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You have a great product. You have terrific packaging. Now, to get the customer’s attention, you’ve developed a wonderful sidekick display. And your buyer just approved it!

A game changer. That’s what launching a Walmart sidekick promotion can be. It’s great if you’re looking to increase visibility and sales – but take heed: A sidekick promotion is not without its challenges. From start to finish, a sidekick is work. Work with a big payoff perhaps, but definitely work.

If you’re launching a sidekick display in Walmart, our 8th & Walton team hopes you will avoid these common pitfalls:

  1. Underestimating the cost
  2. Assuming Walmart will drive the sales
  3. Abandoning the process too soon

Instead, our 8th & Walton experts want you to keep these ideas in mind:

  1. Proper execution is critically important.In-store execution is often inconsistent because no two stores are the same. Even though your buyer may approve the promotion, there is certainly no guarantee that every store will execute it flawlessly.
    Not only do displays have to be put on store shelves, some of them have to first be constructed – by someone in the Walmart back room.

The reality is that Walmart store teams are busy, so if your display requires any sort of assembly it must be quick and easy to set up. If you have two pages of instructions telling how to build your display, some stores will never build it. And if it’s never set up or if it’s set up incorrectly, you will lose valuable sales.

After you’ve done your best to make sure your display is easy to assemble, the next step to proper execution is to be sure it actually gets put in place. To give your promotion the best chance of success, a third-party service provider can make sure your sidekick is set up in the stores and is properly displayed.Yes, this is an additional cost, but failure to have the support you need can lead to poor execution, ultimately making your promotion weak.

Tip: If you don’t have the staff to manage this properly, consider hiring an in-store service provider to check and confirm that your sidekicks have actually been set up in specific stores.

  1. You (not Walmart ) are responsible for promoting your product.Some suppliers assume that once a sidekick is in-store, Walmart will take care of selling the product. Not so. While Walmart provides the setting for your sidekick, handles its distribution and ensures your product reaches the store, the responsibility of driving a customer to make a purchase lies with you, the Walmart supplier.

So you need to do the marketing. You are the one who must build the strategies to encourage shoppers to pick up your product. This might involve additional efforts such as in-store signage, digital promotions, or even influencer campaigns to get customers excited about your sidekick display and eager to get their hands on your product.

Tip: Build a marketing plan to accompany your sidekick promotion – one that excites your potential customers about using your product and directs them to it in the store.

  1. Stick with it until the sidekick is on the shelf — and beyond.Don’t assume everything will go smoothly from beginning to end, and don’t think that once the sidekick leaves the warehouse, your work ends. Products can get delayed or misplaced in stores, and when that happens, your promotion won’t get the exposure you expected.

You need to own the process all the way to the store shelf and throughout the life of the promotion. This means following up on sidekick placements, checking if your products are displayed properly in the sidekick, addressing any issues quickly, and monitoring all activities.

Tip: Stay engaged throughout the entire process. From shipping to shelf placement and throughout the life of the promotion, be ready to intervene if things don’t go according to plan.

If you are a new Walmart supplier, start off on the right foot. Get expert guidance from 8th & Walton experts with decades of Walmart experience. We would be happy to help you.

Contact us today to learn more about how 8th & Walton can help you build your business with Walmart.

Get your free consultation today and take your Walmart strategy to the next level!

ConclusionLaunching a sidekick promotion at Walmart can be a great way to boost your product’s visibility. Just be sure to allow enough time and talent for checking all the details of every aspect, and plan to stay engaged throughout the process. It is you who must do the heavy lifting, and your active involvement from start to finish is the key to making sure your sidekick gets all the attention it deserves and all the sales you are hoping for.

The post 3 Pitfalls and Solutions for Walmart Sidekick Promotions appeared first on 8th & Walton.

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One of the first things Walmart suppliers notice when they begin working with Walmart’s Luminate is the difference between the names of the columns and the familiar Decision Support column names. *

To help you, 8th & Walton has selected six renamed, frequently-used terms and the reasons behind those changes.

DSS COLUMN NAME > LUMINATE COLUMN NAMEItem Nbr > Walmart Item Number
This change reflects Walmart’s branding and provides clear, recognizable terms for item tracking, making it more intuitive for users, especially new users.

Item Desc 1 > Item Name
This change aligns with standard product naming conventions and reduces confusion by eliminating the previous terminology, which could be ambiguous to new users.

UPC > Walmart UPC Number
This change makes the reporting data more uniform across platforms and clearly indicates that it’s the Walmart-specific UPC.

Vendor Stk Nbr > Vendor Stock ID
This change provides clearer labeling, using a more widely recognized term across industries.

Net Ship Qty > Net Receipt Quantity – This Year AND Gross Ship Qty > Gross Receipt Quantity – This Year

These updated and expanded terms help users distinguish between net and gross amounts more clearly.

How to find the names of other column re-names in LuminateLuminate includes features to make these column name changes more accessible. When selecting a column, hover over it, and a gray box will appear, providing the column’s current name, alias name (the previous name used in Decision Support), and a brief description of what it represents. This hover functionality makes it easy to transition without needing to memorize every new name.

If you need help with names and data attributesTo access support directly within Luminate:1. Click the three lines at the top right of your Luminate dashboard. 2. Locate and select the Support button. 3. Within the Support page, find the Attributes and Glossary section. 4. Here, you can access the Data Dictionary (also available at https://www.walmartluminate.com/dataDictionary).

The Data Dictionary enables you to search for specific columns, view current definitions, and get more context on each column’s function and data scope.

If you need further help
Luminate Basic can make a supplier’s work easier, but learning it can take time and be frustrating. 8th & Walton has experts who can help you learn Luminate accurately and quickly so you feel confident about your work. You can get answers directly from a person with decades of Walmart experience who is ready up to the minute with Luminate. Our team is happy to assist you.

8th & Walton also has set up Luminate Hub to help Walmart suppliers. To learn more about the Luminate Basic class or other services, please complete the contact form below for more information.

Final thoughts
Understanding these new names and using Luminate’s built-in tools will streamline your reporting processes and help you make the most of Walmart’s data. As Luminate continues to evolve, learn the key differences and know how to access support resources. That will make your work easier and more accurate — and make you an even better Walmart supplier.

*Walmart is changing the name of its data system from Luminate to Scintilla.

Contact us today to learn more about how 8th & Walton can help you build your business with Walmart.

Get your free consultation today and take your Walmart strategy to the next level!

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3 Tips for a Walmart Year With 53 WeeksWalmart’s fiscal year occasionally includes 53 weeks instead of the standard 52. The year that ends in January 2025 — Walmart Fiscal Year End 2025 — is such a year. A year with 53 weeks instead of 52 is like an unusual deck of cards . . . and you need to review the rules of the game and prepare yourself for some tricky plays.

How does a 53-week year happen?A 53-week year typically happens every six years or so and really is dependent on several factors, all related to how the Walmart calendar is built.

The basics of the Walmart Calendar:

  • The Walmart year begins February 1.
  • The week that contains February 1 is called Week One.
  • Walmart weeks begin on Saturdays and end on Fridays.
  • The Walmart year ends at the end of January — but not necessarily on January 31.

The set up for the Walmart quarters:

  • Walmart has 4-5-4 quarters. That means the first month of a quarter has 4 weeks, the second month in the quarter 5 weeks, and the third month 4 weeks.
  • This 4-5-4 pattern is repeated four times during the year, giving every quarter the same configuration.

Already you have figured out that the Walmart Calendar won’t look like other calendars. Most calendars start on January 1. Few calendars start each week on Saturday. No other calendars form a month by combining a few days in late October with November dates. (Because the Walmart Calendar is challenging, 8th & Walton prepares it for you each year so you don’t have to do it yourself. You can download your FREE Walmart Calendar HERE. We’ve got your back!)

As you wind up this year and its 53 weeks, keep these things in mind:

  1. You will have one additional week of sales. That’s for this year. Next year you will be back to having 52 weeks of sales.
    What to remember: Expect additional Walmart revenue to show up for your product this year. What may appear to be an extraordinary year may simply be an extra week. Don’t expect the same results next year (with its 52 weeks).
  2. Year-to-year comparisons are always somewhat tricky. Holidays fall on different dates, into different week numbers, and sometimes even into different Walmart months. But in a 53-week year, comparisons are still more complex.
    What to remember: Look at last year, this year, next year calendars side by side as you make decisions. Notice where the holidays fall and where the weeks and months begin and end. (8th & Walton’s 3-Year Planner helps you by displaying three years side by side and by quarter. All you have to do is download the calendar HERE. We’ve done the work for you. Like we said before, we’ve got you covered.)
  3. When one year has 53 weeks and the previous year has 52 weeks, doing week to week comparisons is not intuitive.
    What to remember: To be sure you are comparing apples to apples, keep in mind that Week 53 in FYE 2025 compares with last year’s Week 1 (FYE 2024), Week 1 in FYE 2026 compares with last year’s Week 2, and so forth.

Year-to-Year Comparison by Week

| FYE 2025 Week 52 | FYE 2024 Week 52 | | FYE 2025 Week 53 | FYE 2025 Week 1 | | FYE 2026 Week 1 | FYE 2025 Week 2 | | FYE 2026 Week 2 | FYE 2025 Week 3 | | FYE 2026 Week 52 | FYE 2025 Week 53 |

Download the full chart HERE

Many new suppliers feel great relief by talking with 8th & Walton. Our experts are happy to talk with you and provide a free assessment of your Walmart plans. No need to walk this path alone. Request the FREE assessment by completing the below contact form.

Conclusion: Don’t let the Walmart Calendar confuse or frustrate you. Do yourself a favor by downloading 8th & Walton’s weekly comparison sheet HERE. Don’t lose track of the significance of this 53-week year. Make the most of it!

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Ever wondered what a Walmart broker does and if those services would help you? Find out what a Walmart broker offers, the pluses and minuses of working with one, how to go about finding a broker who is right for you, options other than hiring a broker, and more.

What Is a Walmart Broker?At Walmart, a broker is hired by a supplier and acts as the middleman between that supplier and Walmart, taking on some of the planning, execution, or analysis the supplier would ordinarily do.

What Is a Walmart Broker’s Job?The specifics of what the Walmart broker does vary widely. Suppliers hire brokers to do anything from getting their product on the Walmart shelf to improving Walmart sales to reducing environmental waste. Some suppliers hire a broker to do just one or two specific tasks. Others want full service from their brokers.

A broker can perform any or all of these functions:

  • Analyze and manage sales data
  • Provide category insights
  • Take a supplier’s product from concept to the Walmart shelf
  • Offer negotiation guidance
  • Manage communication between the supplier and Walmart staff (buyers, merchandisers, etc.)
  • Provide item setup and maintenance
  • Run weekly reports
  • Select/advise on packaging decisions
  • Train staff
  • Develop and execute advertising campaigns for Walmart Connect
  • Oversee shelf placement of product
  • Improve a supplier’s supply chain: streamline operations, optimize logistics, drive efficiency
  • Set up/ attend/ present at line reviews
  • Plan promotions and analyze their results
  • Follow/report trends within a supplier’s category

Naturally, the more brokers do, the more money they get from the supplier.

What Are the Benefits of Working With a Walmart Broker?Retail is complex. Hiring a broker can provide advantages in a variety of areas.

