Why Walmart Marketplace Applications Get Denied

Entering Walmart’s online marketplace is an exciting opportunity for ecommerce businesses, but navigating Walmart Marketplace's application process and getting approved as a seller isn’t always straightforward. Walmart maintains strict vetting criteria, ensuring only reputable, high-quality sellers make it onto the platform. If your application was rejected, don’t worry - you’re not alone. In this guide, we’ll explore the selling requirements, how to appeal a denied application, common reasons Walmart marketplace applications get rejected, and actionable steps to fix them.

Understanding the Walmart Marketplace Application Process

The Walmart Marketplace application process is designed to ensure that only qualified and reliable third-party sellers join the platform. To apply, you’ll need to create a Walmart Seller Center account and provide detailed information about your business, including your business tax ID, business tax classification, and business address.

The application process can take anywhere from 24 hours to four weeks, during which time Walmart will review your application and verify your business documentation. To expedite and increase your chances of approval, it’s essential to ensure that your business meets the minimum requirements, and your application is complete and accurate.

Business Requirements for Walmart Marketplace

Unlike Amazon, Walmart does not accept individual sellers. You must have a registered business entity. Therefore, Walmart requires proof that your business is legitimate.

To join Walmart Marketplace, you must meet the following requirements:

• Have a registered business in the United States with a valid business tax ID
• Provide accurate and consistent business documentation, including business registration documents, tax ID number, and business bank account information
• Have a physical business address in the United States
• Meet Walmart’s business verification requirements, which may include providing additional documentation or information

Check Walmart Marketplace Application Status

Once you have applied, you can check your application status by logging in to your Walmart Seller Center account. You will need to provide your email address and tax information to verify your account and view your status. It can take up to four weeks for Walmart to review your marketplace application. Once you are approved, you will be able to use Walmart Seller Center to create your product listings and start selling. If your application is rejected, you can appeal the decision or reapply.

How to Appeal a Denied Application

Walmart does not always specify why an application was not approved, so review your application closely for any errors. If your application is rejected and you believe the denial was a mistake, you can appeal the decision by creating a case with Seller Support before reapplying. Log in to your Walmart account and click on the Help button to contact Support. The Walmart Support team will review your case and contact you with any questions. Once you appeal the initial decision made by Walmart, the resolution reached in the appeal is considered the final decision. If the appeal is also rejected, you will need to reapply.

Process to Reapply to Sell on Walmart

The marketplace does not require a specific waiting period for reapplying for a Walmart seller account after being denied. However, it is recommended to address any issues raised before reapplying and to wait a reasonable amount of time to demonstrate significant improvements in your business practices. Expect for Walmart to review your customer service and fulfillment processes to ensure that they meet the marketplace's high expectations. Address any concerns regarding your company information and product catalog before repeating the entire application process. If you have any questions about reapplying, reach out to Walmart Seller Support for guidance.

Common Reasons Walmart Marketplace Applications Get Rejected (And How to Fix Them)

1. Lack of Business Verification Documents

Why It’s a Problem: Walmart requires sellers to prove their business is legitimate. If your application lacks proper verification documents, Walmart may reject it outright.

How to Fix It: Ensure you submit the following documents:

• Employer Identification Number (EIN) verification
• Business tax ID
• A registered business name that matches official documents
• A valid W-9 form (for U.S. sellers)
• Any necessary state or federal licenses

Before reapplying, double-check that all details match your business registration records.

2. Inconsistent or Incomplete Business Information

Why It’s a Problem: Discrepancies in business details, such as mismatched addresses, phone numbers, or names, can lead to rejection.

How to Fix It:

• Ensure consistency in your business name, tax documents, and official registration.
• Use the same address, phone number, and contact details across all documents.
• If you’re using a DBA (Doing Business As), make sure it is officially registered and reflected in your application.

3. Lack of Ecommerce Experience

Why It’s a Problem: Walmart favors experienced ecommerce sellers with a proven track record. If you’re new to online selling or lack a strong presence on platforms like Amazon, eBay, or Shopify, your application may be declined.

How to Fix It:

• Build your ecommerce portfolio by selling on other platforms first.
• Gain positive customer reviews and a strong sales history.
• Provide links to your established online stores when reapplying.

