EP333: Why Most Amazon Sellers Are Sleeping on Walmart Marketplace Right Now

This is the High Voltage Business Builders Podcast, daily intelligence for serious e-commerce portfolio builders across Amazon, TikTok Shop, Shopify, Walmart, and every channel that moves the needle. Neil Twa and his Voltage team, all day, every day since 2012. Let's get into it.

Quick question: why are you still treating Walmart Marketplace like a rumor. Because right now, while most Amazon operators are staring at the same crowded listings, fighting the same competitors, paying the same fees, Walmart is quietly building something that rewards the operators who show up early. And almost nobody in your circle is talking about it seriously. Here's what I'm breaking down today: what Walmart's evolution actually means for your brand, why the timing matters more than most people admit, And the three moves I'd make right now if I were starting a second channel from scratch. So, I'm going through this news piece on the evolution of Walmart Marketplace, and here's what jumped out at me immediately: The conversation is still framed as Walmart versus Amazon. That framing is wrong, and it's costing operators real money. Walmart Marketplace is not trying to beat Amazon; it's doing something smarter. It's using 60+ years of physical retail trust, a customer base that already shops Walmart weekly, and a logistics network that most third-party platforms would kill for. That combination is not a competitor to Amazon; it's a completely different asset class for your brand. Here's the part most sellers miss: Walmart's online marketplace traffic has been growing for years, and the seller competition on that platform is a fraction of what you face on Amazon. I'm talking about categories where you'd be one of 10 to 20 sellers instead of one of 300. That is not a small difference. That is a margin and visibility difference that compounds over time. I have brands in our portfolio that I look at through Cayman data every morning, and the pattern I keep seeing is this: the brands that diversified to Walmart 12 to 18 months ago are now pulling meaningful revenue from that second channel with a fraction of the ad spend pressure. They are not abandoning Amazon; they are building a real asset that does not depend on a single platform's algorithm or fee structure. That is the almost automated income model in action. You are not chasing trends; you are building income-producing assets across channels that work while you are not watching them every hour. The operators sleeping on Walmart right now are making the same mistake I see people make with new SKUs. They wait for perfect information. They wait until the channel is proven. By the time it's proven, the easy wins are gone and the fees have normalized upward. That's just how marketplaces work. Amazon in 2015 was an opportunity. Amazon in 2025 is a cost center if you're not running it right. Walmart right now has lower referral fees in many categories than Amazon. The sponsored product competition is lighter, and Walmart Fulfillment Services, their version of FBA, is maturing fast. The window is open. It will not stay open forever. Let me tell you what I watched happen with one of our community members. She had a home goods brand doing around $40,000 a month on Amazon. Solid margins, good reviews, But she was watching her Amazon ad spend climb quarter over quarter while her net was flat. Classic margin squeeze. She came into our community asking whether Walmart was worth the setup headache. My answer was blunt: the setup takes a weekend, the regret of not doing it takes years. She listed her top 6 SKUs on Walmart Marketplace. Same product, same photography, same basic listing structure she already had, She connected Walmart Fulfillment Services so she was not managing 2 separate inventory pools manually. 3 months in, she's doing about $8,000 a month on Walmart. Not transformational by itself, but here's what matters: her Amazon Ads cost of sale on those same SKUs dropped because her organic rank improved when total unit velocity increased across both platforms. She was moving more units total, And Amazon's algorithm noticed. 6 months in, her Walmart revenue hit $15,000 a month. Her combined business is now doing $55,000 a month with a better blended margin than she had at $40,000 on Amazon alone. The Walmart channel required almost no incremental ad spend to get there.

Why?

Because she was not fighting 250 competitors for the Buy Box. She was one of 12 sellers in her subcategory. She had breathing room. That is what early positioning looks like. That is why I keep telling operators, especially the ones doing $20,000 to $80,000 a month on Amazon, that Walmart is not a distraction. It is a hedge and an accelerant at the same time. And yeah, she still homeschools her kids. She still coaches her daughter's soccer team on Saturdays. The second channel did not add a second job. It added a second revenue stream that mostly runs without her. That's the whole point.

While saving 17 hours a week doing it? That's exactly what we built Voltage Business Builders for. It combines the power of experience and being in the right room with the power of AI to compress time and increase your business profits. More than AI for the sake of using AI. It's a room full of senior sellers with over 15 years in e-com. Showing you the ropes of AI, business building, and creating generational wealth through business. Visit voltage dm.com to see what's inside the Voltage Business Builders Room.

3 moves, real ones, not theory. Move 1, audit your top 10 Amazon SKUs for Walmart eligibility this week, not next month, this week. Look at your sell-through rate, your review count, and your category. If you have SKUs with over 50 reviews and a proven conversion rate on Amazon, Those are your Walmart launch candidates. You already know these products work. You are just putting them in a room with less competition. This is boring work. It is also where the money is. Move 2: Connect Walmart Fulfillment Services before you overthink your logistics. I hear operators say they want to figure out the inventory strategy first. Come on, use WFS. Let Walmart handle the pick, pack, and ship. Yes, there are fees. Run the math against your current fulfillment cost and your Amazon FBA fees in the same category. In many cases, the WFS fees are comparable or lower, and the Buy Box advantage from using WFS on Walmart is real. Do not let perfect logistics planning stop you from getting your first Walmart unit sold. Move 3: Treat your Walmart listing like a launch, not a copy-paste. I know you are tempted to export your Amazon listing and drop it in. Resist that. Walmart's search algorithm weights content differently. Their customers search differently. Spend 2 hours writing Walmart-native titles and bullet points. Use Walmart's own keyword tools. 2 hours of work on the listing will outperform 2 months of hoping the Amazon content converts. Scale note for bigger operators: if you are above $200,000 a month on Amazon, Walmart should already be a line item in your brand's channel strategy. If it is not, you You are leaving a diversification hedge on the table that acquirers and aggregators will ask about when you go to exit. Build to exit means building on more than one rail. Do not wait for Walmart to be perfect; get in while the room is still half empty. If any of this hit close to home, especially the part about watching a second channel opportunity sit on your to-do list while Amazon fees keep climbing, here's the thing: adding Walmart is is one decision. Managing it well without losing visibility into what's actually happening across your business is a different challenge entirely. Most sellers are drowning in tabs— Amazon Ads, Walmart dashboard, inventory spreadsheets, pricing alerts, reviews. AI looks like the easy fix for all of it, but bad data in means bad calls out. You do not save time, you make expensive mistakes faster. That is not freedom. That is chaos with nobody steering. Here is what works. Cayman Data pulls your live Amazon numbers into one clear picture. Ads, listings, sales, inventory. You see what is working and what is costing you money. Not another spreadsheet that eats your week. Not another dashboard you stop checking after 30 days because it takes too long to interpret. You stay in charge. You see the reason before you say yes. Nothing runs without your approval. That is the operator model. You are the CEO. The data works for you, not the other way around. That level of review used to eat hours every week. Cayman Data cuts that down with one live connection to your account. You spend less time hunting for answers and more time making the calls that actually move your brand forward. That is how Voltage helps sellers save time, protect margin, and grow without losing control. 13+ years of operator-led work, not theory, not a coaching program from someone who has never managed inventory. Real operator experience built into every part of how we work with brands. Learn about Cayman Data and what Voltage does at voltage dm.com. Thanks for spending time with me today on the High Voltage Business Builders Podcast. We will see you back here tomorrow. Until then, stay high voltage.