  • A broker’s specialized knowledge can help a client navigate intricate processes and make better decisions.
  • Experience makes brokers aware of options that new suppliers couldn’t know, allowing them to get better deals for the supplier.
  • Brokers save clients time and reduce their stress so they can focus on their products.
  • For entrepreneurs unfamiliar with retail or with Walmart, a broker can mean the difference between rejection and acceptance. A good broker who is familiar with Walmart’s expectations, requirements, and forms will speed up the process and eliminate errors.
  • For a supplier team that is short-staffed or has limited funds, a broker may be able to fill in important gaps at a cost lower than hiring a full-time employee.
  • When time is critical and in short supply, a broker can often get results more quickly.
  • In complex situations, a broker can apply years of experience to keep things going swiftly, accurately, and efficiently.
  • When things are in a state of flux at Walmart, a broker can dedicate time and resources to staying abreast of all the changes, allowing the client to concentrate on other aspects of the business

What Are the Disadvantages of Working With a Walmart Broker?While hiring a broker can offer many benefits, there are also significant disadvantages:

  • Cost. Brokers typically charge fees or commissions. Those expenses usually are substantial and can eat into profits dramatically.
  • Bad advice. Some brokers have very limited experience, some have poor judgment, and some disregard deadlines. Not all brokers are what they say they are.
  • No learning. By relying on a broker, a supplier becomes less involved in decision-making, which ultimately prevents them from learning how to manage their Walmart business effectively.
  • The brand’s story is lost. When brokers represent multiple products, the uniqueness of each can be lost to the Walmart buyer. Nothing conveys the excitement and value of a product as well as the company founder or owner.
  • Isolation If you are not in the meetings at Walmart, you never get to know your buyer. You yourself have no relationship with that person or other decision-makers at Walmart.
  • Conflicts of interest. A broker may serve two competing suppliers. They may be more interested in what they earn than in a supplier’s product, sales, or growth at Walmart. A broker may have too many clients to serve each well or may cater to a bigger client while giving an upstart less time and attention.
  • Hard to stop. Without a plan to step away from a broker, a supplier may be in a never-ending cycle with costs that will escalate in time. Helping you build an exit plan from them so you can stand on your own is something brokers do not want to do.

How Should a Supplier Select a Broker?If you decide to hire a broker to help you manage and grow your Walmart business, you will want to work with someone who is honest as well as experienced. But how can you tell someone is a good fit for you?

Here are a few questions to start a conversation with a broker you’re thinking of hiring:

  • Do they value my business, my product, and my knowledge? How do I know?
  • How do they structure their fees or commissions? Transparency around their pricing model is essential to ensure there are no hidden costs.
  • What is their experience with Walmart? How long have they been learning about Walmart? How long have they been advising about Walmart? Were they ever Walmart suppliers themselves?
  • Which suppliers are they currently working with and in which categories? How long have they been with each? Who can I speak with about the work with these other suppliers?
  • Does their area of expertise match the sort of help you need? Being an expert in item management is wonderful — unless you really need an inventory expert!
  • How big is their team? Who else works with them? For how long? What are their qualifications?
  • Who specifically will my team work with? How often will we connect?
  • What services does this broker provide? You, the supplier, must understand the scope of services they offer, whether it’s just connecting you with clients or managing logistics, negotiations, etc.
  • What kind of market insights can they provide? Do they provide ongoing analysis or advice on trends that could affect your business?
  • How do they handle potential conflicts of interest? It’s important to know how they balance representing multiple clients and avoid favoritism or conflicts.

What Are the Options Besides Hiring a Broker?If you know you need some help but hiring a broker doesn’t seem right for you, you still have three options to consider.

  1. Become a Student Yourself Learn more.* Take classes, dig deep, ask questions, go to coffee with suppliers who are experienced with Walmart and in the know.
  2. Spend time in the Walmart Academy. There is a wealth of information there. It may take time to find what you need to know but explore it fully.
  3. Take notes when you talk with your buyer. Ask questions when you don’t understand. Find out WHY and HOW things are done.
  4. Spend time in Walmart stores. Walk the aisles. Talk with staff. Study what your competitors are doing, how they have packaged their products, the colors they are using, where they are on the shelf.
  5. Visit Walmart.com and search for a variety of products. Note in detail what is happening as you scroll through the product description. Read details, look at product photos, read reviews. Place orders and be aware of each of the steps to completion.
  6. Attend conferences and meetings that will help you learn. Talk with other conference attendees.

(8th & Walton has a slate of courses that will help you learn if you decide to take this route.)

  1. Hire a Person to Fulfill a Broker’s RoleAdding a person to your staff is costly both in money and in time, but often it is the right solution in the long run. How do you know if you should replace your broker by hiring someone for your team?

  2. If you are unhappy with your results, have fines or deductions that are the result of errors, have missed deadlines, or simply don’t trust your broker.

  3. If your broker is costing more than he/she is worth. This happens when a product is doing great due to nothing the broker has done, but the broker gets escalating payment because of the commission structure. (Suppliers often are displeased with brokers because of this.)
  4. If you now have the resources (time and talent) to onboard someone properly and without losing ground with Walmart.
  5. If someone on your existing team has expressed interest in or shown aptitude for the role.

  6. Turn to 8th & WaltonWe at 8th & Walton provide many of the services of a broker with two significant distinctions.

First, we believe YOU need to be the face of your brand, and, for that reason, it is you who meets with Walmart. Our team will coach you before any meeting or line review so that you make the best presentation and the best impression possible. But after all, you are the brand and you will always be the brand. That’s why it is important that you develop the relationship with Walmart, not us.

Second, suppliers know exactly what our service will cost. It is not based on a sliding scale or a commission. We make our rates public, so if you work with us, you will know in advance what your cost will be each month.

Our team of experts truly helps suppliers. They built PathFinders and the services it offers around what suppliers need and what they can afford. It helps them grow. Helps them reduce costs. Helps them eliminate fines. Helps them learn. Helps them improve their relationship with Walmart. This team has expertise in a full range of skills and has been accumulating Walmart knowledge and wisdom for decades.

One last thought — Some Walmart suppliers have hired a person to interface with Walmart and had 8th & Walton get that person up to speed. It has worked well, and costs have been predictable and contained throughout the process.

Contact us today to learn more about how 8th & Walton can help you build your business with Walmart.

Get your free consultation today and take your Walmart strategy to the next level!

The Bottom Line on Walmart BrokersDeciding to hire a broker or deciding not to hire a broker. Both are daunting decisions because there is so much to consider and so much at stake.

Your finances if you do or if you don’t. Your needs today, your needs tomorrow. How to manage the time needed to learn the Walmart business or the time it will take to interview and hire.

These are decisions that deserve your full consideration because being a Walmart supplier is an incredible opportunity.

Next steps:

  • Determine both your short-term and long-term needs.
  • Decide what kind of cost you can bear.
  • Prepare to learn or prepare to interview (a broker, a candidate to hire, 8th & Walton’s team).
  • Decide.

If having a predictable cost is important to you and working with a team of experts located in Northwest Arkansas feels right, please contact 8th & Walton. We will be happy to hear what you need and describe our services to determine if working together would be a good fit.

The post What Is a Walmart Broker? Pros/Cons of Hiring One appeared first on 8th & Walton.

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The news is out: Walmart has launched Supplier One, and it is available for all suppliers to use now. It can be accessed through the Supplier One app in Retail Link® or through the website.

An online portal that consolidates some functions found in Retail Link®, Walmart Supplier One is billed by Walmart as offering suppliers a “unified” experience. It is being designed as a spoke and hub model: Think of it as a one-stop shop for managing daily supplier tasks.

What Is Supplier One?Supplier One is a portal that consolidates Retail Link® apps, such as Item 360 and PO management. It is available to all continental U.S. suppliers.

What Is the Purpose of Supplier One?The purpose of Supplier One at Walmart is to improve and streamline supplier processes. A video introduction from Walmart notes that Supplier One will allow users to access critical data, information, and apps without opening multiple windows on their computers.

Supplier One website indicates that the platform will provide the following:

Unified ExperienceWalmart Suppliers can manage many of their processes through Supplier One, whether they are selling online, in-store, or a mix of both.

State-Of-The-Art SupportUsers can access real-time support and a single location for all support tickets. You can review your support tickets, download transcripts, and quickly get the help you need.

Insight-Driven RecommendationsWhen you enter the Supplier One dashboard, you’ll find a summary of your top tasks, making it easy to set priorities and ensure compliance with Walmart’s requirements.

API and App IntegrationsSupplier One quickly, smoothly, and effectively connects to and integrates with apps and other portals. Nobody on your end will need to add code, and you’ll get your team up and running quickly.

Key Features of Supplier OneIts key features fall into the categories listed below.

Order ManagementThis section mimics some of what NOVA does in Retail Link®. Track your orders by status, including New POs, Closed Orders, and Past Due. This section also tracks fill rates and shortages.

Items and Inventory

The Items and Inventory feature complements Retail Link’s® Item 360 and its current functions: Catalog, Setup, Maintenance, and Submissions Manager, with an enhanced interface.

  • Catalog: The catalog functionality provides a listing of your products with details such as Universal Product Codes (UPC), Global Trade Item Numbers (GTIN), and Walmart Item Numbers (WIN).
  • Setup Hub: A hub for adding items, shippers, item proposals, and multi-box shipping.
  • Maintenance: This is another hub for maintaining your current items. You can manage DSV inventory, item media and content, and supply chain details.
  • Submissions Manager: A single interface for all item creation and maintenance submissions.

PaymentsYou can use the Payments section to track your payments and deductions with your data in sortable columns. These columns include Distribution Center IDs, Amount Paid to Vendor, PO#, and others.

ReportsUse this section to run accounting reports such as Unpaid Detail, Paid Detail, and 90 Day Paid Detail.

Performance The Performance Scorecard shows a list of key metrics for your business. It is an OTIF Scorecard with content health scores, and it gives information (for both e-commerce and in-store) such as In full, On time, and content quality. The metrics also include the current score and target score.

The Returns Trends section provides an overview of return-related metrics, categorized by gross merchandise value, units, and return reasons. This information can help you and your team understand why customers return your products and the financial impact of returns on your business.

  • GMV: The GMV (Gross Merchandise Value) category calculates return dollars and your GMV return rate compared with the previous period.
  • Units: Units metrics provide the same details and comparisons as the GMV category, but these are broken down into Return Units and Units Return Rate.
  • Return Reasons: A ring graph depicts the reasons for returns, including the consumer changing his or her mind, damaged merchandise, and items that don’t work properly.
  • Top Returned Items: This section shows you, at a glance, which items are most often returned. You can further segment these items by factors such as item number, return dollars, and return rate.

Demands and ForecastsRun your store demand forecast directly from this section.

Apps and IntegrationIntegrate with external 3p Apps and connect your system directly into the Walmart system using APIs.

Growth OpportunityEvolve your business with growth programs such as Luminate reporting, Walmart Connect (advertising), and Review Accelerator (to increase the number of reviews).

Tips and Strategies to Navigate Supplier OneWorking with a new platform can be challenging, and it is expected that Supplier One will continue to undergo refinements over the coming weeks and months. Here are some tips for working effectively within the system:

  1. Set aside some time to familiarize yourself with the platform and learn how you can best make use of it. One example is how many of Supplier One’s features offer multiple options for viewing or retrieving data. Experiment to see which meets your supplier’s business needs best.
  2. The Summary and Tasks feature on your dashboard alerts you to prioritized tasks. Take advantage of this “to-do” list and monitor your productivity. You might find that Supplier One becomes your first stop each workday!
  3. As you work in Supplier One, consider ways that its enhancements can help you and your team change or refine your processes.

