Over 150,000 merchants compete daily for their buyers’ attention on Walmart, one of the world’s largest retail marketplaces. As an online seller, your best shot at standing out and reaching more qualified leads is having a strong Walmart Advertising strategy.
For those who know how to stand out, the platform offers a massive opportunity to boost sales, with millions of shoppers searching through its online storefront. Walmart advertising can seem complex at first.
This blog will walk you through a proven Walmart Ads strategy, which will help you gain a competitive advantage and skyrocket your revenue.
TL;DR – 5-Step Walmart Advertising Strategy
Unsure how to make the most of your limited budget while advertising on Walmart?
Here’s our 5-step advertising strategy to follow for assured growth and success (we’ll discuss each in detail in the blog):
- Optimize product copy (titles and description)
- Target the “Buy Box” ad placement
- Leverage Walmart’s massive first-party data
- Once you’ve marketed, remarket!
- Aim for more positive customer reviews
Ready to start your Walmart ads journey? Sign up for an audit with IG PPC, which will help you launch strategic, well-targeted Walmart PPC ad campaigns that boost your sales and product rankings.
How Walmart Ad Sales Can Grow Your Business
Advertising on Walmart offers numerous incentives for your business.
Let’s outline them below:
Increased Visibility to High-Intent Buyers
Advertising on Walmart helps you promote your products to an active shopping audience, considering that over 250 million shoppers visit Walmart weekly.
The premise is already established that the target audience is willing to order products through Walmart’s online marketplace or retail outlet.
With effective advertising, potential buyers are likely to start noticing your products, with some becoming first-time buyers. You can capitalize on the increased visibility to win over more buyers and grow your customer base.
Improved Product Performance
Promoting your products on Walmart generates impressions and clicks, some converting into sales.
As more customers buy your products, your review count grows. This enhances your brand’s credibility and trustworthiness, which signals Walmart’s algorithm to prioritize your offerings in relevant searches.
High organic ranking further boosts your sales, improving product performance in the long term.
Competitive Edge
Advertising your products consistently on Walmart increases your brand’s recall value, differentiating your business from your competitors.
Over time, buyers also begin associating your brand with certain product categories, often resulting in repeat customers and word-of-mouth referrals.
Targeting Capabilities
Walmart Connect has robust targeting features that help you personalize your ads to specific audiences.
For example, you can leverage the platform’s first-party data to target high-intent buyers based on their purchase history and shopping behaviors. It helps you optimize your ad spend and boosts your expected ROI.
Optimizing Future Campaigns
Walmart advertising gives you access to advanced analytics about how potential buyers interact with your ads and product listings.
This provides an opportunity to improve future Walmart ad campaigns, increasing their impact and helping you convert more high-intent buyers into loyal customers.
Key Requirements to Advertise on Walmart
Your business must meet strict eligibility requirements to advertise on Walmart.
Here are the criteria:
- Active Seller Status: To access Walmart’s marketplace, you must create a seller account and receive approval. The application requirements include providing your business tax ID and bank details.
- Product Listing Requirements: Ensure you have at least one active product listing with the offerings in stock. The listing should be optimized and include essential elements like a title, description, and high-quality product images.
- Minimum Ad Spend: You must commit to a minimum monthly ad spend of $1,000 for self-serving campaigns or $25,000 for managed campaigns.
- Compliance with Walmart’s Advertising Policies: Sellers must adhere to Walmart’s advertising guidelines regarding restricted products, prohibited language, and image standards.
Walmart Advertising and Other Retail Platforms – Comparison
Like most businesses, you could be operating on a limited advertising budget, which requires optimizing your ad spend. The retail platform you choose influences your advertising costs significantly. As such, it is in your best interest to pick the best platform for you.
