmart with the same connected approach: PPC, listing quality, and customer data working together to compound growth over time.

Book a free consultation today!

Frequently Asked Questions 

Is it better to sell on Walmart or Amazon in 2026?
There is no single better platform. Amazon offers unmatched global scale and mature seller tools but comes with higher fees, intense competition, and rising advertising costs. Walmart offers lower fees, less competition, and access to a meaningfully different buyer demographic, but with a smaller total market and stricter onboarding requirements. Most established sellers benefit from operating on both platforms rather than choosing one.

How much does it cost to sell on Amazon vs Walmart?
Amazon charges a $39.99 monthly Professional Seller subscription plus 8 to 15 percent referral fees on most categories, along with FBA fulfillment, storage, and advertising costs. Walmart has no monthly subscription fee and charges 6 to 20 percent referral fees plus WFS fulfillment and storage where applicable. Total take rate typically runs 37 to 51 percent on Amazon and 20 to 32 percent on Walmart for comparable catalogs.

Can I sell the same products on both Amazon and Walmart?
Yes, and many sellers do. Selling the same products across both platforms is a legitimate multi-marketplace strategy that diversifies revenue and reduces platform concentration risk. Just be aware that both platforms have pricing consistency policies. Amazon’s fair pricing rules and Walmart’s competitive pricing rules can both affect Buy Box eligibility if the same product is priced significantly differently across platforms.

Is it harder to get approved for Walmart than Amazon?
Yes. Walmart’s approval process is meaningfully more selective. Amazon accepts most new sellers within 1 to 3 days with basic identification and payment setup. Walmart typically requires 1 to 4 weeks of review and requires a US-registered business, valid tax ID, proof of prior ecommerce selling history, and compliant product data. Sellers without a US entity or ecommerce track record often face rejection or need to build history elsewhere before Walmart approves them.

Which marketplace has lower advertising costs?
Walmart Connect typically has lower CPCs than Amazon Ads, often 30 to 50 percent lower for equivalent categories. Amazon’s advertising platform is more mature and offers deeper targeting, but this comes with significantly higher auction pressure and CPCs that have risen year over year in most competitive categories. For cost-efficient acquisition, particularly for newer sellers, Walmart Connect frequently produces better ROAS than Amazon Ads.

Do I need FBA to sell on Amazon or WFS to sell on Walmart?
No. Both platforms accept seller-fulfilled orders. On Amazon, this is called Fulfilled by Merchant (FBM), and sellers can also apply for Seller-Fulfilled Prime to get the Prime badge without using FBA. On Walmart, sellers can ship from their own warehouses without using WFS. That said, FBA and WFS provide significant benefits including Prime/two-day delivery badges and native customer service, both of which directly improve conversion rate and visibility on their respective platforms.

Which marketplace is better for new sellers?
For sellers without a US business entity or ecommerce history, Amazon is significantly more accessible. For US-based sellers with some ecommerce experience, Walmart’s lower competition and better fee structure can produce a faster path to profitable operation, though the approval process takes longer upfront. New sellers with US operations and prior ecommerce sales history often benefit from starting on Walmart to build a foundation before expanding to Amazon’s more competitive environment.