The Future of Supplier OneWalmart is investing heavily in technology, and there will be continued development of Supplier One and its features.

With ongoing user feedback, the platform might continue to develop its features and functionality, helping suppliers access critical data and optimize their business practices.

In the meantime, this is a good opportunity to review your current processes and practices to ensure a smooth transition to the system. You may also want to check and see if any third-party apps and platforms you use are integrated into the Supplier One system.

Stay Ahead of the Curve:

Learn more about our upcoming Supplier One class HERE

Schedule a FREE 15-Minute Walmart ConsultationQuestions? Concerns? Feeling a little overwhelmed? 8th & Walton is here to help. Our experts can answer your questions, address your concerns, and provide the training and guidance you and your team need as you continue to build your relationship with Walmart and Sam’s Club.

Schedule your free consultation today!

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What Do “This Year” / “Last Year” Columns Mean in Walmart Luminate?As a trainer for Walmart suppliers using the Walmart Luminate system, I’ve noticed a recurring question in every Luminate Fundamentals class:

What do the columns that contain the label “This Year” and “Last Year” actually mean, and what time periods do they cover?

This question highlights a common point of confusion when working with Report Builder in Luminate. Understanding these labels is crucial for accurately interpreting your data, so let’s break down what the columns mean and how they relate to the time period you select.

Understanding Time Period LabelsIn Luminate, the columns that contain “This Year” and “Last Year” can be a bit confusing at first. These labels don’t necessarily correspond to what you might assume. Instead, they are dynamic, reflecting the specific time period you choose when generating your report.

How Time Periods WorkWhen you create a report in Luminate, you choose a time period to analyze, such as “Current Week” or “Last Week” or Last 4 Weeks or “Last 52 Weeks”. “This Year” and “Last Year” columns in your report relate to the selected time period.

Here’s how each works:

“This Year” Column: This column reflects data from the chosen time period within the current reporting year. For example, if you select “Current Week” as your time period, this column will show only the data for the current week of the current year.

“Last Year” Column: This column displays data from the same time period but from the previous year. So if you’re looking at “Current Week,” this column will show only the data from the same week last year.

ExamplesScenario 1:
Suppose you run a Store Sales and Inventory Dataset report and include the columns “POS Sales – This Year” and “POS Sales – Last Year”. If you select the time period “Last 4 Weeks”, your report will show:

The “This Year” column will display POS sales data for the last 4 weeks of this year.
The “Last Year” column will display POS sales data for the same last 4 weeks last year.

Scenario 2:
Imagine you run a report selecting the columns “Traited Store Count – This Year” and “Traited Store Count – Last Year” and choose “Last Week” as your time period. Your report will include:

The “This Year” column shows how many stores were traited in the last week of this year.
The “Last Year” column shows how many stores were traited in the same last week of the previous year.

Enroll in our Luminate Fundamentals class to gain a deeper understanding of Walmart Luminate and its reporting features.

Register for our Luminate Fundamentals class now by clicking here.

Why This MattersUnderstanding what these labels mean is essential for accurately interpreting the time period your report covers. Misinterpreting them can lead to incorrect analysis and decisions.

Tips for Accurate Analysis* Verify Your Time Period
Before you start analyzing your report, double-check the time period you’ve selected. This ensures that the “This Year” and “Last Year” columns reflect the data you need. To do this, click on the Excel worksheet tab located at the bottom of your Excel file labeled “metadata”. It is usually the second tab in your downloaded file. In this worksheet, look for the column labeled “Filters” to confirm the time period used for your report. * Communicate with Report Recipients
If you’re forwarding your report to others, make sure to inform them of the time period the report reflects, especially when using the “This Year” and “Last Year” columns.

ConclusionNavigating the “This Year” and “Last Year” columns in Luminate’s Report Builder might seem complex initially due to its dynamic nature. However, once you understand that these labels are relative to the time period you select when building the report, you can interpret your data more accurately and make meaningful comparisons. By following these tips, you can ensure your reports will provide clear and actionable insights — and that enables better decisions.

8th & Walton also has set up Luminate Hub to help Walmart suppliers. To learn more about the Luminate Fundamentals class or other services, please complete the contact form below for more information.

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Understanding the Walmart week and the Walmart Fiscal Calendar is important for a couple of reasons:

  1. Your buyer will refer to events that are specific to your business (like your modular week or feature week) by the corresponding Walmart week number.
  2. Whether you pull reports in Retail Link® or Luminate by using “Walmart Week” or by “Fuzzy Date” (Current week, Last Week, etc.), the timeframe will be Saturday – Friday.

If you’re new to working with Walmart or need a refresher, here’s a quick run-down of how Walmart breaks down the year — and why.

What Is a Walmart Week?A Walmart week begins on Saturday at 12:01 a.m. and ends on Friday at midnight. Walmart weeks are the building blocks to Walmart’s fiscal year calendar.

Walmart starts its fiscal year on February 1. But the first week on Walmart’s calendar does not begin on February 1— unless February 1 happens to be a Saturday. Because Walmart weeks start on Saturday, the Walmart fiscal year calendar will always begin on the Saturday of the week that contains February 1.

What Is the Walmart Fiscal Year Calendar?Understanding the Walmart weeks will help you understand the Walmart supplier calendar. The Walmart year begins in February, so Q1 for Walmart is February, March, and April.

Not any old February, March, and April, though. Walmart uses a 4-5-4 calendar, which means that February has four weeks, March has five, and April has four. This 4-5-4 pattern is repeated for each quarter of the year.

These little quirks mean that the Walmart calendar will rarely match the calendar on your wall at home, but it also means that each quarter contains three months and 13 weeks: a 4 week month, a 5 week month, and another 4 week month. This allows for a more accurate report of sales.

The four 13-week quarters make up 52 Walmart weeks, and that’s a year — a Walmart year. However, 52 7-day weeks come to just 364 days.

How Does Walmart Get 53 Weeks in a Year?The earth’s year, the time it takes the earth to travel around the sun is about 365.242199 days (at the moment). We’ve never come up with a perfect way to divide the year, so calendars usually start off just fine, and then pretty soon they’re celebrating the Winter Solstice in July. The standard solution for that is Leap Year — we tack an extra day onto February every four years.

Walmart does the same, adding an extra week every seven years so that there is a 53-week year to catch everyone up and avoid having the Walmart December in spring.

This can be a lot to keep straight. Fortunately, you don’t have to memorize the Walmart year — though most suppliers do get used to it after a while.

What Is a Fiscal Year Anyway?Businesses establish their reporting based on a fiscal year. A fiscal year is the 12-month period selected by the business to be its annual accounting period. Specifically, it is the time a business completes a full accounting cycle from journal entries to year-end financial statements.

The “period selected by the business” is important. As long as the period of time is a consecutive 12 months, it doesn’t have to begin on January 1. The business can begin its fiscal year well past the beginning of the calendar year.

Why Start a Fiscal Year After Jan. 1?Many businesses begin their fiscal year in February. The biggest reason for this move is the busy holiday shopping season for retailers. With the increased transactions during December and January, it would be complicated for a retailer to prepare its year-end financial statements and file its corporate income tax returns at this time.

Those January transactions are an important factor as they account for a spike in returned merchandise. No retailer wants holiday merchandise purchased in one fiscal year to be returned in the next fiscal year. It would be a devastating (and skewed) beginning to the following year’s numbers. With the fiscal year starting later, the numbers reflect more accurately.

Download Your Free Walmart Fiscal CalendarKnowledge at your fingertips — an annual calendar of Walmart weeks and Walmart quarters for US suppliers, a calendar of Walmart weeks and Canadian holidays for suppliers selling in Walmart Canada, a Planning Calendar, and Past Years Calendar. It’s all free! Just download and store to use immediately whenever needed.

US FYE 2026 Calendar – Download Now

Canada FYE 2026 Calendar – Download Now

3-year planner (FYE 2025, 2026, 2027) – Download Now

Need More Help? If you have questions about using these calendars or need assistance with your Walmart sales reporting, don’t hesitate to reach out. Our Walmart experts at 8th & Walton are offering free consultations to help you navigate your Walmart business with confidence.

Get your free consultation today and take your Walmart strategy to the next level!

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What Is a 4-5-4 Calendar?The 4-5-4 calendar is a tool used by retailers that displays each sales quarter in blocks of 13 whole weeks. The numbers 4-5-4 refer to the number of weeks being compared in a month year to year.

Laying out the calendar this way keeps holidays lined up for more accurate sales tracking. It also ensures the same number of Saturdays and Sundays (larger sales days) in comparable months.

The 4-5-4 Calendar vs. Traditional CalendarWhy not just use a traditional calendar to measure sales year to year? Isn’t it easier to simply compare sales in April to sales in April of last year?

That’s exactly how retailers used to report sales. The issue with reporting this way is weekend sales. It didn’t take long for business owners to discover that Saturday and Sunday accounted for a large portion of retail sales as they still do today. Because the number of Saturdays and Sundays can vary in a single month year to year, sales performance could not be tracked accurately. Sales could grow or fall dramatically not because of performance, but simply because of how the weekends fell in a traditional calendar.

The solution was the development of the 4-5-4 calendar used today. It is a tool that has been voluntarily used by retailers since its launch in the 1940s.

Accepted Use of the 4-5-4 CalendarAs just stated, the 4-5-4 calendar is voluntarily used by retailers to accurately track sales from year to year. However, some businesses use a similar tool with slight variants.

Depending on the retailer, some may use a 4-4-5 calendar. Both calendars are laid out in block style to keep weeks consistent. Both week patterns are repeated four times throughout the year. The only difference is in the pattern of the weeks.

Whether 4-5-4 or 4-4-5, it is strongly recommended that all retailers use this type of tool for accurate sales reporting. Businesses not currently using a retail calendar and wanting to switch will need to take note of how retail months differ from traditional calendar months.

To maintain a block of four or five weeks per month and seven days each week, months may overlap. For example, the first few days of November in the traditional calendar may be included as part of the last week in the October retail calendar.

More Than Sales TrackingThe primary development and use of the 4-5-4 calendar were to help retailers track sales accurately year to year. As with all great tools, more benefits have been discovered by using it over time.

Along with more accurate sales reporting, the 4-5-4 calendar is a useful aid in making decisions about monthly payroll and keeping better records for accounting.

In terms of merchandising, the 4-5-4 calendar helps retailers better control their inventory levels. When routinely done using the calendar, tracking store inventory and taking the monthly inventory can be accomplished more accurately.

4-5-4 Calendar Starting a Month LateJanuary is the first month in a traditional calendar. When looking at a 4-5-4 retail fiscal calendar, the first month is February and the year ends in January of the following year. This is why retailers refer to the current year as to when the fiscal year ends. For example, the year 2021 is also FYE 2022 (Fiscal Year Ending 2022) since the last month of 2021 in the fiscal calendar is January 2022.

Why track a fiscal year one month off? Why not just let the first month of a fiscal year be January and end in December? The answer is simple: holiday sales.

December is the busiest shopping month of the year. More gifts are bought in December than any other month. This results in January seeing the largest number of returns for the year. The reason retailers want to begin the fiscal year in late January or February is to account for all the holiday returns. This allows them to avoid beginning the year having to factor in a giant loss on returned merchandise.

