Imagine a marketplace that has grown exponentially in the past few years, pulling in tens of thousands of new sellers monthly. Now picture this growth happening on the platform of one of the world’s largest retail giants: Walmart. As the ecommerce landscape continues to evolve, Walmart’s marketplace has become one of the most profitable opportunities for dropshippers in 2025.
So, if this is something you’re interested in, then read on for more about the incredible growth of Walmart’s online marketplace, why it’s a game-changer for dropshippers, and some actionable insights to help you capitalize on this exciting platform.
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Walmart’s marketplace: a rapidly growing ecosystem
Walmart Marketplace has seen unprecedented growth. According to Marketplace Pulse, it doubled its size in just 18 months, reaching over 100,000 active sellers. But it’s not just the numbers that are impressive, it’s the quality of integration within Walmart’s ecosystem.
Initially, the marketplace welcomed international sellers, particularly from China. But recent trends show a shift, with more US-based sellers joining the platform. This reflects Walmart’s strategic focus on creating a robust ecosystem that integrates its online marketplace with Walmart Fulfillment Services (WFS), enabling sellers to manage inventory and shipping seamlessly.
What makes Walmart’s approach unique is the blend of its online and offline resources. For example, sellers using WFS benefit from features like the ability to pack items from Walmart retail and marketplace in the same shipment. This integration is not just about growing the platform; it’s about optimizing it for quality and customer satisfaction.
The basics of Walmart dropshipping
What is dropshipping?
Dropshipping is a simple yet powerful ecommerce model where sellers don’t stock inventory. Instead, they list products, purchase them from suppliers only after making a sale, and the supplier ships the product directly to the customer. It’s a low-risk model with minimal overhead costs.
How does Walmart fit into dropshipping?
Dropshipping on Walmart operates similarly, but the platform provides unique opportunities. Sellers can leverage Walmart’s massive customer base, brand trust, and advanced logistics. Walmart offers three main ways to dropship:
- Drop Ship Vendor (DSV): Sellers act as suppliers, shipping products directly to customers when they make a purchase. This model requires compliance with Walmart’s stringent guidelines.
- Reselling Walmart products: This involves buying products from Walmart and shipping them to your customers. While it’s an option, it’s not the safest or most recommended strategy.
- Marketplace dropshipping: The most popular option for dropshippers, involves listing products from your suppliers on Walmart’s marketplace. You benefit from Walmart’s reach while using your own suppliers to fulfill orders.
Why choose Walmart for dropshipping in 2025?
1. Low overhead costs
Walmart doesn’t charge sellers to list products. Instead, it takes a referral fee only when a sale is made. This low-risk structure allows sellers to invest more in marketing and product research.
2. Fast shipping options
Walmart’s logistics network ensures speedy deliveries, often with next-day shipping. This competitive edge enhances customer satisfaction and increases the likelihood of repeat purchases.
3. Diverse product range
Walmart Marketplace features over 35 categories, from fashion to electronics to home goods. This variety allows dropshippers to explore different niches and find products that resonate with their target audience.
4. Growing customer base
In 2023, Walmart was in the 2nd place among online retailers in the United States with around 6.4% of the ecommerce market share and Walmart’s global net sales reached $642.6 billion, an increase of approximately 6% in comparison to a year earlier. Projections indicate this figure will grow to 7.1% in 2025. This steady growth represents a massive opportunity for dropshippers.
How to start dropshipping on Walmart
Step 1: Find reliable suppliers
So, let’s say you’ve decided to start dropshipping on Walmart. The first action is finding your suppliers, the backbone of your dropshipping business. Platforms like AppScenic are like compasses guiding you to reputable dropshipping suppliers across various niches, be it fashion, home and garden, or toys and games.
When choosing your suppliers, it’s crucial to ensure they have warehouses and fulfillment centers in the US for faster shipping. Moreover, consider their customer service and knowledge of the products they sell. And don’t forget to ask for a sample to assess the quality of the merchandise you’re going to dropship.
Read more: How to Identify a Reliable Supplier for Your Dropshipping Niche
Step 2: Register on Walmart Marketplace
Now, once you have your suppliers, it’s time to navigate to the Walmart Marketplace page and fill out the ‘Request to Sell’ form. Provide your business tax ID, address, and planned catalog integration methods. Once approved by Walmart, complete the onboarding process by submitting the required documents, such as tax forms and shipping information.
Step 3: Fulfill orders
Fulfilling orders on Walmart offers options like standard and 2-day shipping. Unless your suppliers are US-based and offer fast nationwide shipping, it’s wise to stick to standard shipping.
Of course, you can also consider using Walmart Fulfillment Services (WFS) or partners like Deliverr for faster delivery and better customer satisfaction.
Strategies for success on Walmart
1. Optimize listings
Having a well-mapped strategy is key, so start by optimizing your product listings. Be specific with product names, utilize relevant keywords, and employ high-quality, professional-looking photos to portray your products in the best light.
Remember, it’s about showcasing your products’ unique features and appeal.
2. Focus on pricing
Then, make sure you research your competitors and set competitive prices. Walmart’s pricing guidelines emphasize affordability, so, it’s about striking a balance between competitive pricing and maintaining a strong inventory strategy.
3. Deliver exceptional customer service
Provide timely updates, accurate tracking information, and prompt responses to customer inquiries. Positive reviews and strong seller metrics will boost your visibility on the platform.
4. Meet Walmart’s performance standards
Maintain a low order defect rate (below 2%) and a high on-time shipment rate (above 99%). Meeting these benchmarks ensures your store remains in good standing.
Challenges and solutions
Competitive marketplace
Walmart’s marketplace is highly competitive, with numerous sellers competing for customer attention. The market is saturated, and earning customer loyalty can be challenging amidst the intense competition. However, with the right strategies, your store can stand out and attract more customers.
Pricing rules
Walmart has specific guidelines, particularly around pricing. They aim to offer the lowest prices possible to their customers, making it a challenging environment for sellers. Navigating this requires precision and knowledge to ensure your business remains profitable.
Strategies for overcoming challenges
To overcome these challenges, focus on what makes your business stand out. Differentiate your offerings, add value wherever possible, and ensure customer satisfaction.
It’s about being the seller that provides not just a product but a whole positive experience, a seller that customers choose time and again for the unique and pleasant service it provides.
Conclusion: The potential of dropshipping on Walmart
Walmart’s marketplace represents a unique and profitable opportunity for dropshippers in 2025 and beyond. With its growing customer base, integrated ecosystem, and low overhead costs, it’s a platform that promises substantial rewards for those willing to put in the effort.
Whether you’re a seasoned seller or new to dropshipping, Walmart’s marketplace offers the tools and resources needed to succeed. By leveraging its advantages and adopting strategic practices, you can navigate this amazing marketplace and gain long-term growth.
So, are you ready to explore the possibilities?
