How to Leverage 1P and 3P Selling Models on Walmart Marketplace for Maximum Success

Building on our detailed analysis of 1P vs. 3P Sellers on Walmart Marketplace, this follow-up blog dives deeper into actionable strategies to help brands thrive, regardless of their chosen selling model. With Walmart’s rapidly expanding marketplace and increasing competition, understanding how to capitalize on the strengths of each selling model—and mitigate their challenges—is crucial for long-term success.

Understanding the Selling Landscape: Key Takeaways from 1P and 3P

If you’re navigating the Walmart Marketplace, you likely fall into one of two categories:

• 1P Sellers: They sell inventory wholesale to Walmart and let them handle pricing, marketing, and logistics.
• 3P Sellers: Retaining control over pricing, branding, and fulfillment, while leveraging Walmart as a marketplace channel.

Both approaches have unique advantages and hurdles, but the ultimate question is how to maximize these benefits while addressing potential pitfalls.

Learn more about the advantages and disadvantages of each category: Walmart 1P vs 3P Sellers

Optimizing for Success as a 1P Seller

Leverage Walmart’s Trust and Credibility

• With Walmart listed as the seller, your products benefit from instant trust. Ensure you offer competitive pricing and align your inventory with Walmart’s target audience—think high-demand, low-cost items.
• Walmart’s extensive marketing tools, such as Rollback Promotions and Sponsored Ads, can be used to boost conversions.

Mitigate Brand Control Challenges

• Collaborate with Walmart to ensure your brand message is consistent. Provide optimized product descriptions, high-quality images, and clear value propositions to safeguard your brand identity.

Prepare for Margin Pressures

• Offset lower margins by increasing sales volume. Use tools like GrowByData’s Marketplace Intelligence to identify high-performing product categories and refine your offerings.

Unlocking the Full Potential as a 3P Seller

1. Take Full Advantage of Control

Own your pricing strategy to maximize margins and maintain consistency across marketplaces. This is especially critical for enforcing Minimum Advertised Price (MAP) policies.

Optimize your product listings for Walmart searches using keyword-rich titles, detailed descriptions, and high-quality images to outperform competitors.

Learn more about Product Listings for Walmart here: Get Your Product Listings on Top with Walmart SEO Strategy

2. Handle Fulfillment Strategically

While Walmart does not handle fulfillment for 3P sellers, you can use Walmart’s Free 2-Day Shipping program to increase visibility and win more sales. Ensure your logistics partners meet delivery standards to stay competitive.

3. Invest in Marketing and Customer Engagement
Run promotions and manage ad campaigns to attract buyers. With Walmart offering fewer promotional tools for 3P sellers, external solutions like GrowByData’s Ad Intelligence can provide insights into effective strategies used by competitors.

Blended Strategies: Why Not Both?

For brands with diverse product portfolios, a hybrid approach—selling both as a 1P and 3P seller—can be a game-changer.

• Use 1P for high-demand, price-sensitive products to leverage Walmart’s scale and marketing tools.
• Use 3P for niche or premium items where maintaining control over branding and pricing is crucial.

This dual strategy allows sellers to maximize both reach and profitability, creating a balanced approach to e-commerce success.

The Role of Data in Driving Marketplace Success

Regardless of your selling model, data is your most valuable asset. Tools like GrowByData’s Marketplace Intelligence and MAP Monitoring Software offer actionable insights to:

1. Optimize listings: Drive visibility and conversions with enhanced product pages.
2. Monitor competition: Understand price points, promotions, and trends across seller types.
3. Protect your brand: Enforce MAP compliance and maintain consistent pricing across channels.

Take Action: Your Roadmap to Walmart Success

Success on Walmart Marketplace requires careful planning, informed decisions, and consistent execution. Whether you’re considering 1P, 3P, or both, leveraging the right tools and insights can give you a competitive edge.

Are you ready to take your Walmart Marketplace strategy to the next level?

Let us provide custom insights (for FREE) to show you how to optimize your listings, improve visibility, and drive sales.

Contact GrowByData Expert today for detailed guidance and innovative solutions tailored to your business needs.

By focusing on strategic planning, consistent optimization, and data-driven insights, brands can unlock the full potential of Walmart Marketplace, whether they operate as a 1P, 3P seller, or both.