Walmart Fulfillment Services (WFS) is a program designed to help businesses manage inventory and order fulfillment. It provides a streamlined process that allows you to focus on growing your business while Walmart handles the logistics. However, before signing up for WFS, it’s important to understand how much is the WFS fee for item storage and fulfillment is from Walmart. Knowing these fees can help you make an informed decision and avoid unexpected costs. This blog delves into the significance of understanding WFS fees and provides insights into what to anticipate when collaborating with Walmart.
What are Walmart Fulfillment Services (WFS)?
Walmart’s Fulfillment Services program enables third-party sellers to conveniently store their merchandise in Walmart’s warehouses and seamlessly fulfill customer orders using Walmart’s efficient logistics network. It is designed to help sellers improve customer service by providing fast and reliable delivery through Walmart’s network of warehouses and carriers. Walmart takes care of all the shipping, handling, and customer service, which allows sellers to focus on selling their products.
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How to Become a WFS Seller?
To become a WFS seller, you must meet specific requirements and follow a few steps. Here’s what you need to know:
- You must have an active Walmart Marketplace account.
- It would help if you met Walmart’s fulfillment performance metrics.
- You must have a valid Business Tax ID.
- You must have a valid US-based bank account and credit card.
Steps to become a WFS seller:
- Go to the Walmart Marketplace website and navigate the WFS page.
- Review and agree to the WFS terms and conditions.
- Sign up for a Walmart Fulfillment Services account.
- Ship your products to Walmart’s fulfillment centers.
- Start selling your products through Walmart Fulfillment Services.
How to calculate the WFS fees on Walmart?
Source: Walmart knowledgebase
Walmart Fulfillment Services charges several fees, including storage, fulfillment, and return. Here’s how to calculate the payments:
- Storage fees: Walmart charges storage fees based on the volume of space your products occupy in their fulfillment centers. The fee is charged per cubic foot per month.
- Fulfillment fees: Walmart charges fees for each order fulfilled through Walmart Fulfillment Services. The fee is based on the size and weight of the product.
- Return fees: Walmart charges return fees for each returned item. The fee is based on the size and weight of the product.
How much is the WFS Fee?
The WFS Fee is handling your order fulfillment needs. This fee is based on a percentage of the order value and varies depending on the size and complexity of the order. It includes the cost of storage, pick and pack, labeling, shipping, and returns management, and lower fees charged.
One of the reasons why the fee is lower than other fulfillment services is that WFS has an extensive network of warehouses. It allows WFS to spread its costs and keep its fees down.
Additionally, WFS uses advanced warehouse management systems and automation technology to streamline processes.
How much is the Base Fee?
The Base Fee is the fee WFS charges for storage and warehousing services. This fee is based on the space your products occupy in the warehouse and is charged monthly. The Base Fee includes the cost of utilities, rent, and maintenance, as well as the price of warehouse management and security.
To calculate the base fee for your WFS items, follow these simple rules:
Step#1: Find the weight of your items.
Step#2: Use the table below to determine the base fee:
- If the weight of items is less than 1 pound, use weight to calculate the base fee.
- If the weight of items is over 1 pound, use the higher product weight or dimensional weight to calculate the base fee.
Step#3: To calculate the dimensional weight, use this formula: “The dimensional weight is the unit volume (length * breadth * height) in cubic inches divided by 139.”
Step#4: Add 0.25 pounds for packing materials and round off the value to the nearest pound to get the final shipping weight.
Step#5: Add $0.50 to the base fulfillment fee for Apparel and Hazardous materials.
If the longest side of your product is greater than 48 inches, the median side of your product is greater than 30 inches, or the length + girth of your product is more significant than 105 inches, add $3.00 to the base fee.
In cases where the longest side of your product is greater than 96 inches, or the length + girth is more significant than 130 inches, add $25.00 to the base fee.
How much is the WFS Storage Fee
The WFS Storage Fee products space is set monthly. The Storage fee includes the cost of utilities, rent, and maintenance, as well as the price of warehouse management and security. Compared to other fulfillment services, the WFS Storage Fee is generally competitive. WFS has a large warehouse and fulfillment network, allowing them to offer competitive pricing.
Calculate your storage fee based on the following criteria:
- From January to September, the storage fee is $0.75 per cubic foot per month.
- From October to December, the storage fee is $0.75 per cubic foot per month for up to 30 days. For storage beyond 30 days, an extra $1.50 per cubic foot per month will be added to the fee.
- For storage exceeding 365 days, the storage fee is $7.50 per cubic foot per month.
We have discussed the WFS fee for item storage and fulfillment from Walmart. We have learned that it offers a competitive fee structure that can benefit sellers looking to store and fulfill their products with Walmart. It is important to consider WFS as an item storage and fulfillment option to take advantage of its benefits. It can be a cost-effective and efficient solution for sellers. We recommend that sellers consider WFS a viable option for their item storage and fulfillment needs.