Walmart vs Amazon: Performance-Driven Marketplace Strategy for Established Brands

Most established brands already know Amazon inside out. You’ve run A/B tests on A+ content, fought through FBA stockouts, optimized Sponsored Brand campaigns, and dialed in your SEO workflows. But now, you’re seeing Walmart Marketplace gain traction—and wondering if it’s worth the focus, or just a distraction.

This isn’t a Walmart vs Amazon popularity contest. It’s a performance comparison: where does your brand get more return for effort, investment, and inventory?

Let’s look at what high-performing brands are doing right—and where the bigger wins are happening.

The Real Problem: Scaling Smart, Not Just Wide

Adding Walmart Marketplace can look simple on the surface: replicate your Amazon listings, sync your catalog, start ads, move volume. But that shortcut often leads to missed opportunities and wasted effort.

Here’s the real issue: Amazon and Walmart operate on two different playbooks. Copy-pasting tactics between them leads to weak performance across both.

Smart brands ask better questions:

• Where does each platform reward different seller behaviors?
  
• How do margins shift when ad costs and fulfillment options are rebalanced?
  
• Which KPIs actually indicate success across both?
  

Let’s break it down.

Channel Efficiency: How Cost Structures Shift Performance

If you’re measuring campaign ROI by ACoS or TACoS, your benchmarks will vary sharply.

On Amazon:

• Sponsored Products often dominate the budget.
  
• Competition pushes CPCs high—especially in mature categories.
  
• Organic rankings rely heavily on sales velocity and ad support.
  

On Walmart:

• Lower CPCs create a more efficient ROAS.
  
• Sponsored Product placements are limited but can be high-converting.
  
• Marketplace is still growing—first movers gain long-term ranking power with less upfront spend.

What to track:

• ACoS split by channel: Is Walmart driving profitable returns with less investment?
  
• Blended ROAS on top ASINs: Are your hero SKUs working harder on one platform than the other?

Catalog Optimization: One Size Doesn’t Convert on Both

Established Amazon brands often rely on bulk listing feeds and flat files to expand across channels. The problem? Walmart’s listing quality requirements—and customer expectations—are different.

Here’s where smart brands separate themselves:

• Image standards differ: Walmart emphasizes lifestyle imagery more heavily in SERPs.
  
• Title formats vary: Amazon rewards keyword density; Walmart favors clarity and shopper readability.
  
• Attributes matter more: Walmart’s filtering system punishes incomplete listings.
  

Quick Listing Audit Checklist

• Are all product categories mapped to the correct Walmart taxonomy?
• Have you optimized image 1 for mobile click-through?
• Are product highlights written as short, benefit-driven bullet points?
• Is your content meeting the minimum spec for rich media eligibility?

Fulfillment Strategy: The Inventory Equation

Amazon FBA offers scale, trust, and a machine that rewards fast-moving SKUs. Walmart Fulfillment Services (WFS) is gaining traction, but lacks the same level of maturity.

Smart brands think beyond “FBA vs WFS.” They ask:

• Where can we afford to run leaner inventory levels?
  
• Which SKUs should go multi-channel? Which should stay exclusive?
  
• What’s the true impact of 1P-looking delivery promises on conversion?
  

Strategic Fulfillment Moves

• Use WFS for high-velocity, low-complexity SKUs—especially where fast delivery impacts Buy Box.
  
• Reserve Amazon FBA for replenishment-heavy ASINs with existing demand forecasts.
  
• Avoid duplicate inventory builds. Use 3PLs for neutral ground storage.
  

Advertising Strategy: Platform-Specific Levers That Drive Results

On Amazon, the ad ecosystem is deep and dynamic. You’re managing auto/manual campaigns, Sponsored Brand, Display, DSP, and retargeting. On Walmart, it’s simpler—but that simplicity can be an advantage.

Walmart Ads Key Tactics:

• Use manual keyword targeting to own specific queries early.
  
• Bid on competitor brand terms—you’ll face less friction than Amazon.
  
• Test Sponsored Brand Video (SBV) for low-cost awareness plays.
  

Amazon Ads Refinement Plays:

• Segment ad groups by keyword match type.
  
• Monitor TACoS per product line, not account-wide.
  
• Layer DSP with retargeting for replenishable products

Marketplace Data: Insights to Cross-Inform Decisions

If you’re only tracking Amazon Brand Analytics, you’re missing half the picture. Walmart’s reporting tools are simpler but can still uncover trends.

Data Sources You Should Be Using

• Walmart Listing Quality Dashboard: Helps prioritize content fixes.
  
• Amazon Search Query Performance Report: Shows which terms drive non-brand growth.
  
• Seller Central Business Reports + Inventory Health: Combine with external sell-through analytics to improve demand planning.
  

Cross-Channel Tactics:

• Use Walmart’s early mover advantage to test new product lines with less competition.
  
• Let Amazon ad data inform Walmart keyword targeting, especially for hero terms.
  

Avoiding Common Mistakes: Lessons from Top Sellers

Here’s what strong brands don’t do when expanding to Walmart:

• Treat Walmart like an Amazon “lite” version
  
• Replicate listings without reviewing Walmart’s category rules
  
• Rely on software that syncs content automatically without QA
  
• Assume fulfillment models will perform the same
  

And here’s what they do:

• Assign Walmart-specific KPIs at the product level
  
• Use performance audits monthly to prioritize fixes
  
• Work with channel partners who specialize in both marketplaces
  

Final Takeaway: Treat Walmart as a Strategic Channel, Not Just a Side Hustle

Walmart isn’t the right fit for every ASIN. But for established brands on Amazon, the better question is where it fits in your overall growth strategy.

With the right playbook, you can:

• Lower your blended ACoS
  
• Improve inventory ROI
  
• Capture early share before your competitors move in

At Prime Retail Solution, we partner with growth-focused brands to build customized strategies that:

• Improve SKU-level performance on Walmart and Amazon
  
• Run smarter ads that drive down blended TACoS
  
• Ensure content, fulfillment, and reporting are tailored—not duplicated
  

Want to see how a dual-marketplace strategy could work for your brand?