Walmart Marketplace is growing rapidly as more online sellers join this global retail giant. Understanding its fees is essential for success. Every seller must know how Walmart charges for referrals, fulfillment, and other services before listing products. These costs directly impact profit margins and pricing strategies. Whether you sell electronics, clothing, or home goods, Walmart’s fee structure affects your bottom line.
This detailed guide by Sellexio explains every Walmart Marketplace fee in simple terms. You will learn how to calculate costs, avoid hidden charges, and compare Walmart’s pricing with Amazon to boost your profit potential.
What Are Walmart Marketplace Fees?
Walmart Marketplace fees are the charges that sellers pay for using Walmart’s online selling platform. These include referral fees, fulfillment service fees, and storage costs. Walmart uses a transparent pricing structure, meaning sellers can easily calculate their total expenses.
The platform charges a small percentage of the product’s selling price as a referral fee. If you use Walmart Fulfillment Services (WFS), you will also pay for storage and delivery. Every seller should know these charges before setting product prices. Understanding these fees helps sellers plan better and ensure healthy profit margins.
Types of Walmart Seller Fees
1. Referral Fees
Referral fees are the main Walmart Marketplace charges. These are percentages of each sale that Walmart takes for hosting your product on its website. The percentage varies by category.
For example:
- Apparel: 15%
- Beauty: 8%
- Electronics: 8%
- Home and kitchen: 15%
If you sell a $100 home appliance, Walmart takes $15 as a referral fee. The referral fee is automatically deducted from each transaction.
Referral fees are one of the most important costs to consider when setting your product prices on Walmart Marketplace.
2. Walmart Fulfillment Services (WFS) Fees
Walmart Fulfillment Services is similar to Amazon FBA. It allows sellers to store inventory in Walmart’s warehouses, and Walmart handles packing, shipping, and customer service.
WFS fees depend on the size and weight of the product. These include storage charges, fulfillment costs, and returns processing fees.
Fulfillment Fees Example
- Small item (under 1 lb): around $3.45 per unit
- Medium item (2–3 lbs): around $5.90 per unit
- Large item (over 10 lbs): up to $10 or more
These charges cover storage, packaging, and shipping to customers.
3. Storage Fees
Storage fees are charged monthly for items kept in Walmart’s warehouses. They vary by season and product size.
- Standard storage: around $0.75 per cubic foot per month
- Peak season (October to December): around $0.95 per cubic foot per month
To reduce these costs, sellers should maintain proper inventory management and avoid overstocking.
Efficient inventory control can help minimize storage expenses and improve profitability.
4. Return Processing Fees
When a customer returns an item, Walmart may charge sellers a small return processing fee. This fee depends on the product category and fulfillment type.
If you use Walmart Fulfillment Services, the return handling is included in the WFS fee structure. However, sellers managing their own returns under FBM (Fulfilled by Merchant) may face extra costs for restocking or shipping.
5. Walmart Marketplace Commission Rates
Commission rates vary depending on the category. Walmart generally charges between 6% and 15%.
Here are a few examples:
- Baby products: 8%
- Jewelry: 20%
- Health and personal care: 10%
- Sporting goods: 15%
Knowing your category commission is important before listing. It ensures accurate profit calculations.
Walmart Fulfillment Services (WFS) in Detail
WFS offers convenience for sellers who want to focus on growing sales while Walmart handles logistics.
Advantages of WFS
- Fast delivery with Walmart’s nationwide network
- Prime-like customer experience
- Better Buy Box eligibility
- Increased visibility on search results
Disadvantages of WFS
- Higher costs for heavy or bulky items
- Limited control over packaging and branding
- Monthly storage fees can add up during slow seasons
Still, many sellers prefer WFS because of its simplicity and performance.
Walmart Marketplace vs Amazon Fees
Many sellers compare Walmart and Amazon fees before choosing where to sell.
| Fee Type | Walmart Marketplace | Amazon Marketplace |
|---|---|---|
| Referral Fees | 6%–15% | 8%–20% |
| Fulfillment Fees | Slightly lower | Higher (FBA) |
| Storage Fees | Lower during off-season | Higher on average |
| Subscription Fees | None | $39.99 per month |
Walmart is often more affordable for small to medium sellers. Amazon, however, offers greater reach but higher costs.
Sellers using both platforms can diversify income and balance expenses effectively.
Hidden or Overlooked Walmart Seller Costs
Many sellers only calculate referral and fulfillment fees, ignoring other charges that reduce profit.
