/Walmart Marketplace Fees Explained

Walmart Marketplace Fees Explained
Jan 28, 2026 25 min read

Walmart Marketplace Fees Explained

Colleen Quattlebaum
Colleen Quattlebaum
Marketing

Walmart does not charge any setup, subscription, or monthly fees to start selling on its Marketplace.

Unlike Amazon's $39.99/month Professional plan, Walmart Marketplace sellers pay no subscription or listing fees, relying primarily on referral fees of typically 6% to 15% per sale.

How much does it cost to sell on Walmart Marketplace? For third party sellers and online sellers looking for a new sales channel, the answer is surprisingly affordable.

Walmart Marketplace seller fees are simple: you pay a percentage of each sale, and that's it.

Here's what Walmart sellers actually pay:

Referral fees — 6% to 15% of each sale (varies by category)

WFS fulfillment fees — Starting at $3.45 per unit (if using Walmart Fulfillment Services)

Storage fees — $0.75 per cubic foot/month (increases during peak season)

That's it. Walmart has no upfront fees, such as monthly or setup costs for sellers.

This guide breaks down every Walmart Marketplace fee, shows you how to calculate your true costs, and shares strategies to maximize your profit margins.

Walmart Seller Fees at a Glance

Here's a quick overview of every fee you'll encounter as a Walmart Marketplace seller:

Setup Fee — $0 (never charged)

Monthly Subscription — $0 (never charged)

Listing Fee — $0 (never charged)

Referral Fee — 6% to 15% per sale, depending on category

WFS Fulfillment Fee — Starting at $3.45 per unit shipped

WFS Storage (Jan–Sep) — $0.75 per cubic foot per month

WFS Storage (Oct–Dec) — $1.50 per cubic foot per month

Returns Processing — Starting at $4.70 per return

Referral fees are deducted from each sale before the seller receives payment.

WFS fees only apply if you use Walmart Fulfillment Services. If you self-fulfill, you'll only pay referral fees.

Understanding Walmart's Fee Structure

Walmart's fee structure is straightforward compared to other marketplaces.

The primary walmart selling fees are referral fees — sometimes called a commission fee. This is the only required cost. All other associated fees (fulfillment, storage, advertising) are optional based on the services you choose.

There are no hidden fees. What you see in this guide is what you'll pay.

Referral Fees by Category

Walmart charges a referral fee based on a percentage of the item's selling price, which varies by product category.

This is the only fee every Walmart seller pays. There's no way around it — but understanding the rates helps you price products profitably.

How Referral Fees Work

Most referral fees for Walmart range from 6% to 15%, with most product categories averaging around 15%.

Walmart deducts referral fees from each sale before payout to the seller. You'll never receive an invoice — the fee is automatically subtracted from your payment.

Referral Fees by Product Category

Here are the referral fee percentages for common categories:

Apparel & Accessories — 5% to 15% (varies by price)

Automotive & Powersports — 12%

Baby Products — 8% to 15% (varies by price)

Beauty Products — 8% to 15% (varies by price)

Cell Phones — 8%

Computer Video Games — 15%

Consumer Electronics — 8%

Gift Wrap — 15%

Health & Personal Care — 15%

Home & Garden — 15%

Home Improvement — 15%

Hunting Trail Monitors / Trail Monitors — 15%

Kitchen — 15%

Outdoor Power Tools — 15%

Pet Supplies — 15%

Plumbing Heating Cooling Ventilation — 15%

Software Computer Video Games — 15%

Toys & Games — 15%

Video Game Consoles — 8%

Sellers can optimize their pricing strategies by understanding the specific referral fees applicable to their products.

Variable Referral Fees

Some categories have variable rates based on price thresholds.

For items with a total sales price up to $250, the referral fee is typically 15% for the portion of the total in that range.

For the total sales price greater than $250, the fee often drops to 8% on the amount above that threshold.

This tiered structure benefits sellers of higher-priced items.

