Walmart Marketplace grows with Shopify
Walmart has bolstered its online marketplace by partnering with the e-commerce platform Shopify. The partnership marks the first time the retailer has partnered with an e-commerce platform to empower small- to medium-sized businesses that sell through its Walmart Marketplace.
The move makes more than 1,200 Shopify merchants available to buy from on Walmart.com. Shopify will automatically sync up products from its merchants on walmart.com, making it easy to track products, orders, inventory and fulfillment through Shopify. Merchants don’t pay any fees to list products on walmart.com, only paying referral fees when products are sold.
Walmart reported that its e-commerce business grew 74% in total last quarter, and growth in the marketplace outpaced the overall business even as first-party sales were strong. The retailer said growing its Walmart Marketplace is a “strategic priority.”
The retailer’s sellers marketplace pales in comparison to Amazon’s, but the online giant has been under intense scrutiny recently by the United States House Judiciary Committee and more, alleging its using third-party seller data to boost its own private label business.
Doug McMillon, CEO of Walmart said competition is good in the retail business, noting that there’s a need for more retailers not fewer.
“At Shopify, we’re focused on helping entrepreneurs go from just an idea to becoming thriving, scalable businesses. By partnering with Walmart, we will be able to connect merchants with consumers across America within a trusted marketplace, helping merchants drive new sales while consumers discover new products they’ll love,” said Satish Kanwar, vice president of product at Shopify. “Our expertise in multi-channel commerce, combined with Walmart’s reach, will allow us to create better online shopping experiences for merchants and consumers alike.”