Below is an in-depth comparison of Walmart’s advertising compared to other leading retail platforms:
| Feature | Walmart | Amazon | Target | Instacart |
|---|---|---|---|---|
| Audience Reach | Provides immediate access to a broad demographic, including in-store visitors. | Has a global reach but doesn’t have physical stores for walk-in purchases. | Has a moderate reach compared to Walmart and Amazon. | Access to a niche market focused on grocery-related products. |
| Advertising Solutions | Combines Sponsored Products, Brands, Display Ads, DSPs, and in-store promotions to maximize audience reach. | Provides a comprehensive advertising suite, including Amazon Sponsored Products and Sponsored Brands, DSP, and Video Ads. | Limited to Sponsored Products, Display Ads, and curated lifestyle content. | Sponsored Products and Promotions focused on consumer packaged goods (CPG) brands. |
| Ad Cost Model | Uses a CPC (cost-per-click) model where you only pay for successful clicks. | Applies a CPC ad pricing model but the average bid amounts are often higher than Walmart because of its saturated marketplace. | Uses a CPC or CPM (cost-per-mille) model. | Sellers are charged for ads based on a CPC or CPM model. |
| Audience Targeting Features | You can access Walmart’s first-party data to refine your advertising strategy and tailor your ad copies to specific buyer personas, boosting lead generation and conversion. | Supports advanced targeting and retargeting to increase conversions. | Relies on consumer data collected from its loyalty programs to help sellers optimize their ads. | Provides limited insight for direct targeting as the data is based on grocery shopping patterns. |
| Competition | The platform is not yet saturated, making the bidding process less competitive. | Has a saturated marketplace, increasing the demand for ad placements. This drives up the winning bid amount, which could hurt your expected ROI. | Moderate competition compared to Amazon and Walmart. | Low competition because of the niche products. |
Walmart Marketing Strategy vs. Walmart Advertising Strategy
Walmart marketing is the strategy for getting your products in front of people who will buy them consistently. It’s all about creating a strong brand, identifying your target audience, and spreading a compelling message.
Conversely, advertising is part of it—powerful, maybe, but not the entire strategy. Knowing when to spend on sponsored ads or promote organic growth via competitive pricing and positive reviews is essential.
Note that a well-rounded Walmart strategy involves both marketing and advertising.
On that note, here are some key parameters to help you decide:
| Parameters | Walmart Marketing Strategy | Walmart Advertising Strategy |
|---|---|---|
| Goals | Building long-term brand awareness and customer loyalty | Boosting short-term sales Improve visibility for specific products |
| Waiting period for results | 2-3 months | 2 weeks minimum |
| Return on investment | Cannot be measured directly Creates a major impact on brand image and CLTV | Can be tracked by measuring impressions, clicks, and conversions |
| When to prioritize | While launching a new brand/product Revamping the brand | Quick sales boost Promoting seasonal best-sellers |
| Ease of implementation | Comparatively difficult | Easy to implement |
| Scalability | Can be scaled over time with consistent effort and investment | Highly scalable, based on performance |
Now, let’s look at how to set up your first Walmart ads campaign.
Walmart Advertising Strategy: Core Elements
Walmart Connect is founded on several key pillars to enhance seller performance and achieve consistent revenue. Let’s discuss them below:
Omnichannel Reach
Walmart Connect integrates in-store, online, and app-based advertising to help sellers reach a large audience and engage high-intent clients throughout their buyer journeys.
For example, you can purchase Walmart banner ads to promote your products in relevant marketplaces and Walmart DSP placement to target offline customers.
Data-Driven Audience Targeting
Walmart’s first-party data helps sellers tailor their ads to match the interests of specific audiences. It also provides data-backed insight into buyer behavior, including order history and user journeys on Walmart marketplaces.
For example, suppose the data shows shoppers frequently purchase snacks in the ‘healthy’ category. This information allows you to create hyper-targeted ads about your low-fat chips or zero-sugar beverages. You can also place the ads in premium areas, like the top of results pages, when buyers search “healthy snacks.”
Automated Campaigns
You can automate your Walmart ad campaigns to reduce the time spent monitoring bid prices. For example, setting your daily budget limits how much you spend on ads. This reduces the risk of overspending or exhausting your lifetime budget.