The 53-Week YearSome 4-5-4 calendars may seem odd at first glance as they can contain 53 weeks. How is this possible when a standard year only has 52 weeks?

The 4-5-4 retail calendar is laid out in perfect blocks. That means there are only 52 weeks and only 7 days in each week. Mathematically, that accounts for just 364 days. With one whole day remaining in the year, not to mention factoring in February 29 every four years, 52 weeks is not enough. Retailers have to include the extra 53rd week at the end of the retail fiscal calendar for sales reporting accuracy. It only happens about once or twice in a decade, but crucial to keeping year-to-year sales comparable.

ConclusionAll retailers and suppliers should be using a 4-5-4 calendar to report and compare annual sales accurately. Not only is it better for business, but it allows businesses to become better partners and have a common tool in aligning sales goals.

Walmart Stores uses the 4-5-4 fiscal calendar and often refers to major events as Walmart Weeks on the calendar. Rarely will a Walmart buyer say that a modular sets on August 9; they’ll say the modular sets Week 28.

Staying on Top of Walmart’s Calendar: Free Downloads for FYE 2026

Keeping track of Walmart’s unique calendar system can be challenging. To help you stay organized, we’ve created free, downloadable calendars that cover Walmart Weeks, quarters, the 4-5-4 layout, and 3-year calendar comparisons.

Ready to download? Here are our latest offerings:

US FYE 2026 Calendar – Download Now

Canada FYE 2026 Calendar – Download Now

3-year planner (FYE 2025, 2026, 2027) – Download Now

These calendars are essential tools for any supplier working with Walmart. They’ll help you align your planning with Walmart’s fiscal year and ensure you’re always on the same page as Walmart.

Need More Help? If you have questions about using these calendars or need assistance with your Walmart sales reporting, don’t hesitate to reach out. Our Walmart experts at 8th & Walton are offering free consultations to help you navigate your Walmart business with confidence.

Get your free consultation today and take your Walmart strategy to the next level!

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8th & Walton offers a list of five Excel skills that are essential for successful Walmart Luminate work.

Why is Excel so important when working with Walmart Luminate?Take a tip from an expert. “Success with Luminate is a two-step process: Use Luminate for data collection and use Excel for analysis,” suggests Heather Reid, Walmart Luminate instructor for 8th & Walton. “By doing so, you’ll be better equipped to support your Merchant and Replenishment teams, drive actionable insights, and contribute to your overall success.

“Creating reports in Luminate is your first step. Then, analyzing data using the valuable tools and features in Excel takes you further along the path to success.

“Having the essential Excel skills listed here will enable you to extract actionable insights, make informed decisions, and drive operational efficiency,” continues Reid. “Mastery of these skills ensures that not only can you interpret data effectively but you can communicate your findings clearly. This, of course, ultimately contributes to the success of your team and broader organizational goals.”

Five essential skills and instructions for eachIf you have already mastered these Excel skills, you are well on your way. If any of these skills is outside your knowledge base or your comfort zone, now is the time to learn or improve them.

1. Data Management – Use filters and sort, remove duplicates, and validate data.

Managing your data quickly and efficiently is always important but often a challenge. When working in Luminate, you will save time and reduce errors if you have a solid understanding of how to manage your data.

a. Use Filters: https://support.microsoft.com/en-us/office/filter-data-in-a-range-or-table-01832226-31b5-4568-8806-38c37dcc180e

b. Sort: https://support.microsoft.com/en-us/office/sort-data-in-a-range-or-table-62d0b95d-2a90-4610-a6ae-2e545c4a4654

c. Remove Duplicates: https://support.microsoft.com/en-us/office/filter-for-unique-values-or-remove-duplicate-values-ccf664b0-81d6-449b-bbe1-8daaec1e83c2

d. Validate Data: https://support.microsoft.com/en-us/office/apply-data-validation-to-cells-29fecbcc-d1b9-42c1-9d76-eff3ce5f7249

2. Formulas and Functions – Perform the basic mathematical functions: SUM, AVERAGE, MIN, MAX.

Knowing the basics is imperative. Using these four basic math functions in Excel is the minimum requirement for using Luminate successfully.

a. Sum: https://support.microsoft.com/en-us/office/sum-function-043e1c7d-7726-4e80-8f32-07b23e057f89

b. Average: https://support.microsoft.com/en-us/office/calculate-an-average-c68b2803-c6d8-4faf-bea4-02b7c55fe768

c. Min: https://support.microsoft.com/en-us/office/min-function-61635d12-920f-4ce2-a70f-96f202dcc152

d. Max: https://support.microsoft.com/en-us/office/max-function-e0012414-9ac8-4b34-9a47-73e662c08098

3. Data Analysis – Develop PivotTables and PivotCharts, format outputs into logical columns and rows.

Luminate requires you are able to develop and properly use pivot tables and charts. You will use these often, so learn them now.

a. Create a Pivot Table: https://support.microsoft.com/en-us/office/create-a-pivottable-to-analyze-worksheet-data-a9a84538-bfe9-40a9-a8e9-f99134456576

b. Create a Pivot Chart: https://support.microsoft.com/en-us/office/create-a-pivotchart-c1b1e057-6990-4c38-b52b-8255538e7b1c

4. Data Importing / Exporting – Export and save Excel files in various formats, such as CSV, PDF, XLSX.

When using Luminate, you will need to have flexibility with different formats and with Excel itself. You will be moving your files in new ways, and being comfortable with various formats will give you greater confidence — which will translate into greater efficiency.

a. Importing Data: https://support.microsoft.com/en-us/office/tutorial-import-data-into-excel-and-create-a-data-model-4b4e5ab4-60ee-465e-8195-09ebba060bf0

5. Advanced Formulas – Successfully create / use VLOOKUP, XLOOKUP, SUMIFS, and NESTED FORMULAS.

To get the most out of Luminate, learn some of the more advanced formulas.

a. VLOOKUP: https://support.microsoft.com/en-us/office/vlookup-function-0bbc8083-26fe-4963-8ab8-93a18ad188a1

b. SUMIF: https://support.microsoft.com/en-us/office/sumif-function-169b8c99-c05c-4483-a712-1697a653039b

Ready to Master Excel and Walmart Luminate?Enhance your Excel skills to make the most of Walmart Luminate. Whether you’re a seasoned pro or just getting started, honing these skills will help you generate actionable insights and drive your team’s success.

Need assistance? We’re here for you!Our 8th & Walton experts with decades of experience with Walmart and in-depth knowledge of Luminate are here to help you. Choose from our three options: A 2-Hour Luminate Report Builder for you and your team. Click here to learn more. * A class on Luminate Fundamentals. Click here to learn more. * A free 15-minute consultation* to answer any questions you may have and guide you through your Walmart Luminate journey. Simply fill out the form below, and we’ll be in touch to schedule your consultation. The post 5 Essential Excel Skills for Walmart Luminate™ Users appeared first on 8th & Walton.

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While summer vacation is still in full swing, back-to-school shopping began early this year, largely due to concerns about inflation. Retailers, including Walmart, responded with deals, discount events, and merchandise options to meet the needs of all families with school- or college-age children.

Inflation Remains PersistentDespite a slight easing in the inflation rate, consumers continue to feel its impact. Higher prices for goods and services have increased costs for education-related items, such as school supplies, electronics, and clothing. In addition, consumers continue to feel the pinch in the grocery store, which means they need to balance the need for new school items with everyday expenses. A recent Deloitte survey indicated that many parents will be cutting back on their budget for school items this year.

Early Bargains on Back-to-School EssentialsOne way that families have addressed this concern has been to begin buying supplies early, taking advantage of sales and special deals. In early July, the National Retail Federation noted that over half of all shoppers for school and college supplies had already begun to shop, with a majority preferring to shop online.

Many retailers, including Walmart, Target, and Amazon, ran special deals and promotions in July, which caught the attention of consumers seeking to save money. Walmart particularly focused on the pain points of parents with its special back-to-school promotion that featured thousands of items at $10 or less.

Additional services for educators, parents, and older students include an online registry of school classroom supply lists, special pricing on Walmart+ memberships for college students, and a “one-click” grocery basket of school lunch items that can provide two weeks of lunches for about $2 per meal.

Walmart Woos Gen-ZWalmart is actively wooing Gen-Z through its interactive shopping experiences, including a Roblox partnership, as well as updated clothing, snacking, and grooming/beauty items.

Recently, Walmart revived its “No Boundaries” clothing line, which had originally launched over 30 years ago to appeal to younger Gen-Xers. The relaunch represents Walmart’s desire to forge ties with younger consumers who seek to dress fashionably on limited budgets.

Other changes include the “bettergoods” private-label snack range, which features sophisticated flavors and ingredients that rival what might be found at places like Whole Foods or Trader Joe’s. Another summer launch was Pretty Smart, an “affordable luxury” beauty line with a $10 or under per-item price point. Pretty Smart products are sold exclusively at Walmart.

What Does This Mean for Suppliers?If inflation continues to be a factor into 2025, suppliers would do well to be aware of earlier back-to-school and back-to-college shopping behavior by cash-strapped parents who are seeking deals while also spreading out purchases over a longer period of time.

Suppliers should also be aware of Walmart’s continued efforts to make its brand relevant to younger demographics and consider this initiative when making product decisions. Another consideration is that school supplies eventually run out: Families must replenish items over the school year, making it essential to ensure that school supplies are available, on the shelf, and are managed correctly on Walmart.com.

Schedule your free consultation today!

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Walmart has decided to phase out its long-standing Decision Support System (DSS) and transition to Walmart Luminate. This change marks a significant shift in how Walmart and its suppliers will manage and utilize data.

What Is DSS?DSS is a computer program that organizes and analyzes large amounts of data with the objective of helping the user make better decisions.

Walmart’s DSS, which is found in Walmart’s Retail Link®, can produce a wide variety of reports to help with analyses, decisions, and plans of action for suppliers. A supplier chooses from several DSS templates to build the report. Sales and Margin, Company Summary, Store Detail, and Market Basket Analysis are just some of the valuable templates that are available.

For many years, Walmart suppliers have depended on DSS to provide data about critical aspects of their business — sales, inventory, forecasting, invoicing, and more. Moving to any new system is always both challenging and unsettling. When that change involves the heart of a business, it can be downright scary.

“As someone deeply entrenched in the world of DSS for the past 17 years,” says Heather Reid, Walmart Luminate instructor for 8th & Walton, “adapting to the new era with Luminate hasn’t been without its challenges. But even with the initial hurdles, the potential of this innovative tool is becoming increasingly clear.”

What Is Luminate?Like DSS, Walmart Luminate is a reporting tool that offers Walmart suppliers valuable reports about their Walmart business. Its objective is to unite suppliers with their buyers and account managers all on one platform so that business planning is smoother and ultimately results are better. It provides sales data (in-store and online pickup and delivery) as well as customer shopping insights.

Here is Walmart’s Academy in Retail Link® where you can find out about Walmart Luminate.

Walmart Luminate is not replacing Walmart’s Retail Link®; it is simply replacing the Decision Support System (DSS) within Retail Link®. Walmart suppliers will still use Retail Link® for applications, communications, and other tools outside of sales reporting.

The reason Walmart is moving to Luminate is because it believes Luminate is a more responsive and better-equipped platform for today’s complex retail environment. (Retail Link® was developed over 25 years ago, long before omnichannel was a reality, and DSS has been part of it for decades.)

