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Walmart dropshipping is a great way to build a profitable eCommerce business. It lets you sell products on Walmart without holding inventory. Instead, you work with Walmart dropshipping suppliers who fulfill orders for you. This means you can start selling with low upfront costs.

To dropship on Walmart, you need to become a Walmart Marketplace seller. The platform has strict approval requirements, but the benefits are worth it. You gain access to millions of shoppers and a trusted brand name.

You can also explore Walmart DSV (Drop Ship Vendor), where Walmart handles fulfillment for you. Optimizing your Walmart product listings and using the Walmart Buy Box strategy will help you stand out. Whether you are dropshipping from Walmart to Shopify or Walmart to eBay, this guide covers everything you need to know.

What is Walmart Dropshipping?

Walmart dropshipping is a business model where you sell products on Walmart without stocking inventory. When a customer places an order, you purchase the product from a supplier, who ships it directly to the buyer. This eliminates storage costs and reduces risks.

Many sellers choose to dropship on Walmart because of its massive customer base. With millions of daily shoppers, the potential for high sales is huge. However, Walmart has strict requirements. You must apply to become a Walmart Marketplace seller and meet performance standards.

Unlike Amazon, Walmart does not allow traditional dropshipping, where sellers buy from retail stores and ship directly. Instead, you need to work with Walmart dropshipping suppliers or become a Walmart DSV (Drop Ship Vendor) for better control over fulfillment.

How Does Walmart Dropshipping Work?

The process is simple but requires the right setup. First, you apply to become a Walmart Marketplace seller. Once approved, you list products on Walmart. When a customer orders, your supplier fulfills it on your behalf.

Many sellers use Walmart fulfillment services to manage shipping efficiently. Others prefer working with third-party platforms to automate inventory updates and pricing.

You can also explore dropshipping from Walmart to Shopify or Walmart to eBay to expand your reach. Optimizing your Walmart product listings and using the Walmart Buy Box strategy helps improve visibility and sales. Success in Walmart dropshipping depends on smart pricing, good suppliers, and meeting Walmart’s performance standards.

Is Walmart Dropshipping Legal?

Yes, dropshipping on Walmart is legal, but there are strict rules. Walmart does not allow reselling products from other retailers. You must work with Walmart dropshipping suppliers or wholesalers.

The safest way is to apply as a Walmart DSV (Drop Ship Vendor) or use third-party suppliers approved by Walmart. If you fail to meet Walmart’s guidelines, your account may be suspended.

To stay compliant, focus on Walmart product listing optimization, ensure Walmart inventory management is up to date, and maintain fast shipping times. Following these rules helps you build a long-term, profitable dropshipping business on Walmart.

Pros & Cons of Walmart Dropshipping

Walmart dropshipping offers great opportunities but also comes with challenges. Here’s a clear breakdown of the pros and cons.

Benefits of Dropshipping on Walmart

• Less competition: Walmart has fewer dropshippers compared to Amazon, giving you a competitive edge.
• No upfront inventory costs: You don’t need to invest in stock; you only pay when a customer orders.
• Large product range: Walmart allows you to sell in multiple categories, increasing sales potential.
• Walmart’s brand reputation: Customers trust Walmart, making it easier to gain credibility and attract buyers.

Challenges of Dropshipping on Walmart

• Strict approval process: Becoming a Walmart Marketplace seller requires a strong business profile and approval from Walmart.
• High performance standards: Sellers must maintain fast shipping, low cancellations, and great customer service to avoid penalties.
• Low profit margins: Walmart's price-driven customer base can make it hard to earn high profits unless you optimize your strategy.

How to Start Dropshipping on Walmart

Dropshipping on Walmart can be a fantastic way to expand your e-commerce business, but it requires careful planning and execution. Let's break down the process into simple steps.

Step 1: Become a Walmart Marketplace Seller

To start dropshipping on Walmart, you first need to become a Walmart Marketplace seller.