Alternatively, you could automate the campaigns using external software that streamlines the process, including optimizing ads and adjusting bid prices.
Diverse Ad Types
Walmart Connect offers various ad types, including:
- Sponsored Products
- Sponsored Brands
- Sponsored Videos
- Walmart DSP
Each ad type provides a unique way to capture buyers’ attention and entice them to take action (order your products).
Performance Tracking
Once you sign up for Walmart Connect, you can access your campaigns’ KPIs through your seller dashboard. You can also track your Walmart advertising costs to help you optimize your ad spend and determine your ROI.
Alternatively, you can integrate third-party tools to track and analyze your advertising performance metrics and refine your strategy.
How to Advertise on Walmart
Advertising on Walmart is easier than you might imagine.
Here’s a detailed breakdown of how to begin:
Step 1: Sign Up as a Walmart Marketplace Seller
Before implementing a Walmart advertising strategy, you must have legitimate products to sell on the platform. To get started, first apply to be a Walmart Marketplace seller. Simply enter your business information to start listing your product catalog.
Step 2: Create Your Product Listings
Walmart Marketplace suggests you should include nearly a hundred items.
On that note, the platform provides sellers with two options to list their products:
- Full item spec: For sellers wanting to create 100% original, non-identical product listings
- Setup by match: For sellers offering products similar to the ones already available on Walmart
Use high-quality product images and captivating product descriptions, and set reasonable prices. The better your listings, the more tempting they will be to buyers, and the more effective your marketing will be.
Step 3: Request Access to Advertising
After your listings are live, you can apply for access to Walmart Connect, the retailer’s advertising platform. Visit their “Start Advertising” page to create an account, and fill out the form with important seller details.
Don’t worry if you don’t hear from them within 24 hours. Walmart usually sends a confirmation email within five business days.
Step 4: Participate in a Walmart Advertising Webinar (optional)
Walmart offers free seminars to teach you how to advertise on their platform.
While optional, these webinars are packed with helpful information and advice. They will help you with campaign setup, budget optimization, understanding different ad formats, and more.
Step 5: Plan Your First Campaign
Once approved, log onto Walmart Ad Center and click the “Create Campaign” button. For better understanding, start with a simple, clear, and descriptive campaign name.
Ensure to clear the following doubts before you go any further:
- What’s your campaign type?
- What targeting tactic will you use?
- What’s your ad spend budget and timeline?
Need help optimizing your Walmart advertising strategy? At IG PPC, our experts perform in-depth analysis and personalized strategy planning to identify the key areas where your campaigns can hit the mark.
Schedule your no-cost, comprehensive audit now, and take the first step towards winning big on Walmart.
5-Step Walmart Advertising Strategy
Struggling to increase sales at Walmart? Having excellent products is not enough. You need to promote them to the most relevant audiences right when they’re ready to buy.
We’ve got you covered with a 5-step strategy to boost your marketplace sales:
1. Optimize Product Copy (Titles and Description)
Your product copy is the first thing buyers come across when searching for relevant items.
Make sure you’re creating an amazing first impression with words – here’s how:
- Clear and concise: Always include relevant, high-performing keywords that buyers actively search to rank your product organically.
- Persuasive tone: Don’t worry about features; communicate your product’s main benefits. Is it addressing your buyers’ pain points? Does it offer anything they wouldn’t find elsewhere? Build an emotional connection.
To attract your buyers even more, use high-quality product images—clicked from different angles with proper light setup—along with professionally designed infographics.
2. Target the “Buy Box” Ad Placement
The Walmart “Buy Box” is a prime advertising spot on the platform’s product pages, allowing customers to directly “Add to Cart” hassle-free.
However, winning the “Buy Box” placement depends on how you’re setting your prices (shipping charges included). Simply put, the lowest prices convert the most buyers.
