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Dive Overview:
- Through the new program, Walmart will allow third-party sellers to use its supply chain to fulfill orders and manage returns from any of its e-commerce sites, the company said in a statement on Tuesday.
- The Multi-Channel Solutions program will be available to all U.S. marketplace sellers starting Sept. 10, according to Walmart's guide to the service.
- Merchants who use the service can choose from two-business-day express and three-to-five-business-day standard delivery options, though Walmart said these delivery speeds are not guaranteed between October 1 and December 31, during sales or other times.
Dive Insights:
Walmart Multichannel Solutions augments the suite of supply chain services the retailer already offers its sellers, from ocean shipping services from China to the U.S. to local delivery capabilities. The program also puts Walmart in greater competition with Amazon, which offers a range of its own supply chain capabilities available to sellers.
Walmart is positioning its multichannel solution as a more cost-effective way than other methods to fulfill orders from multiple e-commerce marketplaces, and in its announcement on Tuesday it highlighted “reliable delivery and competitive rates that are an average of 15% lower than competitors,” based on the average fulfillment cost per item.
But the multi-channel solution has some limitations in the pre-launch phase. According to the program's website, products must meet the requirements for existing Walmart fulfillment services and multi-box items will not be eligible at launch. Additionally, merchants must ship orders to one of 11 Walmart facilities in eight states, and shipments can only be made to U.S. addresses.
The multichannel solution announcement was one of several fulfillment-related initiatives highlighted at Walmart's Marketplace Seller Summit this week.
The company is also rolling out Walmart LocalFinds, which offers pickup and delivery directly from merchants' brick-and-mortar stores to local customers. The service will launch in Atlanta and Dallas this fall, with other cities to follow. 1-800-Flowers.com will be the first national merchant to participate.
Additionally, Walmart allows merchants to deliver truckloads of items through its carrier network. Merchants who use the preferred carrier program can get special rates for shipping a few items or a truckload of items, according to Walmart.
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