When it comes to selling on online marketplaces, Amazon and Walmart are the biggest eCommerce platforms. While the two giants offer a wide range of audiences and advanced eCommerce infrastructures, sellers wonder where they should sell their products for the highest ROI.
In this blog, we want to give sellers a greater understanding of the differences between the both. We will talk about their market share, ease of selling, popular categories, and other key differences that will help you leverage both for your eCommerce strategy for 2026.
If you want to see how Trellis has helped brands grow across Amazon and Walmart, take a look at our Success Stories. You’ll find real examples of how AI Precision + Human Intuition helped sellers get lift, improve efficiency, and grow in the right direction.
Key Insights
- Amazon delivers more volume, but Walmart offers strong margin potential. Many sellers see better profitability on Walmart because of lower fees and less competition.
- Sellers need a unique strategy for each platform. Pricing rules, buyer behavior, listing standards, and ad performance differ between Amazon and Walmart.
- The best results often come from selling on both marketplaces. A dual-channel approach gives you stability, reach, and more control over your market share.
ECommerce Growth in 2026
eCommerce continues to expand as shoppers blend online and in-store experiences. Buyers now expect fast delivery, clear product information, and flexible fulfillment options like same-day pickup or doorstep delivery. Amazon and Walmart both benefit from this shift, but each platform grows in different ways. Amazon leads in search-driven online shopping, while Walmart grows through its strong store network and improved Marketplace tools. This gives sellers two powerful but distinct paths to reach new customers.
Read more: Why Sell on Amazon Marketplace in 2026? The Ultimate AWS Guide
Read more: Why Sell on Walmart Marketplace in 2026? The Ultimate Guide
Marketplace Growth and Market Share
Amazon still holds the largest share of U.S. eCommerce, sitting in the mid-30% range. It remains the first stop for many online shoppers because of selection, speed, and Prime benefits. Walmart continues to grow faster percentage-wise. Its share now sits in the high-single digits, supported by its store network, strong grocery category, and growing Marketplace.
Walmart’s eCommerce business has expanded quickly over the past few years. More shoppers use Walmart for pickup, same-day delivery, and everyday essentials. Amazon continues to dominate shopping searches and discretionary categories like home and kitchen, beauty, electronics, and apparel.
For sellers, this gap in size creates opportunity. Amazon gives you reach. Walmart gives you room to grow with less competition.
Want to understand how pricing changes impact your profit on each marketplace? Try our Price Elasticity Calculator to see how demand shifts when you adjust your price.
Suitable For More Established Brands
As Walmart Marketplace is growing fast and catching up to Amazon, the competition is fierce. However, competition between Walmart and Amazon are two contrasting activities.
Walmart may also not catch up to Amazon anytime soon because Walmart does more due diligence on their sellers to provide better quality products. For instance, it may take 24 hours to get approved as an Amazon seller, and it could take up to 2-4 weeks to get approved on Walmart Marketplace.
Due to a higher barrier to entry to become a Walmart seller, an established online business with a decent sales record has a big opportunity to gain a huge market share on Walmart Marketplace. Whereas, for a new seller, there might be some hurdles to advertise on Walmart due to a lack of experience.
In contrast, new sellers can easily sign-up on Amazon, however, it would require a thorough eCommerce merchandising strategy to break into the marketplace due to the high competition.
Walmart is a lucrative opportunity for established brands in 2026, as the number of sellers are significantly less than Amazon, and knockoff brands will be far less prevalent due to the documentation requirements.
Case Study: Cavalier Wholesale Drives $56K in Added Revenue with AI-Powered Dynamic Pricing
Documentation Requirements
Walmart has updated its onboarding process to make approvals faster, but it still holds sellers to a higher standard than Amazon. In 2026, Walmart looks closely at your business history, fulfillment reliability, U.S. presence, and catalog quality. Sellers may need to provide tax documentation, proof of inventory, product identifiers, and compliance documents for regulated categories.
Amazon remains more accessible for new sellers, though categories like supplements, beauty, and topicals may require additional approval. If you have a solid operational setup and meet category guidelines, onboarding is usually quick.
If you plan to sell on both platforms, make sure your documentation is accurate, consistent, and mapped to each marketplace’s requirements.
Selling Fees
If you want to sell on Amazon, you’ll pay several types of fees depending on your selling plan and fulfillment method. Walmart Marketplace continues to use a straightforward fee structure.
Amazon Fees
If you want to sell on Amazon, you’ll pay several types of fees depending on your selling plan and fulfillment method.