4. Low Quality or Prohibited Products

Why It’s a Problem: Walmart enforces strict product quality guidelines and prohibits certain categories, including counterfeit goods, hazardous materials, and restricted items.

How to Fix It:

• Review Walmart’s prohibited product list before applying.
• Ensure your products comply with safety and quality standards.
• Provide products with GS1 barcodes/GTINs

5. Inadequate Fulfillment Capabilities

Why It’s a Problem: Walmart expects sellers to meet high fulfillment standards. You’ll need to ensure that your fulfillment processes are scalable, can handle a high volume of orders and can manage returns. If your logistics capabilities are inefficient, your application may be rejected.

How to Fix It:

• Offer competitive shipping times (2-day or faster is preferred).
• Use Walmart Fulfillment Services (WFS)
• Use reliable third-party logistics providers (3PLs) if needed.
• Demonstrate your ability to handle high order volumes efficiently.

6. Poor Pricing Competitiveness

Why It’s a Problem: Walmart prioritizes sellers who offer competitive pricing. If your prices are higher than other marketplaces, Walmart may see your products as uncompetitive, and not providing a good value or experience to shoppers on the marketplace.

How to Fix It:

• Research product pricing on other online marketplaces and adjust your pricing strategy.
• Price your products competitively, with prices that are close to or lower than those offered by other sellers.
• Offer competitive deals and bulk discounts.
• Use a modern repricing tool to stay competitive.

7. Negative Seller Reputation

Why It’s a Problem: Walmart Marketplace has high expectations for customer service and fulfillment. If you have poor seller ratings on platforms like Amazon, Shopify, or eBay, Walmart may decline your application.

How to Fix It:

• Provide excellent customer service and improve your response times.
• Respond to customer inquiries in a timely manner and resolve customer complaints efficiently.
• Maintain high fulfillment rates and low return rates.
• Get more positive reviews before reapplying.
• Offer fast and reliable fulfillment services, including shipping products quickly and efficiently

8. Unverified or Generic Email Address

Why It’s a Problem: Using a free email service (e.g., Gmail, Yahoo, or Hotmail) instead of a professional business email can make your application appear less credible.

How to Fix It:

• Use a business email associated with your domain (e.g., sales@yourbusiness.com).
• Ensure that the email matches the one on your official business documents.

9. Multiple Seller Accounts

Why It’s a Problem: Walmart does not allow sellers to have multiple accounts. However, exceptions to this policy may be made by Walmart, as determined in its sole discretion. To be considered for multiple accounts, you must have a legitimate business reason. Otherwise, Walmart may suspend or terminate your accounts. 

How to Fix It:

To open multiple Walmart Marketplace seller accounts, you must have a significant business reason to do so. The following is required to be considered for a separate account:

• Each seller account must have a separate email address, separate phone numbers, separate points of contact and separate account management.
• The products sold in each account must be different.
• Your performance metrics and your accounts must be in good standing.

10. Ignoring Walmart’s Terms and Policies

Why It’s a Problem: Failure to comply with Walmart’s marketplace policies, including ethical selling practices and return policies, can lead to rejection.

How to Fix It:

• Familiarize yourself with Walmart’s marketplace policies.
• Ensure you meet return, refund, and customer service expectations.
• If rejected, request feedback and make necessary adjustments before reapplying.

How to Reapply Successfully

If your Walmart seller application was rejected, take these steps to improve your chances:

• Identify the Rejection Reason: Walmart doesn’t always specify why an application is denied, so carefully review your application for any errors.
• Correct Any Issues: Address the issues mentioned in the rejection email or inferred from common rejection reasons.
• Gather Stronger Documentation: Ensure all business details and verification documents are accurate and up to date.
• Strengthen Your Online Presence: Provide exceptional customer service and improve your reputation on other ecommerce platforms.
• Use a Business Email: Avoid free email accounts and use a domain-based email.
• Ensure Competitive Pricing: Research pricing strategies and adjust accordingly.
• Reapply with Confidence: Once you’ve fixed all issues, submit a new, error-free application.

Conclusion

The Walmart Marketplace presents a massive opportunity, but gaining approval requires careful preparation. By understanding the common reasons for rejection and taking corrective steps, you can increase your chances of approval and successfully join one of the fastest growing retail platforms. If you’ve been rejected, don’t give up. Refine your approach and reapply with confidence!