Some hidden costs include:
- Advertising fees: Sponsored product ads on Walmart cost extra.
- Returns or damage costs: Lost or damaged products during storage may incur charges.
- Payment processing delays: Refunds and payouts can take several days.
Being aware of these helps sellers plan pricing more accurately.
Walmart Seller Account Setup and Requirements
To sell on Walmart Marketplace, you must have:
- A registered business with a tax ID
- Product listings with UPC or GTIN codes
- Competitive pricing and fast shipping options
Walmart reviews each application carefully. Approval can take a few days to a week.
Setting up an account is free, but sellers pay fees only when products sell. This makes Walmart a low-risk option for new e-commerce businesses.
Calculating Walmart Marketplace Profit Margins
To understand your real profit, follow this formula:
Profit = Selling Price – (Referral Fee + Fulfillment Fee + Storage Fee + Shipping Cost)
Example:
If you sell a $50 product:
- Referral fee (10%) = $5
- Fulfillment fee = $4
- Storage fee = $1
- Total cost = $10
Your profit = $50 – $10 = $40
Always calculate these values before listing your products.
Walmart Marketplace Selling Tips
- Price competitively: Walmart shoppers look for value.
- Use WFS for fast delivery: It helps you win the Buy Box.
- Optimize listings: Use clear titles, images, and descriptions.
- Maintain inventory levels: Avoid out-of-stock situations.
- Leverage Walmart advertising: Sponsored ads boost visibility.
Implementing these strategies improves sales and keeps costs manageable.
Walmart 2026 Fee Updates and Predictions
Walmart is expanding its marketplace and may adjust its fee structure in 2026. Expected updates include:
- Slight increases in referral fees for luxury categories
- Lower fees for eco-friendly and local sellers
- Additional tools for sellers using WFS
Keeping track of these updates ensures sellers stay ahead of the competition.
Walmart FBA Alternative: Why Choose WFS
Many sellers consider Walmart Fulfillment Services as an alternative to Amazon FBA.
Benefits:
- Lower storage and fulfillment fees
- Access to Walmart’s trusted logistics
- Fewer returns and customer disputes
- Increased exposure in Walmart’s online store
Sellers switching from FBA to WFS often report better profit margins.
Conclusion: Maximizing Profitability on Walmart Marketplace
Walmart Marketplace offers sellers an incredible opportunity to reach millions of customers at lower costs than many competitors. However, success depends on understanding every fee, from referral rates to storage and fulfillment charges.
By carefully managing expenses, optimizing listings, and choosing the right fulfillment method, sellers can boost profits and achieve long-term growth.
Sellexio recommends evaluating all Walmart Marketplace fees regularly to make informed pricing decisions. With the right strategy, Walmart can become a powerful platform for your e-commerce success.
FAQs on Walmart Marketplace Fees
Walmart Marketplace fees are the charges sellers pay for using Walmart’s online platform. These include referral fees, storage fees, fulfillment fees, and return handling costs. The exact amount depends on the product category and shipping method.
Walmart charges a referral fee for every sale, usually between 6% and 15% of the product price. The percentage depends on the category. For example, clothing may have a 15% fee, while electronics are around 8%.
No. Unlike Amazon, Walmart does not charge a monthly seller subscription fee. You only pay when your products sell, making it cost-effective for small and medium businesses.
Walmart Fulfillment Services is Walmart’s logistics program that stores, packs, and ships products for sellers. It works like Amazon FBA. Sellers pay fulfillment and storage fees based on item size and weight.
Fulfillment fees are based on the weight and dimensions of your product. Smaller items cost less to ship, while heavier or oversized items cost more. The fee includes packing, delivery, and customer service.
Yes, some sellers overlook costs like advertising fees, return processing, and long-term storage charges. Monitoring all expenses helps sellers maintain accurate profit margins.
Walmart’s fees are often lower than Amazon’s. It does not charge a monthly seller fee, and fulfillment rates are slightly cheaper. However, Amazon offers a larger customer base. Many sellers use both platforms to balance profits.
You cannot skip referral or fulfillment fees, but you can reduce costs by optimizing packaging, managing inventory efficiently, and using competitive pricing. Selling smaller, lightweight items also helps lower fulfillment costs.
Use this simple formula:
Profit = Selling Price – (Referral Fee + Fulfillment Fee + Storage Fee + Shipping Cost).
This helps you know your exact earnings per sale.
Yes. Walmart offers high traffic, trusted branding, and lower selling fees compared to many competitors. It’s a profitable platform for sellers who manage costs effectively and use smart pricing strategies.