Eligibility Requirements

To begin, ensure you meet Walmart's criteria:​

• Registered Business: Walmart requires all sellers to be legally registered businesses. This means that to join Walmart Marketplace, you must have an officially recognized business entity, such as an LLC or corporation. ​
• U.S. Business Tax ID (EIN): An Employer Identification Number (EIN) issued by the IRS is mandatory. This EIN is used for tax reporting and helps Walmart verify that your business operates legally.
• Verified U.S. Business Address: A legitimate U.S.-based business address is necessary. This ensures that sellers are operating from a legitimate location and can comply with Walmart’s tax and shipping policies.
• Product Compliance: Ensure your products have GTIN/UPC GS1 Company Prefix Numbers and do not fall under Walmart's Prohibited Products Policy.

Walmart Marketplace Registration Process

Once eligibility is confirmed, proceed with the application:​

1. Application Submission: Visit Walmart's seller signup form and provide necessary details, including your business name, tax ID, and product information.
2. Review Period: Walmart will assess your application, focusing on your business's credibility and eCommerce experience.
3. Approval: Upon acceptance, you'll receive an email to proceed with account setup.​

Step 2: Complete the Onboarding Process

Once your application is approved, you'll move on to the onboarding process. This step involves business verification, where you'll need to provide tax documents and other business details.

Business Verification: Confirm your business details by submitting required documentation, such as tax forms and bank information. ​

Setting Up Shipping and Tax Policies: Configure shipping methods, rates, and tax settings to align with your business model and customer expectations.

Linking Inventory Management Systems: Integrate your inventory management system with Walmart's Seller Center to ensure real-time stock updates and prevent overselling. ​

Step 3: Find a Reliable Dropshipping Supplier

Finding the right supplier is crucial for successful dropshipping on Walmart. You can work with wholesale suppliers directly or use third-party dropshipping platforms like AliDrop.

Working with Wholesale Suppliers: Partner with reputable wholesale suppliers who offer quality products and timely shipping. ​

Using Third-Party Dropshipping Platforms: Consider platforms that integrate with Walmart to streamline order processing and inventory management. ​

Selecting Profitable Products: Research market trends to choose products with high demand and reasonable profit margins. 

Step 4: List Your Products on Walmart

Proper product listing is key to visibility. Once you have your suppliers and products, it's time to list them on Walmart. Walmart has specific product listing policies that you must follow, including accurate descriptions and high-quality images. 

Walmart’s Product Listing Policies: Ensure compliance with Walmart's guidelines, including accurate descriptions and appropriate categories. ​

Optimizing Product Descriptions for Better Visibility: Use clear titles, detailed descriptions, and high-quality images to enhance searchability and appeal. ​Use an AI Product description generator to create SEO friendly product description generator.

Pricing Strategies: Set competitive prices by analyzing market rates and considering your cost structure. ​

Step 5: Manage Orders & Fulfillment Efficiently

Efficient order management is key to maintaining high performance metrics on Walmart. It ensures customer satisfaction.

Walmart Fulfillment Options: Decide between self-fulfillment or utilizing Walmart Fulfillment Services (WFS) for storage and shipping. ​

Handling Returns & Customer Service: Establish clear return policies and maintain responsive customer support to build trust. ​

Keeping Performance Metrics High: Monitor key performance indicators, such as order defect rates and shipping times, to adhere to Walmart's standards.

Can You Dropship Walmart Products on Other Marketplaces?

Some sellers attempt to dropship from Walmart to Amazon, eBay, or Shopify, but each platform has its own restrictions. Here’s what you need to know:

Dropshipping from Walmart to Amazon

Amazon has strict dropshipping policies. Selling Walmart products directly on Amazon violates its terms unless you are sourcing from authorized Walmart dropshipping suppliers or wholesalers. Amazon requires that invoices match the supplier’s name, and using Walmart as your supplier can lead to account suspension.

If you want to list Walmart products on Amazon, you must work with a Walmart DSV (Drop Ship Vendor) or a wholesaler approved by both Walmart and Amazon. This way, you avoid policy violations and ensure long-term success.

Dropshipping from Walmart to Shopify

Dropshipping Walmart products to Shopify is much easier since Shopify allows full control over your store. However, you must still ensure that your suppliers meet Walmart fulfillment services and shipping standards.

Many sellers use third-party suppliers that source products from Walmart Marketplace sellers or wholesalers. This allows them to list Walmart products in their Shopify store without breaking Walmart’s policies. To scale your Shopify store, focus on Walmart inventory management and Walmart product listing optimization for a seamless experience.

