SHOPIFY AND WALMART TEAM UP AS NEW PARTNERSHIP DETAILS EMERGE
It’s no secret that Shopify has had a mission to take on Amazon’s wide net over the eCommerce stratosphere and this week, they’ve gotten one step closer to that goal with the announcement of a new partnership with giant retailer Walmart. It was released yesterday that Shopify merchants will now be able to sell their products on Walmart.com through Shopify’s platform.
This is the first time Walmart’s corporation has ever participated in a collaboration with an eCommerce platform, allowing Shopify merchants the opportunity to drive their own sales through the massive retailer’s marketplace.
More than 120 Million Americans visit Walmart.com every month and the number might grow even stronger as small and medium businesses will get the opportunity to get their products onto a marketplace with so much traffic as Walmart’s. The profitability that small and medium businesses might garner from using a multi-channel platform like Shopify combined with Walmart’s surging consumer list is incredibly smart as merchants will get their products in front of a whole new customer base, who already trust Walmart’s site. It is said that 1,200 Shopify merchants are expected to be able to sell through the Walmart marketplace by the end of 2020.
According to Statista, Walmart is leading the chart as the largest retailer in the world with a $527.8 billion in sales this year, charging ahead of its competitor Amazon’s $268.2 billion in forecast sales. Aligning itself with Shopify, the world's largest omnichannel retailer, Walmart might just go head to head with Amazon. "If you have a common enemy then the idea of forming an alliance to try to counteract your common enemy makes a lot of sense," said David Soberman, a University of Toronto marketing professor.
Walmart’s statement, announcing this new partnership, was made by Jeff Clementz, the Vice President of Walmart ‘s Marketplace and he said the following: “We’re excited to be able offer customers an expanded assortment while also giving small businesses access to the surging traffic on Walmart.com. Shopify powers a dynamic portfolio of third-party sellers who are interested in growing their business through new, trusted channels. This integration will allow approved Shopify sellers to seamlessly list their items on Walmart.com, which gives Walmart customers access to a broader assortment.”
“At Shopify, we’re focused on helping entrepreneurs go from just an idea to becoming thriving, scalable businesses. By partnering with Walmart, we will be able to connect merchants with consumers across America within a trusted marketplace, helping merchants drive new sales while consumers discover new products they’ll love,” said Satish Kanwar, Vice President of Product at Shopify.
This is a new channel available to US Shopify merchants only but is available to sign up for right away from the Shopify’s app store directly. How is Walmart different from other sales channels offered by Shopify? How are you eligible to sell on there? Read on to learn more.
According to Shopify, merchants will be able to manage their inventory and orders from within Shopify as it will automatically keep products synced with Walmart.com and merchants can do all of their daily business needs right from their Shopify Admin. Shopify’s Walmart channel will also allow merchants to add and manage product information in bulk, all from one place, when connecting to Walmart.com. This can save merchants time and effort when listing many different products and product variants. Unlike other marketplaces, Walmart Sellers don’t pay any fees to list their products on Walmart.com. They’ll only pay referral fees when they make sales.
This new integration does have some eligibility requirements such as:
- US Business Tax ID (EIN) and Form W-9
- A history of marketplace or eCommerce success
- A track-record of first-class customer service and storefronts meeting the Walmart Seller Performance Standards.
As far as what products you’ll be able to sell on Walmart.com through your Shopify Admin, approved Walmart Marketplace products should meet these minimum product requirements:
- Have GTIN/UPC GS1 Company Prefix Number
- Offer competitive pricing
- Be fulfilled from a B2C US warehouse with a returns capability
- Comply with Walmart Prohibited Products Policy
Shopify merchants in the U.S. can apply to join the Walmart sales channel here.