What to Sell on Walmart Marketplace: How to Choose the Best Products for Maximum Profitability

The Walmart Marketplace continues to attract a growing number of third-party sellers thanks to its massive customer base, trusted brand reputation, and rapidly expanding eCommerce presence. But simply listing your products on Walmart isn’t enough to guarantee success. One of the most critical decisions you can make as a seller is choosing the right products to sell. In this article, we’ll walk you through the key considerations, data points, and strategies to help you select the best products to sell on Walmart Marketplace.

Introduction to Walmart Marketplace

Walmart Marketplace is a dynamic platform that allows third-party sellers to list and sell their products on Walmart’s expansive website. As a Walmart Marketplace seller, you gain access to over 100 million unique shoppers each month, providing a significant opportunity to boost your sales and revenue. One of the standout advantages of selling on Walmart Marketplace is the competitive pricing environment and the presence of fewer competitors compared to other e-commerce platforms, like Amazon. This means you can carve out a niche for your products more easily and attract a loyal customer base.

To thrive as a Walmart Marketplace seller, it’s essential to meet Walmart’s performance standards, provide accurate and detailed product information, and maintain a professional business presence. With the right product strategy, you can maximize your sales and revenue, leveraging Walmart’s trusted brand and extensive reach to grow your online business.

Why Product Selection Matters on Walmart Marketplace

When you start selling on Walmart, it's important to carefully consider what products to list. Unlike some other platforms, Walmart prioritizes customer satisfaction, competitive pricing, and fulfillment speed. The right products not only help you drive sales but also boost your seller performance metrics, increase Buy Box wins, and reduce returns or customer complaints. Poor product choices, on the other hand, can hurt your reputation and limit your visibility in search results. Additionally, it is crucial to adhere to Walmart Marketplace's Prohibited Products Policy to avoid listing violations and maintain a good seller reputation.

10 Tips for Choosing the Best Products to Sell on Walmart

A smart product approach and strategy is important to maximize sales and profit on Walmart. Here are 10 tips to help you determine the best products to sell on the marketplace.

1: Understand Walmart’s Customer Base

Before choosing a product, get to know Walmart’s core audience. Walmart shoppers are typically:

• Price-sensitive and value-driven
• Interested in everyday essentials and practical purchases
• Open to new brands, especially if the price is competitive
• Shopping across a broad range of categories from home goods to electronics to apparel
• Interested in baby care products, which are essential and have a growing market

Use this information to tailor your product strategy. For example, while a luxury handbag may perform well on other platforms, a high-quality budget-friendly option might resonate more with Walmart customers.

2: Use Data to Identify High-Demand Products

Choosing products based on guesswork is risky. Use reliable data sources to identify Walmart's top selling categories, trending items and consumer demand. Some effective tools include:

• Walmart’s Best Sellers List: Review top-selling products in your target categories for insights.
• Google Trends: Analyze search demand over time.
• Keyword Research Tools: Use tools like Sellerg8 to assess Walmart-specific keyword volume.
• Walmart Marketplace Growth Tools: Many third-party services, such as SellCord, offer dashboards with demand forecasting and product suggestions.

Look for:

• High search volume
• Low competition
• Healthy profit margins
• Positive customer reviews on similar products

3: Evaluate Product Profitability

A successful product isn’t just popular; it needs to be profitable. Factor in all costs:

• COGS (Cost of goods sold)
• Shipping and fulfillment costs (especially if using Walmart Fulfillment Services)
• Walmart referral fees (typically 6-20% depending on category)
• Returns or damages
• Marketing or ad spend (if you use Walmart Sponsored Products)

You should also determine the amount of money you are willing to spend on Walmart advertising and promotions to enhance product performance and reach.

Use this formula to estimate your profit:

Profit = Selling Price - COGS - Fees - Shipping - Marketing Costs

Aim for a minimum profit margin of 30-40% to leave room for unforeseen expenses.

4: Assess Competition and Saturation

Research the competition of your products so you know what you are up against, and determine how to make your product stand out. Highly competitive niches can be difficult to break into unless you offer a unique value proposition. Here’s how to evaluate competition:

• Search your product on Walmart and analyze the number of listings
• See how many other Walmart sellers offer the same or similar items
• Review Buy Box winners and prices
• Check product ratings and reviews

Avoid entering overly saturated categories unless you have a way to stand out, such as through bundling, exclusive features, or better pricing. Offering more competitive pricing can attract buyers and help you thrive in a competitive market.

Pro tip: Use an approved Walmart repricer to automate competitive pricing while protecting your profit margins.

5: Consider Seasonal Trends and Consistent Demand

Some products may see temporary spikes (e.g., Halloween costumes), while others enjoy year-round sales (e.g., kitchen gadgets). Use past Walmart and industry sales data to forecast trends. For instance, there has been significant growth in categories like baby care and kitchenware, which can provide consistent demand. Another significant opportunity is selling clothing, particularly women's clothing, due to Walmart's extensive range and the projected growth of the apparel market.

Consider a product mix that includes:

• Evergreen products: Steady demand throughout the year
• Seasonal products: Boost sales during key shopping periods
• Trending categories: Product categories that are growing in demand.

