Can You Dropship on Walmart Marketplace? The Ultimate Guide for a Killer Side Hustle
Hold the phone, buttercup! You wanna tap into the behemoth that is Walmart, but you're not trying to stockpile a garage full of inventory like some kind of shopping spree champion? You're asking the real question: Can a dropshipping legend like you rock the Walmart Marketplace? The answer, my friend, is a resounding heck yeah, but you gotta play by the rules, 'cause Walmart ain't playing games. We're talking about becoming a certified Third-Party Seller on their turf. This ain't about buying a single toothbrush from Walmart and shipping it to your eBay customer—that's a big-time no-go and will get your account tossed in the digital trash can. We're talking about partnering with legit, high-quality third-party suppliers who ship directly to the customer, with your name on the packing slip. Get ready to dive deep, because we're about to lay out the blueprint for making some serious dough on the biggest big-box retailer's online platform. This is your chance to snag a slice of that glorious, multi-billion-dollar pie!
Step 1: Laying the Foundation – Gotta Get Legit
Before you even think about listing a single doodad, you need to prove you're not some fly-by-night operation. Walmart’s bar is high—they want established, professional sellers.
1.1 Lock Down Your Business Deets
This is the boring part, but man, is it essential. Walmart is not looking for casual sellers doing a little weekend hustle. They want the real deal.
Business Entity: You need a registered business structure. Forget that "sole proprietor" jazz. You're aiming for an LLC or Corporation. Get your paperwork sorted.
Tax ID: You absolutely, positively need a Business Tax ID (EIN). A Social Security Number (SSN) for your business won't cut it. Get that Employer Identification Number from the IRS. It’s non-negotiable.
Physical Address: Gotta have a valid business address in the U.S.
Banking: Set up a dedicated U.S. Business Bank Account. Keep your personal funds and business funds separate, folks! This is where you connect payment providers like Payoneer or Hyperwallet—Walmart's preferred cash-out partners.
1.2 Prove You're Not a Rookie
This is where many new dropshippers trip up. Walmart wants to see a documented history of e-commerce success.
Got an existing Shopify store that’s doing numbers? Show 'em!
Been killing it on Amazon or eBay for a year or two? Prove it!
They need to know you can handle volume, shipping standards, and not leave their customers hanging. If you're starting from scratch, you might want to establish a successful storefront elsewhere first, then come back to the big leagues. It's a tough crowd!
QuickTip: Don’t rush through examples.
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Step 2: The Walmart Marketplace Application – Show and Tell
Alright, you've got your ducks in a row. Time to formally request an invite to the party. Head over to the Walmart Marketplace Seller Center and prepare for a serious application process.
2.1 The Gauntlet of Documentation
It’s like filling out paperwork for a mortgage, but for selling fidget spinners. You’ll be asked for:
Legal Business Name and Address (See Step 1.1)
U.S. Business Tax ID (EIN)
W-8 or W-9 Form (Tax classification)
Primary Product Categories: You need to tell them exactly what you plan to sling. Don't go overboard; pick a niche and stick to it initially.
Integration Method: How are you going to upload your massive catalog and manage orders? Are you using a Solution Provider (like an e-commerce platform integration) or their API? Hint: a Solution Provider is way easier.
2.2 Product Catalog Requirements – No Sketchy Stuff
Your product catalog must be clean as a whistle. Every item needs:
GTIN/UPC GS1 Company Prefix Numbers: These are your Global Trade Item Numbers. You can't just make them up; they have to be legit, registered identifiers. If your supplier doesn't have these, find a new supplier. Walmart has zero tolerance for "No-Name" inventory.
Compliance: You must review their Prohibited Products Policy. Skip the gray area. No sketchy supplements, firearms, or anything that screams "lawsuit." Keep it super AdSense friendly and above board. We are talking bedding, kitchen gadgets, baby stuff—the good, clean fun!
Pro-Tip: The application review process can feel like waiting for a text back from a crush—it takes time, sometimes weeks. Be patient, and make sure your initial application is perfect. A rejection means a major delay.
Step 3: Onboarding and Integration – Syncing Your Sweet Setup
Congrats, you got the invite! Now it’s time to sync your e-commerce brain with Walmart’s gigantic digital nervous system.
Tip: Avoid distractions — stay in the post.
3.1 Seller Center Setup – The Digital Hub
You'll get access to the Seller Center. This is your mission control.
Agree to the Retailer Agreement: Read it, initial it, know it. This is your dropshipping Bible on Walmart's platform.
Payment Setup: Link that Payoneer or Hyperwallet account. You want to get paid, right?