Ensuring Correct Categorization

Sellers are responsible for ensuring their products are categorized correctly to avoid incorrect referral fees.

If your product is placed in the wrong category, you could be overcharged on every sale. Review your listings regularly to confirm accurate categorization.

Disputing Incorrect Fees

Sellers can dispute a referral fee if they believe it was incorrectly categorized, but disputes must be submitted within 90 days of the order settlement date.

To file a dispute, contact Walmart Seller Support through Seller Center with your order details and the correct category information.

Walmart Fulfillment Services (WFS) Fees

WFS fees are incurred when using Walmart's logistics network for shipping instead of handling it independently.

Walmart Fulfillment Services (WFS) costs 15% less than the competition on average. This makes it a compelling alternative to Amazon FBA for multichannel sellers.

Walmart's fulfillment services include storage fees, fulfillment fees, and returns processing fees. Here's how each one works.

WFS Fulfillment Fees

Walmart Fulfillment Services includes fulfillment fees based on item weight and dimensions.

Walmart's fulfillment fees depend on item weight, starting at $3.45 for items up to 1 lb. Walmart's fulfillment and return costs are significantly affected by product dimensions and weight.

Standard item fulfillment fees:

Up to 1 lb — $3.45 per unit

Up to 2 lbs — $4.95 per unit

Up to 3 lbs — $5.45 per unit

4 lbs and above — Base fee + $0.40 per additional pound

Additional Fulfillment Fees

Beyond the base walmart fulfillment services fees, there are additional fees for specific item types.

Walmart fulfilment fees include surcharges for:

Apparel — $0.50 additional per unit

Hazardous materials — Additional fee applies

Items under $10 — Low-price surcharge applies

Oversized items — Higher fulfillment tier

How Weight Affects Your Fees

Walmart fulfillment services fees are calculated using either unit weight or dimensional weight — whichever is greater.

Unit weight is the actual weight of your packaged product.

Dimensional weight is calculated as: (Length × Width × Height) ÷ 139

The final shipping weight determines your fee tier. For items over 4 lbs, you'll pay the base rate plus $0.40 for each lb above that threshold.

For example, a 6 lb item costs the 4 lb base fee plus $0.40 for each lb over 4 — so $0.40 for each lb × 2 = $0.80 extra.

Understanding dimensional weight helps you optimize packaging to reduce fees.

Big and Bulky Fulfillment Fees

Walmart's fulfillment fees for big and bulky items start at $155 plus $0.80 per pound for every pound over 90 lbs.

These rates apply to items shipped by freight — products over 150 lbs or with dimensions exceeding standard parcel limits.

WFS Storage Fees

Walmart charges storage fees based on the volume of inventory and its duration at a Walmart fulfillment center.

Inventory costs for Walmart Fulfillment Services (WFS) are calculated monthly based on volume in cubic feet.

Off-peak storage (January – September):

Walmart's standard storage fee is $0.75 per cubic foot per month from January to September.

Peak season storage (October – December):

During the peak holiday season from October to December, the standard storage fee increases to $1.50 per cubic foot per month.

Long-term storage:

Walmart's storage fees increase during the peak season from October to December, rising to $2.25 per cubic foot for items held over 30 days.

Items stored longer than 12 months may incur additional long-term storage fees. Monitor your Inventory Health report in Seller Center to avoid unnecessary charges.

WFS Returns Processing Fees

Walmart charges return processing fees if items are returned for reasons not due to Walmart's fault.

Walmart charges returns processing fees based on shipping weight for items returned through WFS. Walmart's return processing fees are based on the shipping weight of the items being returned.

Return fees by shipping weight:

Up to 1 lb — $4.70 per return

Up to 2 lbs — $6.20 per return

Up to 3 lbs — $6.70 per return

4–20 lbs — $7.00 + $0.40 per lb over 4 lbs

If the return is Walmart's fault (damaged in transit, lost, or wrong item sent), Walmart absorbs the cost and no return fee is charged to you.

