Dive Brief:
- Walmart will soon allow third-party sellers to use its supply chain to fulfill orders and manage returns from any e-commerce site via a new program, according to a Tuesday announcement.
- The Multichannel Solutions program will be accessible to all U.S. marketplace sellers starting Sept. 10, per a Walmart guide about the offering.
- Sellers using the service can choose between an expedited shipping option of two business days and a standard shipping option of three to five days. Those delivery speeds are not guaranteed between Oct. 1 and Dec. 31, as well as during sales events and other circumstances, according to Walmart.
Dive Insight:
Walmart Multichannel Solutions bolsters the suite of supply chain services the retailer already offers to sellers, ranging from a China-to-U.S. ocean shipping service to local delivery capabilities. The program also intensifies Walmart’s competition with Amazon, which offers its own variety of supply chain capabilities for sellers to use.
Walmart is positioning Multichannel Solutions as a more cost-effective way to fulfill orders from multiple e-commerce marketplaces compared to alternatives. Its announcement Tuesday highlighted "reliable shipping and competitive rates averaging 15% lower than the competition," based on average fulfillment cost per item.
However, there are some limitations to Multichannel Solutions as it gets ready to launch. Products must meet existing Walmart Fulfillment Services requirements, and multi-box items will not be eligible at launch, according to the program’s website. Additionally, sellers must ship orders to one of 11 Walmart facilities in eight states, and shipments can only be delivered to U.S. addresses.
The Multichannel Solutions announcement was among several fulfillment-related initiatives highlighted at Walmart's marketplace seller summit this week.
The company is also rolling out Walmart LocalFinds, providing direct pickup and delivery from sellers' brick-and-mortar locations to local customers. The service launches this fall in Atlanta and Dallas, with other cities to follow. 1-800-Flowers.com is the first nationwide seller to participate.
Additionally, Walmart is allowing sellers to tap into its carrier network for full truckload shipments. Sellers using its Preferred Carrier program can ship either a few items or an entire truckload at special rates, Walmart said.