There are two versions of Walmart Luminate: Basic and Charter. Luminate Basic is free and offers many but not all of what was once available through DSS. Luminate Charter is a paid platform and provides more information.

How to Ensure a Smooth Transition From DSS to LuminateReports delivered through DSS will need to be rebuilt in Luminate. Approach this realistically. Recognize that reports are not automatically or easily moved from DSS to Luminate. Some DSS reports will not be available in Luminate at all. Others (if not most) will require rebuilding from the ground up.

First, prepare a list of all your current DSS reports. Next, review that list thoroughly and honestly. Which reports are you actually using — and how are you using them? Scrutinize each report to determine if you truly need it, if you really use it, if it in fact is valuable. Hone the number of reports you regularly prepare to those that have real significance to your business.

Before you begin rebuilding reports, you need to know if your company will be using Luminate Basic or if they have purchased Luminate Charter. (The user does not necessarily make this decision; the company does.)

To help prepare you for the transition, you have two options:

  1. Attend Walmart’s Free Instruction; Then Conduct Your Own ResearchWalmart periodically schedules Zoom sessions to walk suppliers through the fundamentals of Luminate. Session dates are posted on Retail Link®. Here is the link to Walmart’s Report Builder Basic Live Training.

The presenter demonstrates some of the basics of both versions (Basic and Charter) and provides updates on the latest changes to the system. A proctor collects questions from attendees, and (as time allows) the questions with the broadest appeal are answered for everyone to hear.

You already know the pitfalls to doing research on your own: not setting aside time to make learning happen, not knowing where to find what you need, having nowhere to go with questions, and a slow learning curve. The plus of going it alone? There is no out-of-pocket cost.

  1. Find a Reliable Source to Help You Through This TransitionThere are a few companies teaching Luminate. If you go this route, find a reputable company that has experienced advisors who have your best interest in mind.

DSS and Luminate FAQWhen is Luminate going into effect for all Walmart suppliers?The transition has started; it is happening in waves. As of this writing, there is no precise date for everyone. Categories are transitioning to Luminate at different times.

How will I know when DSS is ending for my category?Walmart alerts suppliers to the date it will be cutting off DSS for a category well in advance of its happening.

Will all my current DSS reports be available in Luminate?Luminate is different from DSS. Not all reports or data will be available. It is likely that you will have to build some reports from scratch. That is why it is important to review your existing DSS reports to determine exactly what is truly needed, used, and important. Building new reports takes time, so keep the number you need to build to a minimum.

Why are there so many changes to Luminate?Walmart wants Luminate to be a terrific system and is working to assure that it is. The team behind Luminate is listening to suppliers, learning from them, and making changes in order to make it work better and faster for suppliers. Expect frequent updates to Luminate.

What’s happening to Retail Link®? Is that going away, too?You will still use Retail Link® for many things. All that’s moving is DSS. All the reports you currently receive will need to be recreated in Walmart Luminate.

How can I stay on top of all things Luminate?As this transition rolls out, be sure to read your Walmart notices, emails, and other correspondence. 8th & Walton has developed Luminate Hub which may help you, too.

How Can 8th & Walton Help?8th & Walton can lead you smoothly through the transition from DSS to Luminate Basic. We have two options for Walmart suppliers who need to learn and use Luminate Basic: Luminate Fundamentals (a class) and 2-Hour Luminate Consultation (an advisory service).

Luminate FundamentalsThis is a half-day class on Zoom that is taught by an expert who knows the topic well and has had years of experience with Walmart systems. The number of attendees is limited (usually a maximum of ten), and the students appreciate the chance to talk directly with the instructor and get answers from someone in the know.

In this class, attendees also learn how to construct new reports in Luminate using the most current guidelines. This is very valuable information because converting a DSS report into a Luminate report does not happen easily, and updates to Luminate happen very often.

“Since the announcement of DSS sunsetting and the gradual rollout of Luminate, each passing month has brought about significant updates and improvements. These updates have been crucial in aligning Luminate more closely with our familiar reporting frameworks,” says Reid.

Rebuilding DSS reports into Luminate reports is a complex process:

  • Terms are used differently in both
  • New terms are introduced in Luminate
  • Column headings in Luminate have different meanings from those in DSS
  • Reports cannot be directly transferred from DSS to Luminate
  • It is not an apples-to-new-apples conversion

Learning how to correctly rebuild existing reports is crucial. Guidance from an 8th & Walton expert with extensive experience with Walmart systems has been a lifesaver for many suppliers.

2-Hour Luminate ConsultationThis advisory service is customized for each suppliers’ particular needs. 8th & Walton experts with decades of experience with Walmart systems guide a supplier team through the process of rebuilding its three most critical reports. This is all done in strict confidence.

8th & Walton also has set up Luminate Hub to help Walmart suppliers. To learn more about the Luminate Fundamentals class or other services, please complete the contact form below for more information.

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Walmart is always on the lookout for innovative products that are made, grown, or assembled in the United States.

Open Call has provided thousands of small and medium-sized businesses the chance to become Walmart suppliers. Since its launch in 2014, it has provided an amazing opportunity for entrepreneurs with a shelf-ready product.

Open Call also demonstrates Walmart’s commitment to American jobs and communities.

What Is Walmart Open Call?Entrepreneurs submit applications for a chance to pitch a product to Walmart and Sam’s Club. These product pitches are 30-minute one-on-one, face-to-face meetings. Success results in getting a product in the stores, and this can range from supplying a handful of local stores to supplying hundreds of stores, clubs, Walmart.com, SamsClub.com, and Walmart Marketplace.

Walmart Open Call Key Dates July 15: Application for Open Call closes * Aug. 20: Entrepreneurs are notified if they are selected to pitch at Open Call * Sept. 24-25:* Open Call event in Bentonville, AR

What to Do if You Are Accepted to Open CallYou’ll need to put together a presentation about your product, but before you begin, dedicate an afternoon to walking the store. Better still, dedicate a full day and walk two or three Walmart stores. Observe. Take notes.

Spend time looking at the shelves where your product is likely to be placed. What is missing in that category? What does your product do to fill in that gap? How will your product fill an unmet need? How is your product innovative? Why does Walmart need it?

Download Your Free New Walmart Supplier Checklist

Before you dive into preparing your presentation, make sure you’re fully equipped for success. Our New Walmart Supplier Checklist gives you all the essential steps you need to become a successful Walmart supplier — from getting ready to apply to staying on the shelf and growing your business.

Download your free checklist now

What to Include in Your Open Call Presentation* Only information about the single product you are presenting, not other products * How your product differs from others, how it is innovative, how it fills an unmet need of the Walmart shopper * Sales data (if available) * Sales data from other retailers (if available) * A marketing plan * Promotion ideas for your product * Private label options * All testing and research you have done * The back story of the brand — but ONLY IF you can make this brief and interesting * Testimonials or stories from your customers

Tips About Presenting at Open Call* You will have a limited time to present. Allow time for questions from Walmart. * Make notes of exactly what you want to convey. Be succinct. * Practice in front of a mirror. * Practice in front of a mirror while you are smiling. * Practice in front of a live person or two. * Begin your presentation with WHY your product should be in Walmart.

Have Questions or Need Guidance?

Our experts are here to help! Complete the form below to book a free 15-minute Open Call consultation.

Walmart Open Call FAQWhat does Made In the USA actually mean to Walmart?Made, grown, or assembled in the United States.

When will I hear if I’m accepted?After the application period closes the week of August 20, those accepted will receive an email from RangeMe.

What is RangeMe?Walmart has partnered with RangeMe, a product-discover and sourcing platform, to gather all product pitches for Open Call.

“One of the best things to do if you are going to participate in Walmart’s annual open call is to set up a free account with RangeMe,” suggests Joel Graham, one of 8th & Walton’s key directors and advisor to Walmart suppliers. “This will allow you to create a product profile, and that’s great exposure for you.”

I applied a few years back but was not selected. May I apply again?Yes, repeat attendees are encouraged to return to Open Call but to pitch only for categories not previously pitched and only to Walmart merchants with whom they have not met in the last year.

How many of my team may attend?A maximum of two per company.

I see that only shelf-ready products should be presented. What does that mean?Products must be already in hand and must have a UPC code. They must be all set to actually be put on a Walmart shelf.

The application is a little confusing to me. May I just leave a couple of things blank?Walmart advises that suppliers complete everything on the application form and pay special attention to the supplier requirements. Share everything you can, including where your products are made or assembled. Filling it out completely increases your chances of success.

How can I find out more about Open Call?Walmart has a very complete explanation of many of the details here.

What do I need to know about Bentonville, Arkansas?Welcome to Bentonville! We are thrilled to have you. To find out about staying in and visiting Walmart’s hometown, we recommend heading to visitbentonville.com. They have an easy-to-use website with trip planners and suggested outings.

Need Assistance? We’re Here for You!Our 8th & Walton experts, with decades of experience working with Walmart, are here to guide you. Complete the form below to book your free 15-minute Open Call consultation.

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As consumer demands evolve, retailers place higher expectations on suppliers. Today’s consumers know they don’t have to wait for an item they want. They can find it on another store shelf or online. To ensure the item is there for the Walmart customers when they want it, Walmart launched the On-Time In-Full (OTIF) initiative in 2017.

OTIF has seen many changes since its launch, but its purpose has remained the same: Improve the supply chain to keep items in stock.

There are many details related to OTIF. It is incumbent on the supplier to know these and comply with them. This content is an overview of OTIF, not a comprehensive presentation.

What Is On Time In Full (OTIF)?It is Walmart’s expectations for On-Time and In-Full delivery.Walmart’s On-Time In-Full initiative is a measure of how a supplier’s freight arrives at a Walmart store, fulfillment center, or distribution center. As its name states, Walmart is asking two questions of each supplier delivery:

  1. Did the shipment arrive on-time? Walmart assigns a specific drop-off window for each delivery. The delivery is considered On-Timeime if it arrives within the window. Early and late deliveries may both be subject to monetary penalties charged back to the supplier.
  2. Did the shipment arrive in-full? The expectation is that what the supplier delivers to Walmart matches exactly what is listed on the purchase order (PO). Any discrepancy, whether in quantity or product, may result in monetary penalties charged back to the supplier.

Why Does OTIF Matter?The reason behind OTIF is simple: To keep the shelves full and make sure the item is in-stock whenever the customer wants it.

Sales, profit, in-stock, positive customer experience, and almost everything in retail depend on a smooth supply chain. OTIF puts the supply chain under the microscope and shows where improvement is needed. Suppliers with excellent supply chains have better OTIF scores and more sales. Flaws in your supply chain and non-compliance with OTIF goals results in poor OTIF scores and monetary penalties.

“By consistently meeting – or exceeding – Walmart OTIF standards, suppliers can achieve a competitive advantage on store shelves by ensuring consistent product flow through DC and store networks,” advises Kevin Williamson, the CEO of RJW. “This leads to better in-stocks, on-shelf availability, sales throughput, market share, and consumer loyalty. Timely, accurate deliveries are critical for supplier success. The stronger your OTIF scores are, the more success you’ll see at the shelf.”

Keep in mind that the decision to penalize suppliers for not complying with OTIF expectations was never for Walmart to make money. It was to stress the importance of suppliers’ improving their supply chain to keep Walmart shelves and warehouses stocked with merchandise.