Diversifying your product portfolio will provide more stability, and planning ahead allows you to stock up on inventory and optimize listings before a holiday surge.

6: Evaluate Fulfillment Compatibility

Walmart offers both seller-fulfilled and Walmart Fulfillment Services (WFS). Choose products that align with your fulfillment capabilities:

• Lightweight and compact products typically have lower shipping and WFS fees
• Fragile items may incur higher return rates if not handled properly
• Oversized items can be profitable but require careful logistics planning

If using WFS, check product eligibility and calculate fulfillment fees to ensure profitability.

7: Comply with Walmart’s Listing and Category Policies

It's important for Walmart sellers to know that some product categories require prior approval (e.g., jewelry, personal care, baby products). Certain items like baby food and baby formula are strictly prohibited.

Before sourcing products, review Walmart’s category requirements and listing guidelines. Always avoid restricted, prohibited, or gated products unless you have marketplace approval. Listing violations can lead to suspensions or account termination.

8: Optimize Your Product Listings

Leveraging Walmart's vast retail capabilities can lead to significant profit from online sales. It's crucial to create effective product listings to enhance visibility and sales. Once you’ve selected your products, take time to optimize your listings for Walmart search:

• Use high-quality images (1500x1500 pixels for zoom capability)
• Craft keyword-rich titles and descriptions
• Include relevant attributes (size, color, materials, etc.)
• Highlight unique selling points
• Set competitive pricing

Strong listings help increase visibility and conversion rates, especially for new products. Create listings that appeal to consumers by highlighting key features, including rich media, expedited free shipping and competitive prices. This is critical as consumers become more knowledgeable, accustomed to convenience, and increasingly favor online marketplaces for their shopping needs.

9: Set Competitive Product Pricing

Competitive pricing is a major factor when choosing what products to sell on Walmart. Research the market to set prices that are attractive to Walmart’s price-sensitive shoppers while still allowing for a healthy profit margin. Consider using Aura's AI repricer which works 24/7 to raise sales, protect margins, and surface the “why” behind every price move.

10: Use Seller Center

Seller Center is an indispensable tool for managing your Walmart Marketplace account. This platform allows you to update your account settings, view detailed sales reports, and monitor your product catalog's performance. As a Walmart Marketplace seller, you can use Seller Center to respond to customer reviews, address any issues that arise, and ensure that your product listings are up-to-date and accurate.

By effectively utilizing Seller Center, you can streamline your operations, making it easier to manage your inventory, track your sales, and maintain high performance standards. This tool is essential for staying organized and efficient, helping you to focus on growing your business and maximizing your sales on Walmart Marketplace.

Bonus Tips:

Product Ideas That Perform Well on Walmart

Based on recent marketplace trends, here are some categories that continue to thrive:

• Home and kitchen (e.g., organizers, cookware)
• Health and personal care (e.g., supplements, grooming tools)
• Baby and kids’ products (e.g., toys, accessories)
• Pet supplies (e.g., grooming, food storage)
• Electronics accessories (e.g., chargers, cases)
• DIY and tools (e.g., home repair kits)
• Personal grooming products (e.g., razors, skincare) especially with increased consumer awareness about self-care

Common Mistakes to Avoid

When deciding what products to sell on Walmart, avoid these costly mistakes:

• Choosing products without validating demand
• Ignoring fulfillment costs or monthly fees
• Entering over-saturated categories with no differentiation
• Violating listing or category policies
• Not optimizing listings or pricing competitively
• Failing to understand Walmart’s prohibited products policy, which can lead to listing violations and account suspensions

Measuring Product Success

Measuring the success of your products on Walmart Marketplace involves tracking key performance indicators (KPIs) such as sales, revenue, and customer satisfaction. Regularly monitor your product listings, pricing, and shipping methods to ensure they are optimized for maximum sales and revenue. Utilize analytics tools to track website traffic, conversion rates, product reviews, and other critical metrics that can provide insights into your performance.

By consistently measuring your success, you can identify areas for improvement and make data-driven decisions to optimize your business. This proactive approach will help you stay competitive and achieve long-term growth on Walmart Marketplace.

Frequently Asked Questions

Q: Can I use the same product strategy I use on Amazon for Walmart?

A: Not exactly. While there’s overlap, Walmart has a different customer base, fee structure, and fulfillment system. It’s important to tailor your strategy accordingly.

Q: Do I need to use WFS to be successful?

A: No, but WFS can improve your shipping speeds, search rankings, and customer trust, especially for high-volume items.

Q: How often should I update my product offerings?

A: Monitor performance monthly. Replace slow-moving items with better options, and adjust pricing or listings based on customer feedback and competition.

Q: Can I test products before fully investing?

A: Yes. Many sellers start small to test demand and optimize listings before scaling.

Q: Where can I find winning product ideas?

A: Check Walmart Best Sellers, competitor stores, social media trends, and use product research tools.

Final Thoughts

Success on Walmart Marketplace starts with smart product selection. By choosing products that align with Walmart’s customer expectations, marketplace rules, and your business capabilities, you set the stage for consistent sales and long-term growth. Use data to guide your decisions, stay nimble, and always be looking for the next opportunity to expand your catalog with high-demand, profitable items.