Walmart offers free warehousing to compete with Amazon

For cross-border sellers, warehousing is a very important part. After solving this problem, small sellers will save a lot of effort. Major e-commerce platforms have also begun to join the ranks of providing warehousing. After Amazon FBA, Walmart launched its own warehousing service WFS in February 2020.

Walmart's report shows that WFS has achieved significant growth since its launch. In 2021, the US GMV completed through WFS increased by 500%, and the sales of sellers using the service also increased by an average of 50%. Walmart expects to usher in stronger growth in the future.

In order to attract more third-party sellers and enhance their competitiveness in the market, Walmart launched a promotion on the second anniversary of the launch of WFS. The beneficiaries are new sellers registered from February 21 to April 30, 2022, and at least one product must be warehoused during this period. These sellers can enjoy free storage for the first 90 days and a 10% fulfillment discount.

But be aware that the 90-day discount period starts on the first day you receive the product and only applies to the first 10,000 units.

After using the WFS service, the packages will be unified into Walmart's delivery style. Walmart said that this will help build credibility among customers and further improve trust and transparency.

Warehousing and logistics have become an important layout for many e-commerce platforms. It is reported that in the fourth quarter of 2021, 56% of Amazon's sales came from sellers including FBA orders. In addition, eBay also cooperated with Orange Connex to expand its global fulfillment services.

Compared with e-commerce giants such as Amazon, the number of Walmart's online sellers is still relatively small. For this reason, Walmart is also constantly launching various services. For example, last year's preferred carrier program saved participating sellers inbound transportation costs. Driven by various measures, WFS's retention rate exceeded 90%.

Recent reports show that Walmart's sales grew 5.6% in the fourth quarter and 6.4% for the full year. This promotion will also attract more new sellers to a certain extent.

Walmart

Warehousing

Seller