Here are a few things to check while you’re targeting this placement:
- Maintain enough inventory at all times
- Meet (or better, exceed) the estimated shipping time
- Make sure your seller page has enough positive customer reviews
Data suggests that buy boxes account for 82% of sales, which means that if you win this ad placement, you dramatically enhance your chances of closing a sale.
3. Leverage Walmart’s Massive First-Party Data
As a seller, you must actively study consumer behavior and trends to target the right demographic at the right time.
Fortunately, Walmart Performance Ads gives you access to the platform’s massive first-party database. This data can help adjust your ad targeting and make your campaigns more effective. You’ll learn which keywords are effective, which demographics your products appeal to, and how to make the most of your ads budget.
4. Once You’ve Marketed, Remarket!
Remarketing targets people who have already expressed interest in your products by visiting your Walmart product pages or adding things to their cart.
These ads reinforce your brand messaging and keep your products top-of-mind for the future. Since remarketing focuses on re-engaging people already familiar with your brand/products, it’s often less expensive than acquiring new customers.
Besides being cost-effective, these campaigns have higher click-through and conversion rates than standard ad campaigns, leading to a higher ROI.
5. Aim for More Positive Customer Reviews
At Walmart, positive reviews act as your social proof.
They help establish trust among potential buyers and increase your product’s ranking. According to Forbes, 49% of customers trust positive reviews as much as a close friend or relative’s direct recommendation to decide whether to purchase a product.
That said, motivate satisfied customers to write reviews and respond thoughtfully to any negative criticism you receive.
Tips to Drive More Sales on Walmart Marketplace
Are you looking for more tips to remain fiercely competitive and consistently increase sales on Walmart?
Here are some key points to follow:
- Share of Voice (SOV): Pay close attention to your competitors’ ads; if you don’t appear alongside them, you’re losing future customers.
- Weekend marketing: Remember, people go shopping on weekends, too. Run targeted ads with higher bids during these peak buying hours.
- Mobile-First: Many Walmart customers browse on smartphones. Optimize product photos and titles for small displays to improve mobile conversions.
- The 2-Week Rule: Collect at least two weeks of data before making major revisions to your ad campaigns. You should be patient; fluctuations are normal early on.
- Product bundles: Make bundles or kits that offer value and convenience to raise the average order value.
- The “clearance” Strategy: Occasionally provide smart discounts or clearance deals; it can boost traffic and reduce inventory.
Tired of being outbid by competitors? Learn how IG PPC’s strategic bidding techniques can place you ahead on Walmart’s online storefront without breaking the bank. Step up your Walmart Ads game today – book a no-cost audit with us.
Walmart Advertising Tools for Better ROI
With new sellers joining the Walmart Marketplace every so often, the competition for buyers’ attention will increase by the day. As such, it is in your best interest to streamline your Walmart ads strategy and get a competitive edge in your niche.
Below, we highlight the top three tools for optimizing your Walmart advertising ROI:
1. IG PPC
IG PPC offers a full-service solution for businesses and online retailers looking to grow their brand visibility and profitability on Walmart. Our process starts with a free audit of your Walmart advertising strategy to identify inefficiencies and ad wastage.
Next, we utilize the actionable insights from the audit to refine your ads strategy to optimize your budget and boost engagement. With over a decade of specialization in PPC advertising, our experts have niche-specific experience in advertising on Walmart. They can guide you to optimize your ad spend and drive more sales to your business.
Schedule a free call today so we can join forces and take your business to the next level!
2. Teikametrics
Teikametrics offers a paid tool for automating your Walmart ads campaigns. The tool leverages AI to track each campaign’s KPIs in real-time and suggest or implement changes.
Some built-in features include keyword discovery, bid automation, and performance reporting. Also, you can integrate Teikametrics to manage your campaign budget and track your Walmart ads spend.
3. Helium 10
Helium 10 provides a suite of tools for Walmart sellers to manage and scale their ad campaigns. Its intuitive user interface reduces the learning curve for new users.
However, its most popular feature entails data-driven reports that give sellers insight into market trends, keyword performance, and competitor analysis.