What Is a Good OTIF Score?Hitting 100% on both the on-time and in-full is, of course, the ideal. But Walmart recognizes that perfection is challenging, so these are the goals as of March 2024:

Prepaid suppliers: 90% OT and 95% IF

Collect suppliers: 98% OT and 95% IF

A common question from Walmart suppliers is, “If we’re not delivering at goal yet, how low can our on-time and in-full metrics be to still be in an acceptable range?”

This can only be answered by your Walmart merchant team, but generally you are expected to be at goal.

Sometimes (but very rarely) outside factors impacting the supply chain can provide lenience in Walmart’s view on acceptable OTIF performance. Walmart recognizes there can be uncontrollable disruptions in the supply chain. Disastrous weather can stop shipments completely. The 2020 pandemic changed consumer demand on select items and brought unforeseen shortages. During such events, Walmart factored the events into OTIF performance or waived penalties altogether.

How Is OTIF Calculated?OTIF is calculated on two metrics that are in a PO:

  1. If deliveries arrive on the assigned delivery date window
  2. If the freight is fully delivered

If a supplier fails to meet the OTIF guidelines on a delivery, they are fined 3% cost of goods on all cases that did not meet the goal.

ON-TIME

The On-Time goals and expectations differ for prepaid and collect suppliers.

Prepaid suppliers have a goal of 90% On-Time and must deliver to the warehouse, distribution center, or fulfillment center on time.

Collect suppliers have a goal of 98% On-Time and must ensure shipments are ready for carrier pick-up on time. They are held accountable if they route late or don’t have goods ready to go at the dock when the Walmart truck arrives. (Collect POs should always be routed within 24 hours of receipt of PO or by 4 PM Central Time, whichever is first.)

IN-FULL

All suppliers — whether prepaid or collect — have the same In-Full goal of 95% and are expected to fill orders for the exact quantity ordered.

Here’s are some examples that may help you understand —

An On-Time error:

  • Your PO states that the shipment will arrive on January 10.
  • The full shipment arrives but not on January 10. It arrives a week late.
  • You will be fined 3% cost of goods of the shipment since it was not On-Time.

An In-Full error:

  • Your PO states that you will ship 100 cases that will arrive on a certain date.
  • Cases arrive when expected, but the order is incomplete. You are 15 cases short.
  • You will be fined 3% cost of goods for the 15 missing cases because the order was not In-Full.

Both an On-Time and an In-Full error in the same PO:

  • Your PO states that you will ship 100 cases that will arrive on January 10.
  • Your shipment is one week late, and you ship only 85 cases.
  • You actually ship only 85 cases. You are 15 cases short.
  • You will be fined 3% cost of goods for the 85 cases that arrived late (not On Time).
  • You will be fined 3% cost of goods for the 15 cases you did not ship (not In-Full).

Supplier expectations for OTIF have changed each year since its debut. Initially performance percentages had some variations — different goals for different store categories, for example. Today, on-time and in-full expectations are the same for all prepaid suppliers, and on-time and in-full expectations are the same for all collect suppliers, too. Any supplier performance falling short of the goals will be penalized.

Other significant considerations:

  • If you are not yet a Walmart supplier, it is important to understand OTIF expectations before applying. For more information on the supplier application process, check out our blog How to Sell to Walmart: Get Your Product in Walmart in 4 Steps.
  • OTIF goals also apply to Walmart.com suppliers. If you are delivering to the fulfillment center, your goals are exactly the same as those stated above.
  • OTIF is cumulative by month. That means you have a full month in which to meet the goal. If you have a shipment that came in under goal, do your best to follow up with a better performing shipment so your average for the month is at goal.
  • OTIF charges are calculated and displayed monthly but billed quarterly.
  • If the total OTIF penalty for a month is under $1,000, it will be waived.
  • 8th & Walton offers an in-detail class specifically on OTIF.

How to Improve OTIF PerformanceIf your OTIF performance is not meeting Walmart’s expectations, the result will be fewer sales and higher penalties. Before the monthly penalties become too great (and the risk of losing product placement on the modular becomes real), take the necessary steps to improve your OTIF performance:

  1. Understand Your Walmart OTIF ScorecardWalmart allows suppliers to track their OTIF performance in Retail Link® with the OTIF Scorecard. It’s a great tool to monitor your performance, see potential issues, and avoid being penalized for non-compliance.

If you have questions about the Walmart OTIF Scorecard, the 8th & Walton team will go over it with you during a free consultation.

  1. Fix PO Issues FirstIn-Full accuracy links back to what is listed on the PO. Make it a regular practice to verify that the product being shipped to Walmart and the quantity match what is on the PO.

If you are out of an item requested on the PO, do not substitute. This will result in a penalty. Item data on the PO must be accurate.

Walmart may change or even cancel a PO. Work with your team to be notified automatically of any PO changes or cancellations.

  1. Talk With Your Walmart MerchantAre you producing enough products today to meet your Walmart merchant’s expectations in six months? What new promotions, marketing initiatives, or store growth will impact orders?

Knowing your merchant’s plans allows you to forecast accurately and plan better shipments. Develop a strategy together to improve your OTIF score.

  1. Consider Using a Third-Party ConsolidatorSmall and mid-sized suppliers can get crushed trying to keep up with OTIF penalties each month. Turning supply chain tasks over to a third-party logistics and consolidating firm can save your business time and payroll dollars.

Aside from warehousing and transportation, most third-party firms handle your appointment schedules and reduce charges by consolidating your partial truckloads with other suppliers. This creates one full truckload arriving at the Walmart distribution center.

“When choosing a 3PL partner for retail consolidation, prioritize experience and expertise,” adds RJW’s CEO Kevin Williamson. “Look for a provider with a proven track record, especially with major retailers like Walmart. The right 3PL will leverage advanced analytics technology and flexible solutions to reduce your total transportation costs, optimize inventory replenishment, and keep your products consistently in-stock, ultimately boosting sales.”

Third-party consolidators currently approved by Walmart already understand Walmart’s expectations for OTIF, documentation, notices, stock transfers, shipment status updates, and more. Partnering with them can quickly improve supply chain performance.

  1. Stay Up-to-Date on OTIF ChangesWalmart will notify suppliers in advance of changes in OTIF expectations. It is important to monitor communications from the company in Retail Link® as well as staying in touch with your Walmart merchant team.

To learn more about OTIF classes or to work with a Walmart expert, 8th & Walton has dedicated teams for all levels of suppliers. Contact us today to set up a free 15-minute consultation about your OTIF needs.

ConclusionAdherence to the Walmart OTIF supply chain expectations will improve your in-stock and result in better sales. If your OTIF performance begins to slip, penalties can grow and you risk having your product removed from Walmart’s modular.

Make OTIF a priority in your organization by using the tools and scorecards in Retail Link® and working with your Walmart merchant team.

For up-to-date information on improving your supply chain and OTIF score, consider taking a class from 8th & Walton. Content to help you brush up on supply chain excellence is updated as Walmart updates its guidelines.

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With all the advances in home delivery and store pickup, we sometimes forget that in-store shopping is still a powerful strategy in retail sales. Most buying decisions are still made at the shelf, and product placement in the store is key to driving sales whether based on volume or margin.

Retailers have to understand shopping habits and how to place product on the shelf or in a display to maximize that retail space. To plan for optimal use of every inch of a retail store and to collect data on shopping trends, planograms help retailers adjust item placement to drive sales.

What Is a Planogram? A planogram (POG) is a schematic diagram or model used to plan a retail store layout by mapping out product placement, displays, and point-of-sale locations in an effort to maximize sales.

This is an example of a planogram:

Why Planograms Are ImportantIn a brick-and-mortar store, space is a valuable commodity. Planograms aid in optimizing shelf space for product and floor space for displays to gain the most sales. The advantages for using planograms include:

Using Shelf and Floor Space WiselyWalmart understands the importance of keeping costs low to improve the supply chain. This low cost philosophy doesn’t stop once the items arrive at the Walmart store; using a planogram helps to not waste space.

Part of Walmart (or any retailer) keeping costs down includes making the most of its store space. Using a planogram helps ensure each shelf and square foot of floor space is working efficiently to drive sales and customer satisfaction. For store employees, the planogram aids in keeping floor stock organized and product at optimal levels.

Driving Sales Through Shopper DataA good planogram does much more than map out where product should be placed in a store. It enables retailers to review their customers’ shopping habits and improve on where items are placed as well as the effectiveness of feature displays. Having this data creates a clear direction on how product should be placed to drive sales.

An example of shopper habits collected through planogram data is merchandise featured on a 4-way display. A 4-way display is usually placed in a retail store aisle with different items featured on each of its four sides. Retail analysts have known for years that the merchandise displayed on the inner shelves sells faster than merchandise on the two sides facing the aisles. Why? Most customers are not comfortable standing in an aisle looking at product while other shoppers are walking behind them. It can make them feel in the way or uneasy.

To resolve this issue of the slower-moving merchandise on the aisle-facing shelves of a 4-way, the planogram can be used to rotate the merchandise periodically.

Maximizing Product Placement for CustomersUsing a planogram is not only an advantage for retailers and suppliers, but it has benefits for the shopper as well. A large retailer like Walmart has thousands of locations carrying thousands of items. The planogram gives each store a specific guide for familiar product placement (i.e., milk and bread at the back of the store, produce near the front, etc.) with some flexibility to customize features and space for local needs.

What Are the 6 Types of Planograms?Planograms are a way to map out how the customer will see the product. It’s important to strategize what kinds of items will be at the shopper’s eye level, what will be on feature, or what will drive an impulse buy. With all the considerations to maximize space and drive sales, there are six common planograms used in retail today:

  1. Product Placement Based on Market ShareThe market share strategy is very common for allocating space in a planogram. For this method of planning, products are granted more or optimal store space based on their superior performance. The best space goes to the best sellers.

  2. Product Placement Based on MarginWhereas the market share strategy gives preference to items that sell quickly, the margin strategy gives preference to items where the retailer makes more money off each item sold. A greater profit margin on the item gives it a better space on the planogram where customers can locate it easily, with the goal of selling more. This enables the retailer to profit more by pushing items with a higher margin.

  3. Product Placement Based on Commercial StatusThis technique for prioritizing space on a planogram is based on an item’s brand recognition. Suppliers with well-known brands are given better shelf space and feature placement than lesser-known or new-to-market brands.

For example, a store shopper looking for peanut butter will most likely find Peter Pan, Jif, and Skippy at eye level in an aisle. These are all nationally known brands with loyal customers. The store brands or lower-end peanut butter options are usually on the bottom shelf.

  1. Block Product Placement PlanogrammingA planogram that is based on block placement is one of the easiest ways to stock items in a store aisle (and is appreciated by many customers). Block product placement simply means that all common products (i.e., cans of corn, bottles of ketchup, packages of butter, etc.) are set together on the shelf, no matter the brand, margin, or performance.

The reason most customers prefer block placement is to easily compare like products. Having all the various brands of ketchup in one place allows the customer to easily compare prices, ingredients, and packaging options.

  1. Horizontal Product Placement PlanogrammingThe horizontal product placement planogram also gives customers a shopping advantage. In this strategy, items are stocked on the shelves side by side at the same eye level. This allows shoppers to easily compare like products of different brands on price, packaging, and ingredients.

  2. Vertical Product Placement PlanogrammingThe final planogram strategy is to stock items vertically. In this design, related products from different brands are stocked at different shelf levels.

