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Dive Brief:
Looking to boost seller exposure, Walmart announced new in-store initiatives and AI-powered tools for its marketplace, the company announced Tuesday at its marketplace sellers summit. Its new Supercenter in Cypress, Texas, features in-store QR codes that let customers access extended online assortments.
The retailer is “bringing the extended Marketplace aisle into stores” with a few items on display that allow shoppers to then purchase through the Walmart app. Walmart also announced expanded next-day delivery coverage via Walmart Fulfillment Services (WFS) in top cities including Los Angeles, New York, Chicago, Houston and Atlanta.
Walmart debuted an AI-powered listing tool intended to help sellers reduce time to market and improve conversion rates. Additionally, the company is reducing its seller referral fee to 0% for qualifying toys ahead of the peak season.
Dive Insight:
Walmart is blending its digital offerings into the physical realm.
“Walmart has become one of the fastest-growing eCommerce platforms by focusing on what matters most: integrity, seller success and delivering exceptional experiences for customers,” Manish Joneja, senior vice president of Walmart U.S. Marketplace and Walmart Fulfillment Services, said in a statement. “Everything we’re building — from smarter tools to expanded fulfillment and global reach — is designed to accelerate seller growth and empower sellers to serve customers while driving their businesses forward.”
In addition to the fee cut on select toy listings during peak season, Walmart is also reducing the referral fee by 50% on qualifying pet supplies and up to 100% on some top-selling items across categories.
The announcement follows the retailer’s Q2 earnings last week, which showed revenue jumped 4.8% year over year to $177.4 billion. Walmart raised its full-year net sales outlook, despite seeing tariff-related costs increasing weekly.
“Marketplace sales grew nearly 20% with more sellers utilizing our fulfillment services,” Walmart CFO John David Rainey told analysts on a call. “Approximately 44% of marketplace volumes flow through WFS, an increase of 250 basis points versus last year.”
Walmart’s AI advancements for marketplace sellers also align with its larger strategy to unify its company framework around the technology. However, its big bet on AI hasn’t impacted top-line sales numbers yet as it is still in the early days of implementation.
The retailer’s store opening in Cypress, Texas, earlier this year marked Walmart’s first new Supercenter in four years. The location is the first of its kind in the U.S. under the “Store of the Future” model, featuring digital shelf labels. The company plans to open four more Supercenters across the country this year.