Common Walmart Advertising Mistakes to Avoid
Now that we’ve discussed what to do for maximized sales, here are some common rookie mistakes you must avoid while advertising on Walmart:
Mistake #1: Consistently Running Manual Campaigns
Manual campaigns offer excellent control, but it isn’t always an ideal place to start.
Why this matters: Picking the right keywords and managing bids strategically is crucial for manual campaigns.
If you’re new to Walmart marketing or introducing a new product, automatic campaigns can be a great way to learn. They help identify high-performing keyword phrases and gather data that can further guide your manual ads.
The solution: Begin with a mix of automated and manual campaigns. Once you have discovered your target audience with automation, go to manual campaigns to improve productivity and fine-tune your targeting.
Mistake #2: Incorporating all SKUs into Your Campaigns
Putting all products in your ads (without regard for individual performance) is a recipe for disaster.
Why this matters: Some things inherently sell better than others. Focus your advertising budget on high-potential products. You don’t want to waste money on goods with minimal ROI.
The solution: Make your best-performing items the top priority. Analyze sales data to find top sellers and high profit margins. Give these high-performing campaigns a larger percentage of your advertising spend.
Mistake #3: Spending Your Ad Budget without Planning
Beginning advertising without a clear plan/strategy is a surefire way to burn your Ad budget and get zero results.
Why this matters: A clear plan guarantees your advertising budget is aligned with your business goals. You risk overspending on poor campaigns or missing major opportunities without a plan.
The solution: Set specific objectives (e.g., boost sales, improve brand visibility) and create a budget to support them. Specify which campaigns should receive whatever amount of ad spend, then analyze the results to figure out what’s working.
Frequently Asked Questions (FAQs)
Before we leave, here are some of your most frequently asked questions about Walmart advertising strategy:
What Are the Different Advertising Options Available to Sellers on Walmart?
Sellers can reach customers at various points of their purchase journey with the following Walmart ad types:
- Walmart Sponsored Products: Your product will appear directly in search results and product pages for relevant queries, putting it in front of active buyers.
- Sponsored Brands: These feature your logo, a personalized headline, and best-selling items at the top of search results, increasing brand awareness.
- Display Ads: These ads garner potential buyers’ attention on different pages of Walmart’s website; excellent for showing bigger product lines or seasonal best-sellers.
How Does Walmart’s Sponsored Products Feature Work for Sellers?
A well-optimized Sponsored Products campaign can significantly boost your product’s visibility and clicks, leading to greater sales. When you bid on keywords relevant to your product, it will appear first in search results for customers who use those phrases. It’s a pay-per-click system, so you only pay when someone clicks on your ad.
How Much Does it Cost to Advertise as a Seller on Walmart?
Walmart’s advertising is incredibly flexible. You take charge of your spending and set daily caps to avoid overshooting your budget.
Your ad campaign costs depend on your goals, the competition for your chosen keywords, and a few other criteria. On the bright side, you have complete transparency and control over your spending.
What Tools Does Walmart Offer to Help Sellers Manage Their Ad Campaigns?
Walmart Connect is where sellers can plan, manage, and track their advertising campaigns effectively.
Here’s what you can do:
- Campaign Creation: Select the right keywords, specify your target demographic, and quickly create different ad campaigns.
- Performance Tracking: Get detailed information about your campaign’s performance (impressions, clicks, and conversions).
- Reporting: Download reports to analyze data and fine-tune your strategy.
- Automation Options: Select automatic bidding (in which Walmart optimizes your bids) or manual bid amounts.
Conclusion
Don’t let Walmart’s massive marketplace scare you.
With a clear approach and these strategies, you can maximize sales and 10x revenue with well-targeted Walmart ads. Focusing on continuous improvement and incorporating a data-driven strategy is the secret to long-term success – whether you’re an experienced seller or just starting.
Ready to boost your Walmart sales but unsure where to begin?
Book a free audit with us to start reclaiming lost sales today!