Dropshipping Walmart to eBay

eBay allows dropshipping but has strict rules about sourcing products from other retailers. If you dropship Walmart products to eBay, eBay may flag your account for using another retailer as a supplier.

The best way to dropship Walmart products on eBay is by sourcing from Walmart-approved wholesalers or suppliers that provide invoices. This keeps your business compliant and ensures you can continue selling without policy issues.

Best Practices for Success in Walmart Dropshipping

Succeeding in Walmart dropshipping requires more than just listing products. You need to optimize your listings, meet Walmart’s performance standards, and manage fulfillment effectively. Here are some key strategies to maximize sales and maintain a strong seller account.

1. Optimize Your Product Listings for Maximum Sales

Walmart’s search algorithm favors well-optimized listings. If you want to stand out, focus on these elements:

Product Titles and Descriptions

Your product title should be clear, keyword-rich, and descriptive. It should include the brand, product type, key features, and variations like size or color. Avoid unnecessary words and keep it under 75 characters for better visibility.

The description should highlight the benefits of the product, not just the features. Use bullet points for easy readability. A well-optimized description improves Walmart product listing optimization and boosts conversions. For ease of writing product descriptions, use an SEO product description generator.

High-Quality Images and Videos

Clear, high-resolution images increase trust and engagement. Walmart allows multiple images, so showcase different angles and close-up details. Lifestyle images showing the product in use can help customers visualize it better.

If possible, add product videos. Videos make listings more engaging and improve the chances of conversion. They also help in winning the Walmart Buy Box strategy.

Competitive Pricing Strategies

Walmart is a price-competitive marketplace. If your pricing is too high, you will struggle to get sales. Research competitor pricing and adjust accordingly.

Using dynamic pricing tools can help you stay competitive without losing profits. If your price is competitive and you meet Walmart’s fulfillment standards, you have a better chance of winning the Walmart Buy Box strategy.

2. Meet Walmart’s Performance & Compliance Standards

Walmart holds sellers to high standards. Failing to meet expectations can lead to lower rankings or account suspension.

Fast Shipping and Fulfillment Expectations

Walmart values quick and reliable shipping. Use Walmart fulfillment services or work with Walmart dropshipping suppliers that offer fast shipping. Meeting delivery expectations improves customer satisfaction and helps you stay in Walmart’s good books.

If you fail to ship on time, your account performance can drop. This affects your visibility and ability to win the Walmart Buy Box strategy.

Handling Returns & Refunds Efficiently

Customers expect smooth returns. Walmart has clear return policies, and you must comply with them. Handle refund requests quickly to avoid negative feedback.

If you use Walmart fulfillment services, Walmart manages returns for you. Otherwise, you must ensure a seamless return process through your Walmart inventory management system.

Maintaining a High Seller Rating

A strong seller rating boosts credibility and improves rankings. Keep your Walmart seller central performance high by providing excellent customer service, avoiding order cancellations, and resolving disputes quickly.

Negative reviews can hurt sales. Always communicate with buyers and address concerns to maintain positive feedback.

3. Leverage Walmart Advertising & Promotions

Marketing plays a big role in Walmart dropshipping success. Simply listing products isn’t enough—you need to make them visible. Walmart offers different advertising and promotion options to help sellers increase sales.

Running Walmart Connect Ads

Walmart Connect is the platform’s advertising system. It allows you to run sponsored ads and target relevant customers. These ads appear in search results and product pages, increasing visibility.

You can set up cost-per-click (CPC) campaigns, meaning you only pay when someone clicks on your ad. A well-optimized ad strategy helps boost sales and improves your chances of ranking higher in Walmart’s search results.

Using Discounts & Promotions for Higher Visibility

Offering discounts and limited-time promotions can attract more buyers. Walmart often highlights discounted products in its special deals sections, making them more visible.

You can use markdowns, BOGO (Buy One Get One), or bundle discounts to drive more conversions. Promotions also help improve your product rankings and increase engagement.

