While Western consumers remain accustomed to the convenience of Amazon, a new force from China is quietly transforming the dynamics of Walmart’s online marketplace. A year after Walmart accelerated its efforts to attract Chinese merchants, over half of its new sellers now hail from China. This shift has sparked industry speculation: Can these sellers replicate their Amazon success on Walmart’s platform and mount a credible challenge to Amazon’s dominance?
A Surge in Chinese Sellers
Since Walmart hosted its first official recruitment event in Shenzhen last March, the proportion of Chinese sellers has grown exponentially. Initially, only 6% of new sellers were of Chinese origin, with U.S. merchants holding overwhelming dominance. By the end of last year, however, the figure had risen to 20%, reaching 40% last month. Recent data reveals that 51% of the 1,000 newest Walmart sellers are based in China, compared to 46% from the U.S., underscoring the rapid influx of Chinese merchants.
Walmart’s Expansion Strategy
Walmart is also actively targeting other emerging markets. In April, the company held a similar recruitment drive in India, where fewer than 500 local sellers have since joined the platform.
To compete with Amazon, Walmart has rolled out several initiatives, including its Walmart Fulfillment Services (WFS) logistics program, opening the platform to international sellers, and increasing advertising in search results. These measures aim to enhance Walmart’s marketplace competitiveness and narrow the gap with Amazon. Nevertheless, Walmart maintains stricter seller requirements compared to its rival. Whether Chinese sellers can adapt to these standards and establish a foothold on the platform will significantly influence the evolving rivalry between the two retail giants.