In the world of e-commerce, fulfillment is a critical part of the customer experience. Whether you’re selling on Walmart or Amazon, choosing the right fulfillment service can affect your sales, customer satisfaction, and business growth. Walmart’s WFS (Walmart Fulfillment Services) and Amazon’s FBA (Fulfillment by Amazon) are two major players in the space, each with its own benefits and drawbacks. In this article, we’ll compare the two to help you decide which one best fits your business.

What is Walmart WFS?

Walmart Fulfillment Services (WFS) is Walmart’s answer to the growing demand for fast and reliable fulfillment.

WFS allows sellers to store their products in Walmart’s fulfillment centers, and Walmart handles the rest—picking, packing, shipping, and even customer service. By leveraging Walmart’s vast supply chain infrastructure, sellers can access the same level of fulfillment capabilities as the retail giant itself. WFS was launched to give Walmart Marketplace sellers an opportunity to compete with Amazon by providing an in-house solution for order fulfillment, offering both speed and scalability.

Key Benefits of Walmart WFS:

Access to Walmart’s Customer Base: When you use WFS, your products are eligible for Walmart’s two-day shipping, which can attract more buyers.

Lower Fees: Walmart’s fulfillment fees are often lower than Amazon’s FBA, especially for smaller or lighter items.

Integrated with Walmart Marketplace: If you’re already selling on Walmart, WFS integrates seamlessly with the Walmart Marketplace platform, making it easy to manage your business.

What is Amazon FBA?

Amazon FBA (Fulfillment by Amazon) is one of the most popular e-commerce fulfillment services, offering sellers a streamlined way to handle storage, packing, and shipping.

With FBA, sellers send their products to Amazon’s fulfillment centers, and Amazon handles the logistics—everything from picking, packing, shipping, to even returns and customer service. FBA has long been a key component of Amazon’s platform, offering not just logistics support but also a built-in audience of millions of shoppers worldwide.

Key Benefits of Amazon FBA:

Prime Eligibility: FBA products are automatically eligible for Amazon Prime, which can boost sales due to Amazon’s vast and loyal customer base.

Amazon’s Global Reach: By using FBA, your products can be sold internationally through Amazon’s global marketplace.

Comprehensive Fulfillment Services: Amazon offers a complete suite of services, including customer service, returns handling, and even multi-channel fulfillment (MCF) for sales outside of Amazon.

Walmart WFS vs. Amazon FBA: Fee Structure Comparison

Understanding the fee structure for each service is crucial in deciding which one will work best for your business.

Walmart WFS Fees: Walmart charges a fulfillment fee based on the size and weight of the item, as well as storage fees for the space your products occupy in their warehouses. Walmart’s fees tend to be more competitive compared to Amazon, especially when it comes to smaller or lighter products. However, sellers need to keep in mind that WFS is relatively new, so it may lack some of the advanced features and integrations that Amazon FBA offers.

Amazon FBA Fees: Amazon’s FBA fees are more comprehensive but also higher, especially for products that require long-term storage. Fees include storage fees (monthly and long-term), order handling fees, and shipping fees. For products that sell well and turn over quickly, FBA can be more cost-effective. However, for slower-moving items, the fees may add up, and the seller may find themselves paying more for storage.

Reach and Market Opportunities: Walmart vs. Amazon

Walmart WFS and Amazon FBA differ greatly in terms of the reach and market opportunities they offer.

Walmart’s Reach: Walmart’s customer base is enormous, but its online presence still lags behind Amazon. While Walmart’s Marketplace has been growing, it’s still smaller than Amazon’s in terms of active shoppers and total sales volume. However, Walmart is aggressively expanding, and its reach in the U.S. is significant, especially for certain categories.

Amazon’s Reach: Amazon’s marketplace is vast, with millions of active customers worldwide. If you're aiming for global exposure, Amazon is an obvious choice, especially with the ability to list your products in multiple international markets. Amazon’s FBA gives you access to a large and loyal customer base, with the added benefit of Prime membership, which boosts sales considerably.

Speed of Fulfillment: Walmart WFS vs. Amazon FBA

The speed at which orders are fulfilled can significantly impact your customer satisfaction and overall sales.

Walmart WFS: Walmart offers two-day shipping for products stored in its fulfillment centers. However, WFS is still catching up to Amazon in terms of speed and infrastructure. Although Walmart has been increasing its investment in fulfillment networks, some sellers report that the service is still maturing compared to Amazon’s vast logistics operation.

Amazon FBA: One of Amazon’s key advantages is its highly efficient and fast fulfillment network, which offers next-day or even same-day delivery for many products. If fast shipping is a priority for your business, Amazon FBA’s infrastructure is unmatched in terms of speed and scalability.

Customer Service: Walmart WFS vs. Amazon FBA

How each service handles customer service can impact your overall business reputation.

Walmart WFS: Walmart takes care of customer service for WFS sellers, including returns and exchanges, which can be a major benefit. However, the quality and responsiveness of this service may not be as refined as Amazon’s, given that Walmart is still refining its fulfillment ecosystem.

Amazon FBA: Amazon offers comprehensive customer service, including handling returns, replacements, and refunds. Amazon’s customer service is highly regarded for being efficient, which contributes to high customer satisfaction and repeat buyers. As a seller, you don’t need to worry about these aspects once you use FBA, as Amazon takes care of everything for you.

Which One Is Right for You?

Choosing between Walmart WFS and Amazon FBA ultimately depends on your business needs, product types, and goals.

Choose Walmart WFS if:

You’re selling products that are well-suited for Walmart’s audience (e.g., groceries, home goods, or everyday essentials).

You want to take advantage of Walmart’s lower fulfillment fees.

You prefer to focus on the U.S. market (though international expansion is possible through Walmart’s Global Marketplace).

Choose Amazon FBA if:

You’re looking for a more established and global fulfillment network with faster shipping.

You want to tap into Amazon’s vast international audience and take advantage of Prime membership.

Your products are high-turnover or have a large audience in Amazon’s core categories.

Conclusion

Walmart WFS and Amazon FBA each offer unique benefits, but understanding your business goals and the specific needs of your products is key to making the right decision.

If you’re looking for lower fees and targeting the U.S. market, Walmart WFS is a great option. However, if your goal is to scale internationally with fast shipping and an established global audience, Amazon FBA is the way to go. Regardless of which platform you choose, both offer powerful fulfillment solutions that can help you streamline your operations and grow your business.