Planogram Planning TipsWhether it’s your first time working on a planogram, or if you just need a fresh approach to your strategy, here are some tips to make the most of your design efforts:

Select the Right ContributorsAn effective planogram comes from the combined input of several team members. It’s usually put together by a member of the modular layout team with information from the buyer, advertising, sales, and marketing. This group provides information necessary to create the planogram including shopper behavior, current sales and buying trends, sales data, company promotions, etc.

Members of the merchandise team are responsible for verifying the accuracy of the execution of the planogram. While physically in a store, they will ensure a supplier’s items are in stock and displayed correctly as per directed on the planogram.

Compare Software PackagesTo assist in planogram design, there are many software packages available. Using a good planogram software package can help retailers control inventory levels effectively. It’s also helpful to retailers in building a useful visual tool of their entire store layout to see each area at a glance. Planogram software does much more than design; it helps the retailer keep track of things that impact how product should be placed (i.e., shelf space, customer traffic flow, product placement, etc.).

Factor in Item PackagingThe planogram is key to seeing what adjustments should be made to an item’s packaging to get full use of the shelf space allocated by the retailer. If a supplier’s item can fit in a smaller package, more can be stocked on the shelf at once to prevent out-of-stocks. Simple changes to a package’s design can make it more appealing to the eye and get noticed as the shopper is making the buying decision at the shelf.

Stay In Planogram ComplianceOne of the most effective ways to boost store sales is to stay in planogram compliance. Sticking to the planogram does more than help sales; it can also assist store employees in maintaining stock and always knowing where to find a specific item.

Non-compliance to a planogram can result in out-of-stocks and lost sales opportunities. It’s very important that the items on the shelf match the layout on the planogram. In addition to lost sales, non-compliance will lead to lost data. If the shelves in the store do not match the planogram, there is no way of knowing how effective the planogram is or what adjustments need to be made.

ConclusionUsing a planogram helps retailers better understand their customers. Likewise, the more a retailer knows about the customer and their shopping habits, the better they can make adjustments to the planogram to make the most of retail space.

The team at 8th & Walton has over 300 years of supply chain experience. From purchase order to checkout, our team can help you maximize your supply chain process and your relationship with Walmart. To connect with one of our advisors, complete the form below to schedule your free consultation

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Walmart expects suppliers to focus on improving each “link” in their supply chain. From item creation to getting product to its stores on time and in full, Walmart asks suppliers to continually monitor each step of the process. The whole reason for the Supplier Quality Excellence Program is to perfect the supply chain to keep costs down and product in stock.

One area susceptible to fines from Walmart is a supplier’s pallets. Bad palleting can be anything from wrong labels, bad barcodes, or product that is damaged in transit due to poor stacking and security. The first step in assembling secure pallets fit for transit to a Walmart location is to understand TI/HI palleting.

What Is TI/HI Palleting?TI is the number of cases making up a tier on a pallet. HI is the number of tiers on the pallet. A pallet holding 6 cases of an item on a layer that is stacked 5 high has a TI/HI of 30.

Why Is Knowing TI/HI Important?Knowing the appropriate TI/HI number is imperative for safe and secure pallet shipments. Loading pallets to the calculated TI/HI number ensures stability of the pallet, prevents over-hanging product on the pallet, and decreases the chances of product sliding during transit.

If product is stacked on a pallet with incorrect TI/HI information, it can cause numerous issues for the supplier. These include safety issues at the warehouse (as well as in transit) and loss of time and money upon arrival at the retailer. Damaged freight will not be accepted by the retailer. This causes the supplier to lose money from lost sales as well as fines from the retailer in some cases.

Using TI/HI in Building PalletsOnce a supplier has calculated the appropriate TI/HI, it is time to start building safe and sturdy pallets. To keep the merchandise secure in transit, and to avoid injuries in the warehouse, here are some best practices when building pallets:

Overlap Boxes in StackingAvoid stacking boxes one directly on top of another (like a tower). This pattern gets wobbly the higher it is stacked. To create a secure load, lay the bottom tier of boxes then set the first box of the second tier at a point where two bottom-tier boxes meet (much like a brick-laying pattern). This creates a stable pattern better for transit.

Avoid Boxes Hanging off PalletIt is ideal to stack boxes right to the edge of the pallet. This makes strapping more secure as it eliminates unwanted (and unsafe) space between the boxes and the straps. However, boxes that hang over the edge of a pallet are just as dangerous. This can cause damage to the product in transit and cause the pallet to be unstable.

Place Heaviest Boxes on the Pallets FirstWhen loading a pallet of boxes with varying weights, always stack heaviest up to lightest. The pallet will be sturdiest with a heavier base and lighter boxes at the top of the stack ensures less chance of damage during transit and storage.

Strap SecurelyAfter stacking the boxes and before shrink-wrapping, applying straps is imperative to securing the load. For best results, boxes should be stacked to the edge of the pallet so there are no gaps between the load and the strap. For the most stability, at least two straps should be applied to each side of the pallet.

Why Is Palletization Important?For new suppliers in the process of setting up their supply chain, knowing TI/HI is important. However, understanding the core of palletization is essential for a smoother process flow.

Palletization is the supply chain process of placing product on a pallet to secure and consolidate the shipment. This creates a time-saving and more manageable way to move product during storage, transit, and distribution.

Palletization is a universal supply chain method of transit preferred by retailers. Time is saved by consolidating multiple smaller containers into one single unit load. The pallet can then be transported as one unit instead of several smaller ones. This single consolidated unit is then easier to receive and handle at the retailer’s store or distribution center via pallet jacks or forklifts.

Because palletization is a universal method of supply chain transit, a supplier can use its TI/HI information and load method for multiple retailers. A standard pallet has dimensions of 48 x 40-inches and can hold up to 4,600 pounds.

Benefits of PalletizingUsing pallets to store and transport product has numerous advantages for the supplier as well as the retailer. Some of the benefits of palletizing for supply chain efficiency include:

  • Decreased product damage: Proper stacking and securing of product on a pallet decreases the chances items will be damaged in transit. This also decreases issues like lost sales and retailer fines.
  • Less labor required: Palletization allows more product to be moved by fewer employees. One person moving stacks of product with a pallet jack or forklift saves time over manually moving individual boxes.
  • Improved inventory accountability: SKUs on a pallet are easier to track and monitor. Coding on each pallet allows the warehouse to quickly know a pallet’s product volume and overall stock level.
  • Time-saving at the dock door: Product arriving at a distribution center or store on a pallet takes less time to unload. The faster the delivery can be unloaded, the better the chance the truck can stay on schedule with each stop on the route. This time efficiency keeps the dock doors from being blocked for multiple deliveries throughout the day.
  • Preferred for perishable products: By transporting perishable product on a pallet, handling is much quicker, which reduces any risk to the items spoiling due to prolonged transport in unfavorable temperatures.
  • Optimized storage space: Because of the universal size of standard pallets, the ability to align and stack pallets creates better use of space in warehouses and trucks.

Different Types of PalletizingWhen a supplier first decides to make palletizing part of their supply chain practice, the next step is to choose a method. There are three methods of palletizing:

  1. Manual PalletizingAs the name suggests, manual palletizing is the use of manual force (usually by hand) to load product on a pallet. An employee in a warehouse physically moving boxes from an assembly line conveyor and then arranging them on a pallet is manual palletizing.

The biggest advantage to manual palletizing is simply the cost. Because it doesn’t require any expensive machinery, it is the least expensive form of palletizing. Disadvantages include time and risk. The manual method obviously takes more time than more automated forms of palletizing. Plus, the use of manual labor increases the risk of injury to employees.

  1. Semi-Automated PalletizingSemi-automated palletizing is a combination of manual and automated palletizing. The process usually begins manually (an employee working the products by hand) and proceeds to use automatic palletizer machines.

An example of semi-automated palletizing would be when pallet wrapping is being done automatically, the pallet load is built manually by hand. Semi-automated palletizing has several advantages:

  • Versatile enough to work with various transport forms (pallets, totes, cases, and skids).
  • Faster than manual palletizing, allowing for greater productivity.
  • Lowers the risks associated with manual palletizing worker injuries.
  • Benefits of automation while keeping the versatility of manual palletizing.
  • Increases efficiency by keeping the pallet’s top platform at an ergonomic height for workers.

Because semi-automated palletizing still involves human labor, the main disadvantage is the chance of human error or injury.

  1. Automated PalletizingAutomated (or robotic) palletizing requires the full use of palletizing machinery to place product on a pallet. This type of palletizing is most common in automated warehouses. The most common categories with warehousing designed for automated palletizing include pharmaceuticals, electronics, food processing, and agriculture.

For smaller suppliers, the main disadvantage of automated palletizing is simply the expense. The purchase and maintenance may not be sustainable for smaller suppliers. Outside of utilizing one of the other two palletizing methods, smaller suppliers may also look at partnering with a third-party warehouse/distributor with automated palletizing as a service option.

Errors to Avoid in PalletizingWhile knowing and communicating the correct pallet TI/HI is essential, there is more to creating a safe a secure pallet. Before loading that merchandise onto a truck, here are some common errors to avoid:

Missing or Misplaced LabelsWalmart suppliers understand this issue all too well. Part of Walmart’s Supplier Quality Excellence Program (SQEP) is a priority on pallets being labeled and barcoded correctly. When pallets have incorrect or no labels and barcodes, they cause delays in the stores and distribution centers. They ultimately result in lost sales and fines to the supplier.

To avoid these issues further down the supply chain, suppliers should check the labeling/barcoding process in their warehouses and ensure they are compliant with Walmart guidelines.

Using the Wrong Sized PalletAs stated before, the most common pallet size used today has dimensions of 48 x 40 inches. However, there are more sizes of pallets to accommodate different types of product and shipments. Using the universal-sized pallet when it is not right for your specific shipping needs can be dangerous, particularly if it results in boxes hanging over the pallet’s edge or if it is too small to allow for secure strapping.

Suppliers should research the most efficient pallets to ship their product if the universal pallet size causes any issues during loading or transit.

Improper Load-Securing MeasuresPallets that are not secure can cause injury to employees and damage to products in transit. Many issues in not properly securing product on a pallet can be attributed to a lack of shrinkwrap and poor strapping.

Shrinkwrap should be tight around the pallet load and used generously. You can not “over shrinkwrap” a pallet, so whether by machine or manually, ensure the load is tight so product does not move in transit.

Strapping loads to the pallet creates great security but done improperly, creates risks. If straps are secure to the bottom of the pallet, but there is space between the lower end of the strap and the bottom tier of boxes, there is still a risk of product sliding during transit. Eliminate any space between the product and the straps.

Incorrectly Packing Individual BoxesThe warehouse can do everything correctly: assemble loads to the TI/HI, strap and shrinkwrap securely, and ensure the correct sized pallet is being used. However, if the individual product boxes are not packed appropriately for transit, merchandise can still be damaged before reaching its destination. This is an issue that must be fixed early in the development process. Suppliers need to ensure appropriate shipping measures are in place so the individual product stays secure in the box before being loaded in the warehouse.

ConclusionAssembling proper pallets for transit keeps costs down, ensures safety, and reduces Walmart fines. Understanding TI/HI is an essential step in building better pallets of merchandise and improving SQEP.

The team at 8th & Walton helps Walmart suppliers improve their supply chains from that first purchase order to researching replenishment issues. To ask about improving any step in your supply chain, request a free 15-minute consultation this week.

