In today’s e-commerce landscape, few platforms hold as much influence as Walmart and Amazon. These retail giants have established themselves as dominant players in the online marketplace, attracting millions of customers to various products, including beauty items.

Are you a beauty seller looking to tap into Amazon's and Walmart's e-commerce potentials? If so, you might need help choosing which platform to use. Both platforms offer unique advantages and challenges, so it is essential to have a deep understanding of their differences. In turn, you can weigh your options carefully and pick the platform that suits your business's needs.

Selling on Amazon vs. Walmart: Pros and Cons

Let us have a quick rundown of Amazon and Walmart's advantages and disadvantages to help you determine the right platform for your brand.

Amazon

·       Pros

1. Vast customer base: Amazon boasts the most significant number of customers among other e-commerce marketplaces, serving over 310 million active accounts
2. Prime membership: To boost customer engagement and satisfaction, you can tap into Amazon loyal shoppers via Prime and offer exclusive deals, such as free two-day shipping or same-day deliveries.
3. Advertising opportunities: Amazon offers robust advertising tools, like Sponsored Brands and display ads. They enable you to boost brand visibility on the platform, making customers more likely to click on your products and convert.

·       Cons

1. Fierce competition: There are over 7 million sellers on Amazon. As such, it could be challenging to stand out and compete, especially against more established beauty brands on the platform.
2. Seller fees: Amazon charges referral fees, selling plans, fulfillment fees, and other costs. While they might not look expensive on paper, they can significantly impact your profit margins. Then, you would have to increase prices to compensate, which could drive down customer satisfaction and sales.

Walmart

·       Pros

1. Growing e-commerce presence: Walmart's online sales have steadily increased over the past few years. As such, it has become an ideal platform for beauty brands trying to find their footing on the e-commerce landscape.
2. Less competition: Unlike Amazon, Walmart's marketplace only has over 150,000 sellers. It allows new and niche beauty brands to stand out and build visibility.
3. Walmart Fulfillment Services (WFS): WFS provides efficient end-to-end fulfillment and storage options. It can streamline order processing and improve customer satisfaction to help you achieve better delivery times.

·       Cons

1. Smaller customer base: Walmart's online customer base is smaller than other e-commerce platforms. As such, you might have difficulty reaching potential customers and generating higher sales.
2. Less robust advertising: Walmart's advertising platform only offers two campaign types: Sponsored Search and Display ads. This limit restricts how you reach prospective buyers, making it even more challenging to drive leads and encourage conversions.

Which E-Commerce Platform Works Best For Your Beauty Brand?

Choosing between Walmart and Amazon as an e-commerce platform for your beauty brand requires careful evaluation, as both retail giants present distinct advantages and drawbacks that would significantly impact your success. After all, a platform's size doesn't necessarily guarantee good performance.

For instance, while Amazon's vast customer base and advertising opportunities may be attractive, it would take time to stand out. Meanwhile, Walmart's smaller customer base offers lower sales than Amazon's greater revenue opportunity. Ultimately, the perfect choice depends on your goals, brand identity, and willingness to navigate each platform's features.

Learn more about the nuances of selling on Walmart vs. Amazon for beauty brands in the infographic below.