Shipping Configuration: This is CRITICAL for dropshippers. You must provide a U.S. Returns Address and specify your shipping methods (Standard, Expedited, etc.) and transit times. Your dropshipping supplier must be able to meet Walmart's stringent requirements, especially the 99%+ On-Time Shipment Rate and 99%+ Valid Tracking Rate. If your supplier is slow, you're sunk. Find a supplier who is shipping out in 24-48 hours, tops.
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3.2 Listing Your Products – Quality Over Quantity (Initially)
Don't dump your entire 50,000-item catalog at once. Start small, test the waters, and ensure your listings are primo.
Product Listings: Use the chosen integration method (like a Connector App or API) to upload your catalog. Ensure all product data—images, descriptions, and pricing—is accurate.
SEO is Your Buddy: Use punchy, keyword-rich titles that follow Walmart’s guidelines (no special characters, no promotional fluff). Highlight benefits in your bullet points. Use multiple high-resolution images to show off your awesome items.
Remember: Walmart is customer-obsessed. They want a seamless experience. If your dropshipped products look cheap or your descriptions are janky, you'll get crushed.
Step 4: Fulfillment and Customer Service – The Dropshipping Grind
The orders are rolling in! Awesome! This is where the dropshipping rubber meets the road. Your job now is pure execution.
4.1 Order Acknowledgment and Shipping
Tip: Revisit challenging parts.
When an order hits your Seller Center, you need to acknowledge it fast.
Notify Your Supplier: Your system should automatically, or manually if you're a glutton for punishment, send the order details to your pre-vetted dropshipping supplier.
Get That Tracking Number: The supplier must provide tracking immediately upon shipment. You upload this to the Seller Center. Valid tracking is everything!
Speed Kills (the competition): Walmart shoppers expect quick shipping. If you promised "Standard 3-5 Day Shipping," you better deliver. If you can swing Two-Day Shipping, you'll get a boost in the coveted "Buy Box."
4.2 The Customer Service Game – Be a Total Pro
You are the front line. You are responsible for every customer interaction.
Quick Responses: Sellers must respond to customer inquiries within two business days. A real pro aims for hours, not days.
Handle Returns: This is the dropshipping Achilles' heel. You must offer a U.S. Return Address and handle the return process smoothly. Even though the supplier might deal with the actual warehouse processing, you are responsible for the customer refund and communication. Be generous with refunds. It keeps your metrics high and Walmart happy.
4.3 Keep Your Scorecard Sparkling
Walmart tracks your performance like a hawk. Your seller metrics must be stellar:
Order Defect Rate (ODR): Should be less than 2%. This includes negative feedback, cancelled orders, and chargebacks.
On-Time Shipment Rate: Should be greater than 99%. Seriously.
Valid Tracking Rate: Should be greater than 99%.
If your numbers tank, you’re outta there. Poof. Suspension. Maintaining this level of service with a dropshipping model is the single biggest challenge, which is why a rock-solid supplier is your key to the castle.
FAQ Questions and Answers
How to Find a Reliable Dropshipping Supplier for Walmart?
QuickTip: Let each idea sink in before moving on.
Look for suppliers with a proven track record, fast U.S. shipping and warehousing, a clear returns process, and the ability to provide those essential GTIN/UPC numbers. Trade shows, specialized B2B dropshipping platforms, or directly contacting manufacturers are good starting points. Avoid overseas suppliers who can't meet the strict shipping speed demands.
How to Get Approved as a New Seller Without a Long Sales History?
Honestly, it's tough. Walmart prefers established businesses. Your best bet is to spend 3-6 months crushing it on another major marketplace (like Amazon or eBay) to build up that documented sales history and then apply with strong performance metrics.
How Much are the Fees to Dropship on Walmart Marketplace?
There are generally no monthly subscription or setup fees. You pay a referral fee (a commission) on each item sold, which typically ranges from 8% to 20% depending on the product category. Always factor this into your product pricing to ensure you are profitable.
How to Compete for the Walmart "Buy Box" as a Dropshipper?
The Buy Box is gold. To win it, you need the most competitive price, the fastest shipping option (like free 2-Day Shipping), and excellent seller performance metrics (low ODR, high tracking rate). Pricing competitively and offering expedited fulfillment are your biggest levers.
How to Handle a Product Return When Dropshipping on Walmart?
You must provide the customer with a U.S. return shipping label and a U.S. physical return address. Once the item is returned, you process the refund quickly via the Seller Center. You then coordinate with your dropshipping supplier about the returned inventory. The goal is to make the customer's life easy, even if it means eating a small cost to maintain your amazing seller standing.
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