Benefits of Using WFS

WFS isn't just about outsourcing fulfillment. It comes with competitive advantages that can directly impact your sales.

Time Savings

Sellers using Walmart Fulfillment Services save an average of 18 hours per week on logistics.

That's time you can reinvest into sourcing products, optimizing listings, or scaling to new channels.

Search Ranking Boost

Sellers using WFS may benefit from 'Fulfilled by Walmart' and '2-day shipping' tags to boost search rankings.

These badges increase buyer trust and improve your visibility in Walmart's search results. Products with 2-day shipping often convert at higher rates than standard shipping options.

Simplified Returns

Walmart handles customer returns on your behalf, including customer service inquiries related to fulfillment.

You'll pay a returns processing fee, but you won't need to manage the logistics or customer communication.

Competitive Pricing

As mentioned earlier, WFS costs 15% less than the competition on average.

For sellers already using Amazon FBA, WFS offers a cost-effective way to expand into Walmart without building separate fulfillment infrastructure.

Advertising Costs

Advertising costs are optional but can accelerate your sales on Walmart.

Walmart Connect offers Sponsored Products, Sponsored Brands, and display ads. You set your own budget and bid amounts.

Most sellers start with 10-15% of revenue allocated to advertising, then optimize based on performance.

Unlike referral and fulfillment fees, advertising costs are entirely within your control.

New Seller Savings Programs

If you're new to Walmart Marketplace, you may qualify for significant fee discounts.

New-Seller Savings

In 2025 and 2026, Walmart offered "New-Seller Savings" programs, providing discounts on fulfillment and storage fees.

These programs are designed to reduce the barrier to entry and help new sellers become profitable faster.

Referral Fee Discounts

A 2025 program offers up to 75% off referral fees for new sellers at Walmart.

This is a substantial discount. On a product with a 15% referral fee, you'd pay just 3.75% during the promotional period.

How to Qualify

New seller programs typically require:

Recent approval — You must be a newly approved Walmart Marketplace seller

Enrollment — Some programs require opt-in through Seller Center

Time limits — Discounts usually apply for a limited period (often 90 days)

Check Seller Center or the Walmart Marketplace website for current promotions. These programs change periodically, so verify eligibility when you apply.

Sales Tax Responsibilities

Sales tax is separate from Walmart's fees — but it's your responsibility to manage.

Sellers are responsible for collecting and remitting sales tax on their sales in applicable states.

Walmart Marketplace sellers are responsible for collecting and remitting sales tax for their items sold. This means you need to understand nexus laws and ensure compliance in every state where you have tax obligations.

What Walmart Handles

Walmart collects and remits sales tax on behalf of sellers in Marketplace Facilitator states. As of 2026, this covers most U.S. states.

In these states, Walmart automatically adds sales tax at checkout and remits it to the state — you don't need to do anything.

What You Handle

In states without Marketplace Facilitator laws, you're responsible for:

Collecting sales tax at the correct rate

Remitting payments to state tax authorities

Filing returns on the required schedule

Consult a tax professional or use sales tax automation software to stay compliant. Non-compliance can result in penalties and back taxes.

Self-Fulfillment vs. WFS

You have two main options for fulfilling Walmart orders: handle it yourself or use Walmart Fulfillment Services.

Self-Fulfillment

Sellers on Walmart Marketplace are responsible for handling shipping, customer services, exchanges, and returns on their own.

This means you'll need:

Warehouse space — To store your inventory

Packaging materials — Boxes, tape, labels, etc.

Shipping accounts — With carriers like UPS, FedEx, or USPS

Customer service — To handle inquiries, exchanges, and returns

Self-fulfillment makes sense when:

You have low order volume and can handle packing yourself

Your products are oversized or require special handling

You already have fulfillment infrastructure in place

You want full control over the customer experience

Using WFS

With WFS, Walmart stores your inventory, picks, packs, and ships orders, and handles customer returns.