Winning the Walmart Buy Box

The Walmart Buy Box strategy is crucial for increasing sales. The Buy Box is the "Add to Cart" button that appears on product pages. The seller who wins the Buy Box gets the sale when a customer makes a purchase.

To win the Buy Box, you need competitive pricing, fast shipping, and excellent performance metrics. Walmart prioritizes sellers with high ratings and efficient fulfillment. Keeping your prices competitive and ensuring fast shipping will improve your chances of winning more sales.

4. Scale Your Walmart Dropshipping Business

Once you establish your dropshipping on Walmart store, the next step is to scale. Growing your business requires expanding your catalog, automating tasks, and selling across multiple platforms.

Expanding Product Categories

Adding more products to your store increases sales potential. Start with a niche and gradually expand into related categories. Focus on high-demand items and source them from reliable Walmart dropshipping suppliers.

Keep an eye on market trends and introduce seasonal products when relevant. Expanding smartly helps increase revenue without overwhelming your inventory management.

Automating Inventory & Order Management

Handling everything manually can slow you down. Automating Walmart inventory management makes it easier to track stock, avoid overselling, and streamline order fulfillment.

Many sellers use software tools to sync their listings, update stock in real time, and automate pricing. Automation helps you save time and focus on scaling your business.

Selling on Multiple Platforms

If you want to maximize profits, consider dropshipping Walmart to eBay or dropshipping from Walmart to Shopify. Selling on multiple platforms allows you to reach a larger audience and diversify your income.

Each platform has different requirements, so ensure your products and pricing strategies align with their policies. Expanding to different marketplaces gives you more flexibility and helps grow your business faster.

Walmart Drop Ship Vendor (DSV) Program

The Walmart Drop Ship Vendor (DSV) Program is an alternative way to sell on Walmart. Unlike a Walmart Marketplace seller, DSVs operate as first-party suppliers. This means Walmart purchases products from you and lists them under "Sold & Shipped by Walmart." You handle storage and shipping, but Walmart manages customer service and returns.

This model is different from traditional Walmart dropshipping, where sellers list their own inventory. As a DSV, your products get more visibility, and customers see Walmart as the direct seller, increasing trust and conversions.

How to Become a Walmart Drop Ship Vendor

Becoming a Walmart DSV requires an invitation. You cannot apply directly like a Walmart Marketplace seller. Walmart selects businesses based on product demand, supplier reliability, and pricing. If you have unique products, competitive pricing, and strong fulfillment capabilities, you may be considered.

To increase your chances, establish a successful dropshipping on Walmart store first. High performance, fast shipping, and competitive pricing can get Walmart’s attention. You can also reach out to Walmart’s supplier team to express interest.

Differences Between a Walmart Seller and a DSV

Both Walmart Marketplace sellers and DSVs sell on Walmart, but there are key differences:

• Ownership of Listings: A Walmart Marketplace seller owns the product listings and pricing. In contrast, Walmart controls the pricing for DSVs.
• Shipping & Fulfillment: Marketplace sellers ship orders themselves or use Walmart fulfillment services. DSVs must ship products quickly using Walmart’s preferred carriers.
• Branding & Trust: DSV products display "Sold & Shipped by Walmart," which builds customer confidence and increases sales. Marketplace sellers have their brand name listed instead.
• Approval Process: Marketplace sellers apply and get approved if they meet the requirements. DSVs need a direct invite from Walmart.

Advantages of Being a DSV

Joining the Walmart DSV program offers several benefits:

• Increased Sales: Products appear as "Sold & Shipped by Walmart," making customers more likely to buy.
• Walmart Covers Returns: Walmart handles customer service and returns, reducing workload.
• Better Product Visibility: DSV products are prioritized in search results and often win the Walmart Buy Box strategy.
• No Commission Fees: Unlike Walmart Marketplace sellers, DSVs do not pay commission on sales.

Conclusion

Walmart dropshipping offers a great opportunity to build a profitable online business. With millions of shoppers and a trusted brand, Walmart provides a strong platform for sellers. However, success requires more than just listing products.

To thrive, you need to choose reliable Walmart dropshipping suppliers, optimize your listings, and maintain high performance standards. Leveraging Walmart fulfillment services, running ads, and using competitive pricing strategies can help you grow faster.