Selling plans:
Amazon offers two plan options. The Professional selling plan costs $39.99 per month and is designed for sellers who move more than 40 units per month. There is also an Individual plan, where sellers skip the monthly subscription but pay a small fee for every item sold. The Professional plan unlocks additional features, including access to Amazon advertising, bulk listing tools, and advanced reports.
Referral Fees
Every sale on Amazon includes a referral fee. This fee is a percentage of the item’s sale price. Most categories fall in the 8% to 15% range, though some categories may be above or below that range. The exact percentage depends on the product type. This fee structure hasn’t changed much over the past few years, but the variety across categories means sellers must understand their margins carefully.
Fulfillment by Amazon (FBA) Fees
Sellers who choose FBA pay fulfillment fees based on an item’s size and weight. Amazon also charges monthly storage fees, which increase during high-demand seasons. There can be added charges for things like returned items, inventory removal, and inventory that sits too long in Amazon’s warehouses. These fees add convenience but also contribute significantly to overall costs.
Walmart Fees
Walmart Marketplace continues to use a straightforward fee structure. There is no monthly subscription fee to list products on Walmart. Instead, sellers pay referral fees based on item category. These fees generally sit between 6% and 15%, making Walmart appealing for brands with slimmer margins.
Sellers who choose to use Walmart Fulfillment Services (WFS) will also pay fulfillment and storage fees. These fees depend on item size, weight, and how long products remain in storage. While the fee structure is simpler than Amazon’s, it still varies by product type and season.
The lack of a monthly subscription fee and typically lower referral rates make Walmart an attractive option for sellers who want to protect their margins or test new products with less upfront cost.
Performance Standards
Amazon and Walmart both expect consistent service, but their standards differ as their programs evolve.
Amazon
Amazon tracks your order defect rate, cancellation rate, return dissatisfaction rate, and late shipment rate. Its policies continue to tighten as Amazon protects customer experience. Amazon also uses new performance alerts to warn sellers before penalties take effect.
Walmart
Walmart raised its performance expectations in 2024–2026. It now monitors on-time delivery, accurate tracking uploads, cancellation rates, and return performance more closely. Walmart also displays updated seller ratings more prominently, which affects visibility and conversion.
Shopping Behavior, Trends, and Categories
Selling on Walmart and Amazon gives you access to millions of consumers. However, both differ in demographics and spending habits.
- Biggest Categories: Walmart’s biggest category for consumers is groceries, over-the-counter medications, and cleaning supplies. Whereas, Amazon’s biggest categories include home & kitchen, beauty & personal care, and toys & games. Consumers prefer Amazon over Walmart for electronics, books, and clothing.
- Shopping behavior: Around three-quarters of U.S. consumers shop on Amazon, and more than half begin their search there. Walmart sees strong traffic from value-driven shoppers and from customers who want flexible fulfillment options like same-day pickup.
- Amazon Prime vs Walmart Plus: Prime continues to lead when it comes to membership value. Roughly 57% of Amazon customers have Prime. About 31% of Walmart’s digital shoppers subscribe to Walmart+. Both programs offer delivery benefits, but Prime’s content library and convenience perks make it more appealing.
- Membership Impact: Amazon Prime remains a major driver of loyalty, with around half of U.S. households enrolled. Walmart+ continues to grow but remains smaller. These programs influence how often shoppers buy and what products they choose.
- Income Demographics: Amazon’s average customer household income is higher—around $85,000, while Walmart’s sits closer to $76,000. This gap shapes buying behavior. Walmart shoppers tend to be more price-driven. Amazon shoppers tend to browse more categories and purchase higher-ticket products.
Amazon’s initial strengths in the market as far as categories and shopping behaviors may be a huge factor for sellers if they had to pick one marketplace. However, each has its nuances, and running a store on both may help you make up for their weaknesses. If you can’t imagine what type of resources and process you might need to do this talk to our team about automating some of these components.
Fulfillment Services: FBA vs WFS
FBA helps you scale with Amazon’s massive network, while WFS gives you a cost-efficient way to fulfill Walmart orders with strong delivery performance. Some sellers use both to support different parts of their catalog.
FBA (Fulfillment by Amazon)
Amazon updated several FBA policies in 2024–2025. Long-term storage is now managed through aged inventory surcharges. Amazon also introduced inbound placement fees and regional inventory rules that can influence storage costs. Capacity limits affect how much inventory you can send in, especially in peak seasons.
WFS (Walmart Fulfillment Services)
Walmart expanded its fulfillment network and improved delivery speeds. WFS now supports more categories and offers clearer fee structures. Walmart added new storage fee tiers and seasonal surcharges to keep capacity balanced. Many sellers see faster approval and smoother onboarding into WFS than in prior years.
Pricing Strategy
Low prices matter to both retail giants as they are customer-centric rather than brand-centric. Being able to offer the best prices is a part of the company’s identity and longstanding strategy.