WFS makes sense when:

You want to save time on logistics (18+ hours per week)

You want the "Fulfilled by Walmart" badge for better rankings

Your products fit standard size and weight requirements

You're scaling and can't keep up with order volume

Optimizing Fulfillment Costs

Sellers can optimize fulfillment costs by strategically positioning inventory to reduce shipping expenses and improve delivery times.

Whether you self-fulfill or use WFS, consider where your customers are located. Positioning inventory closer to high-demand regions reduces shipping costs and speeds up delivery.

For high-volume sellers, a hybrid approach often works best — use WFS for fast-moving SKUs and self-fulfill specialty or oversized items.

Pricing Strategies to Maximize Profit

Pricing on Walmart requires a careful balance between competitiveness and profitability.

Sellers are responsible for setting and maintaining their prices on Walmart Marketplace. But Walmart actively monitors your pricing — and will take action if you're not competitive.

Understanding Walmart's Pricing Algorithm

Walmart's algorithms monitor pricing across different platforms to ensure competitive pricing for items sold on its Marketplace.

Walmart's algorithms monitor prices on other websites to ensure competitive pricing. This means your Walmart price is compared against Amazon, your own website, and other retailers.

Warning: Walmart's pricing rules can lead to product listings being unpublished if prices are found to be uncompetitive.

If Walmart detects your price is significantly higher than elsewhere, your listing may be suppressed or removed from search results. Keep your pricing consistent across all channels.

Winning the Walmart Buy Box

To win the Walmart Buy Box, sellers should aim for the lowest price possible.

The Buy Box is the default purchase option on product pages. Winning it dramatically increases your sales. Price is the primary factor — but fulfillment method, seller performance, and shipping speed also matter.

If you're competing against other sellers on the same listing, even a few cents can make the difference.

Calculating Profitable Prices

Sellers should consider all cost factors that can affect pricing when setting prices on Walmart Marketplace.

Before setting a price, calculate your true costs:

Product cost (COGS) — What you pay for the item

Referral fee — 6% to 15% depending on category

Fulfillment costs — WFS fees or self-fulfillment expenses

Advertising spend — If running Walmart Sponsored Ads

Returns rate — Factor in expected return costs

Other overhead — Packaging, software, customer service

Only after accounting for all costs can you determine your minimum profitable price.

Making Informed Pricing Decisions

Sellers operating on Walmart need a clear cost management strategy.

Start by understanding your true costs across all sales channels. Then set prices that allow for profitability while offering competitive prices.

Monitor sales trends to identify when demand increases or decreases. Adjust pricing accordingly.

Consider your average order value when planning promotions. Bundling products can increase order value while maintaining margins.

Dynamic Pricing

Dynamic pricing automatically adjusts your prices based on competition and demand.

A repricing tool can help you stay competitive without constant manual updates. Set minimum and maximum price rules to protect your margins while responding to market changes.

Tools for Price Optimization

Sellers can utilize tools like Link My Books to analyze their sales data and optimize their pricing strategies to maximize profitability.

Repricing tools can also help you stay competitive automatically. A Walmart repricer adjusts your prices in real-time based on competitor activity and your profit rules.

How to Calculate Your Total Costs

Before listing a product, calculate your total costs to ensure profitability.

Cost Breakdown Example

Let's say you're selling a kitchen gadget priced at $50 in the Kitchen category (15% referral fee), using WFS for a 2 lb item.

Product cost (COGS) — $18.00

Walmart referral fee (15%) — $7.50

WFS fulfillment fee (2 lbs) — $4.95

Estimated advertising cost — $3.00

Packaging and prep — $1.50

Total costs — $34.95

Your profit — $50.00 - $34.95 = $15.05 per sale

That's a 30% profit margin. If your margins are thinner, consider reducing costs or raising your price — while staying competitive.

Use Walmart's Fee Calculator

Walmart offers a WFS fee calculator in Seller Center to estimate your fulfillment and storage costs.

Enter your product's weight, dimensions, and category to get an accurate cost estimate before committing to inventory.

Monitor Profitability Over Time

Your costs will change. Storage fees increase during peak season. Advertising costs fluctuate. Return rates vary by product.

Review your margins monthly and adjust pricing as needed to maintain profitability.

Cost Optimization Tips

Reducing costs directly increases your profit margins. Here are proven strategies to optimize your Walmart selling costs.

Choose the Right Fulfillment Method

Compare WFS costs against self-fulfillment for each product. WFS saves time, but self-fulfillment may be cheaper for slow-moving or oversized items.

Optimize Product Dimensions

Smaller, lighter packaging reduces WFS fulfillment fees. Review your packaging to eliminate unnecessary size and weight.

Avoid Long-Term Storage Fees

Move slow-selling inventory before the 12-month mark. Run promotions or adjust pricing to clear stale stock before storage fees spike.

Reduce Return Rates

Clear product descriptions and accurate images reduce returns. Every return costs you money — in processing fees and lost inventory value.

Negotiate Shipping Rates

If self-fulfilling, negotiate volume discounts with carriers. Even small savings per package add up at scale.

Leverage New Seller Discounts

Take advantage of Walmart's new seller programs while you qualify. The 75% referral fee discount dramatically improves early profitability.

Use Repricing Software

Automated repricing keeps you competitive without constant manual adjustments. Set profit floors to ensure you never sell at a loss.

Stay Informed

Sellers should continuously refine their business model and stay informed about updates to Walmart's fee structure to maintain profitability.

Walmart updates fees periodically. Subscribe to Seller Center announcements and review the Marketplace Learn hub regularly.

Setting Up Your Seller Account

The registration process to sell on Walmart is free.

To create your walmart account, you'll need:

Business information — Tax ID, business address

Bank account — For receiving payments

Product information — Categories you plan to sell

Once approved, you'll access Walmart Seller Center to manage listings, orders, and fees. The seller account dashboard shows all your costs in one place.

FAQs

Does Walmart charge monthly fees to sell on its Marketplace?

No. Walmart does not charge any setup, subscription, or monthly fees to start selling on its Marketplace. You only pay referral fees when you make a sale.

What is the average referral fee on Walmart?

Most referral fees range from 6% to 15%, with most product categories averaging around 15%. Electronics and cell phones are lower at 8%.

How much does WFS cost?

WFS fees for standard items start at $3.45 per unit for items up to 1 lb. Fees increase based on weight and dimensions. Storage fees are $0.75 per cubic foot per month (off-peak) and $1.50 per cubic foot during peak season.

Can I dispute a referral fee?

Yes. Sellers can dispute a referral fee if they believe it was incorrectly categorized, but disputes must be submitted within 90 days of the order settlement date.

Are referral fees charged on shipping and sales tax?

Referral fees apply to the total sales price, which includes shipping and handling fees. Separately stated taxes are not included in the referral fee calculation.

Who handles sales tax on Walmart Marketplace?

In most states, Walmart collects and remits sales tax automatically under Marketplace Facilitator laws. In other states, sellers are responsible for collecting and remitting sales tax on their sales.

Is WFS cheaper than Amazon FBA?

Walmart Fulfillment Services costs 15% less than the competition on average. However, compare fees for your specific products — costs vary based on size, weight, and category.

Conclusion

Walmart Marketplace offers one of the most cost-effective platforms for eCommerce sellers.

Walmart does not charge upfront fees, subscription fees, or monthly fees to start selling on its Marketplace. You only pay when you make a sale.

Key takeaways:

Referral fees range from 6% to 15% — know your category rate before pricing

WFS fees start at $3.45 per unit and include fulfillment, storage, and returns processing

New seller programs can reduce your fees by up to 75% during your first months

Pricing matters — Walmart monitors competitor prices and may unpublish uncompetitive listings

Calculate your true costs, choose the right fulfillment method, and stay informed about fee updates. With the right strategy, Walmart Marketplace can be a profitable addition to your eCommerce business.

Ready to start selling? Apply for Walmart Marketplace — it's free to join.

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