Both marketplaces reward competitive prices, but their rules differ.
Amazon
Amazon allows more pricing flexibility, but competitive pricing remains key to winning the Buy Box. Amazon’s algorithm considers fulfillment method, delivery speed, seller rating, and inventory levels.
Walmart
Walmart enforces strict price parity. If your product is listed cheaper on another marketplace or website, Walmart may suppress visibility or remove the Buy Box. Walmart also watches shipping charges closely to ensure customers get value.
Learn more about pricing strategies in a competitive market here.
Advertising
Advertising evolves with each marketplace, and both Amazon and Walmart are investing heavily in ad technology.
Amazon Ads
Amazon continues to lead in ad formats and reach. Sponsored Products, Sponsored Brands, and Sponsored Display give sellers advanced targeting. CPCs remain higher because of strong competition, especially in high-demand categories.
Walmart Connect
Walmart ads are growing fast, and CPCs remain lower in many categories compared to Amazon. Walmart Connect also improved targeting with better first-party data and introducd more sponsored placements across the shopping journey.
Margin Potential & Cost Efficiency
Margin pressure continues to rise in eCommerce, which makes cost efficiency a major factor when choosing a marketplace.
Lower Competition = Better
Margin Potential on Walmart
Walmart still has fewer third-party sellers and lower ad competition than Amazon. This often leads to lower cost-per-click (CPC), cheaper acquisition costs, and better return on ad spend (ROAS) for many categories.
Fee Structure Differences
Walmart’s fee model remains simple: no monthly seller subscription fee and fewer add-on service charges. Amazon has more fee types—including subscription fees, FBA fees, long-term storage fees, and referral fees. These add up fast, especially for large catalogs.
Advertising Costs
Walmart’s lower CPC rates in many categories help keep acquisition costs down. Amazon’s ad marketplace is still more competitive, which drives CPC higher for popular keywords.
Pricing Rules
Walmart’s strict price parity requirements help protect shoppers but can limit how high you can price your products. Amazon offers more flexibility, but you compete against more sellers.
Takeaway for Sellers
If your margins are tight, Walmart may offer better cost efficiency. If your strategy relies on volume and scale, Amazon can deliver. Many sellers choose both, using each platform to support different parts of their catalog.
If you want simple, smart tips to grow your marketplace sales each month, join The Climb. It’s our monthly newsletter with quick updates and insights to help your eCommerce business grow.
Multichannel Strategy: Why Sell on Both?
Running your business on both Amazon and Walmart gives you more stability and reach. Each marketplace brings different strengths, and together they help you reduce risk and grow faster.
Broader Audience Reach: Amazon brings high-intent shoppers and strong search volume. Walmart brings budget-focused repeat buyers. Selling on both helps you reach shoppers at every income level.
Better Margin Mix: Some products earn more on Amazon. Others perform better on Walmart. A multichannel strategy lets you use each marketplace where it’s strongest.
Rising Marketplace Fees: As Amazon’s fees become more complex, Walmart helps balance your cost structure.
Stronger Brand Presence: Showing up on both marketplaces signals trust and increases visibility across shopping journeys.
Reduced Dependence on One Platform:
Relying on one marketplace is risky. Policy changes, buy box rules, and fee increases can impact your entire business. Selling on both gives your business more lift and stability.
How Can Trellis Help With Amazon and Walmart Growth in 2026?
Trellis gives you the lift you need to scale across both marketplaces with less effort. Our platform uses AI Precision + Human Intuition to optimize ads, pricing, content, and promotions based on real shopper data. You get full-funnel analytics across Amazon and Walmart, helping you spot trends, fix weak points in your catalog, and protect your margins. Trellis also helps keep prices consistent, prevents Buy Box loss, and automates routine tasks so you can focus on strategy.
If you want smarter, faster growth across both channels, book a demo to see how Trellis can support your goals.
In Summary: Where to Focus in 2026?
Amazon gives you scale, while Walmart gives you margin potential and lower competition. Together, they help you reach more shoppers while protecting your business from market shifts. A strong multichannel strategy helps you stay resilient, improve visibility, and grow your revenue across different buyer types.
To do this well, you need the right mix of pricing control, content optimization, ads automation, and performance insights. With smarter tools and better strategy, you can use both marketplaces to grow your brand in the right direction.
To grow profitably on both marketplaces the key is a strong advertising and pricing process. If you want to learn more about leveraging both marketplaces through AI and automation, you may book a free call with us.
Our experts study data and trends for a living. They can help you tactically or guide you on an eCommerce merchandising strategy that could help you maximize your ROI in 2026.