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You’ve got a great product, and sales are going well. You and your team realize it’s time to expand your distribution and grow your business. One way of doing this is getting your products in front of Walmart’s shoppers, either online at Walmart.com or in Walmart stores.

Getting your products on Walmart’s shelves is an excellent business move. It also takes time and a lot of work. You’ll need to approach the company with your product, persuade your buyer to enter a supplier agreement, and begin getting your products into stores. One way to speed the process and begin earning money on product sales is by applying to be a Walmart Marketplace seller.

What Is Walmart Marketplace?Walmart Marketplace is an online marketplace where third-party sellers can sell their products alongside Walmart’s own products. Have you ever bought an item from eBay or a third-party seller on Amazon? Walmart Marketplace operates the same way.

Since 2009, Walmart Marketplace has helped many suppliers get their products in front of Walmart customers. As a marketplace seller, you can expand your reach and use world-class online selling tools. You’ll also become familiar with Walmart’s operations, making this a great first step in getting your products into Walmart stores.

Why Sell on Walmart Marketplace?The data doesn’t lie: Consumers love online marketplaces. A survey by Mirakl showed that 70% off shoppers favor these third-party marketplaces for their merchandise selection, pricing, and delivery options. Busy consumers want one-stop-shop options, and Walmart Marketplace offers that.

Selling on Walmart Marketplace also offers advantages and opportunities to your business:

  • Walmart.com is an established online platform with hundreds of millions of visitors annually. Instead of having to attract consumers to your own website, your product will be on a site that is already generating huge traffic numbers.
  • You’ll benefit from world-class systems and security. You won’t have to drag yourself out of bed in the middle of the night due to a hacker taking over your site. You’ll have less to worry about when it comes to fraudulent transactions. Your customers won’t have to deal with miscoded links or error messages.
  • Marketplace sellers benefit from top-notch analytics. You can use this data to improve your business practices.
  • You’ll have a relationship with Walmart. This can lead to in-store sales of your products.

If you’ve been hoping to get Walmart to sell your products, Marketplace offers a simple, speedy option that can eventually blossom into your becoming a full-fledged supplier.

Qualifications Needed to Sell on WalmartEven though Walmart is eager to work with third-party sellers via its online marketplace, the company still wants to protect its brand and reputation. This means that there are a few basic requirements for any business that wants to join the program:

  • You must have a legitimate business in the United States with its own name, address, tax ID, and licensing. In addition, your information must match what you’ve provided to the IRS in the past. Matching information can lead to quicker approval by Walmart.
  • You’ll need to show that your business has already had success selling online. This can be through another marketplace or e-commerce platform.
  • Any products you sell must not conflict with Walmart’s Prohibited Products Policy, and each must have GTIN/UPC GS1 Company Prefix Numbers.
  • Order fulfillment must be through Walmart Fulfillment Services (WFS) or a B2C U.S. warehouse that can process returns.

Walmart is a stickler on these points, so if your operations aren’t quite yet at this level, step back, invest in the necessary documentation and infrastructure, and then apply to become a Marketplace seller.

How to Sell on Walmart MarketplaceSelling on Walmart Marketplace begins with applying to become a vendor. After reviewing the basic qualifications for becoming a seller, set some time aside to complete the online application.

Step 1: Gather Your DocumentationYou can save time and frustration by gathering documentation before starting the application. You’ll need the following:

  • Your business tax ID.
  • A W9 or W8 and EIN Verification Letter from the Department of Treasury.

You should also be prepared to describe the integration method you’ll use when submitting your catalog to Marketplace along with your primary product categories and SKU numbers.

Step 2: Complete the ApplicationTo become a Walmart Marketplace seller, visit marketplace.walmart.com, click “Request to Sell,” and fill in all the required fields. It should take 10 minutes to complete if you have the required information handy.

Click “Save” at the bottom as you complete each section. Be sure to double-check each section for errors. Incorrect information can slow down the approval process. When you’re ready, click “Apply Now.” You’ll receive an email when you are approved for a Walmart seller account.

Step 2: Complete Your RegistrationFollow the unique link in your approval email (subject line: “Your Account has been created in Walmart Marketplace”) to create your Partner Profile. The Registration Wizard will walk you through five main sections: Account Creation, Partner Registration, Taxes (W-9), and Shipping Info.

HINT: you will need a digital copy of your latest W-9 form (or download a blank W-9 during Registration).

Once Walmart approves your application, you’ll need to register your account. Here’s what you need to do:

  • Create your account by entering a username and password.
  • Review and sign the Walmart Retailer Agreement.
  • Provide your company registration information, which includes your display name and corporate address.
  • Fill out a W-9 tax form.
  • Walmart will send you payments through one of two payment processors, Payoneer and Hyperwallet. You’ll have to select one and set up your account.
  • You must select the shipping methods that you’ll use to deliver your products to customers. You’ll also provide your shipping rates along with the days and times that your goods will ship

Most of the registration process is straightforward. Just be sure to double-check your entries to make sure that they are accurate.

Step 3: Complete Partner ProfileNow that you have created your account, you will have access to the Seller Center. Here, you’ll find a “Launch Checklist” that outlines the next several requirements before you can launch your account.

The first item on your list is to complete your Partner Profile. Your Partner Profile is a public page where customers will be able to learn more about you (including your company name, description, logo, company policies, tax information, and more).

As you complete your Partner Profile, the “profile readiness for launch” progress bar will reach 100%, and the step will be automatically crossed off in the Launch Checklist.

Step 4: Complete Item SetupItem Setup for Walmart Marketplace is the most involved part of creating your account — which you might expect since this is where you input all your content (pictures, video, long and short descriptions, attributes, etc).

After filling out all required fields, “Validate Fields.” Correct any highlighted fields, and then upload your file to the Seller Center.

Once completed, the items in your Seller Center will be moved to Active status.

Step 5: Test Items and OrdersIn Seller Center, select “Preview Item” to verify content and pricing for any products in Active status. This is what your customers will see, so make sure everything looks right.

To test orders, update your item inventory to 1.

Click the Update Inventory button, then in your Seller Center, click “Publish Item” and “Purchase Item.”

Step 6: Launch Your AccountThe final step for selling on Walmart Marketplace is launching your account. When you “mark as done” all the items on your Walmart Launch Checklist in Seller Center, a pop-up message will ask you to confirm that you’re ready to launch. When you select “confirm”, this will trigger a launch request.

The Walmart Marketplace integration team will review your profile, and if everything looks good, your products will be live on Walmart.com within 24 hours.

Tools to Help You Grow on Walmart MarketplaceWalmart is a big company, and its online marketplace is a big platform! Fortunately, you don’t have to go it alone as a new seller. There are plenty of tools available to support your business. Here are some of the most important:

  1. Walmart Fulfillment Services (WFS): While you can work with a B2C warehouse of your choice, Walmart has a ready-made, end-to-end option for you and your business.
  2. Walmart Connect: Joining Walmart Marketplace is a fantastic way to get your products in front of consumers. You can enhance this exposure by purchasing sponsored advertising through Walmart Connect. Your promoted product listings and brands get increased visibility, which means increased sales!
  3. Walmart Brand Portal: Concerned about protecting your intellectual property throughout Walmart Marketplace? The Walmart Brand Portal has your back. This program offers streamlined IP claim management that allows you to spend more time on your business and less time tracking violations.
  4. Walmart Dashboards: The back end of Walmart Marketplace allows suppliers to manage their products and monitor their sales. The listing quality dashboard uses an algorithm that assesses your listing. This allows you to make the changes necessary to maximize engagement and sales. The unpublished items dashboard is another critical tool: If there is something wrong with one of your listings, Walmart will unpublish it from the marketplace. You can use the information on the dashboard to make changes needed to get it into compliance with Walmart’s standards.
  5. Expedited Shipping Options: Shipping matters to e-commerce shoppers. Some are more concerned about shipping speed while others are focused on keeping costs down. Being able to offer choices, such as expedited shipping, can increase your chances of making a sale. Walmart provides expedited shipping options for suppliers that use WFS or another B2C solution.

Take time to explore Walmart Marketplace tools. They can save you time and money while helping to ensure your success on the platform.

Best Practices When Selling on Walmart.comGetting approved and set up was the easy part. The real work begins by connecting with your new, expanded customer base.

Keep in mind:

  • Win the Buy Box — Whether you’re a Walmart Marketplace Seller or a Walmart.com Supplier, this is the most important thing. The Buy Box heavily influences shopper behavior, so to get the sale, it’s critical that you have top representation.
  • Know Your Audience — Online shoppers have different needs than in-store shoppers. More Millennials visit Walmart.com than ever set foot in a store. Plus, the online shopper comes from a higher income bracket than the brick-and-mortar consumer. Listing items hard to find in stores give you a sell-through advantage.
  • Price, Price, Price — Being on Walmart’s website brings your business many benefits. But be aware: your items are listed alongside items from the world’s largest retailer! Walmart serves its customers with low prices. Price to win, but know your competition as well as your customer.
  • Rank Higher in Walmart.com Searches — Once your products are on Walmart.com, the next step is getting customers to find them! For tips on ranking higher in searches, be sure to read our detailed guide to Walmart SEO.
  • Build Better Item Pages — Building your item page correctly helps in search rankings and helps sell the customer once they’ve reached your item. If you want to know more about using keywords, better imagery, and video content, request a free consultation with our e-commerce experts.

Marketplace Seller vs. Walmart SupplierIf you’re just now turning your eye to Walmart as a potential partner, you might be asking whether it’s better to be a Walmart Marketplace seller or a Walmart.com supplier. There are pros and cons to both.

First of all, it’s faster and easier to become an approved seller on the Walmart Marketplace than it is to become a supplier to Walmart. You don’t need your Dun & Bradstreet credit information or insurance to request a Walmart seller account. If you have your business tax ID or license, along with a business address, you can move forward with a seller application.

Because a supplier with Walmart has a fuller relationship, they are held to a higher standard prior to approval and throughout their partnership. Technically, the only association between a Marketplace seller and Walmart is that the seller’s products can be purchased on Walmart.com. As a Walmart supplier, however, you could potentially expand your product offerings in-store, and you have access to reporting functionality.

Walmart Marketplace FAQHow Much Does It Cost to Sell on Walmart Marketplace?The good news is Walmart Marketplace seller fees have an advantage over other sites like Amazon. There is no annual fee. Also, there is no product listing fee. Instead, Walmart simply charges suppliers a referral fee for each item sold.

What Are Walmart’s Referral Fees for Marketplace Sellers?Your Walmart Marketplace “referral fee” ranges from 6% – 20% of the product’s gross sales proceeds. The exact percentage depends on your product category. View current Walmart marketplace fees by product category.

Is It Hard to Sell on Walmart Marketplace?Walmart Marketplace is one of the most effective ways for businesses to get their products in front of consumers. Still, you have to do your part to ensure success: Sell quality products, keep your prices low, create excellent listings, offer shipping options, and answer customer inquiries promptly.

You’ll also need to watch your analytics and adjust your sales and product strategy accordingly. Walmart provides excellent tools for managing your online sales: take advantage of them!

How Do I Win the Walmart Buy Box?When multiple sellers offer the same item, the listings will be consolidated on the same Item Page. Customers are naturally drawn to the first option, so winning the Buy Box is extremely important on Walmart.com.

The total cost of the product offer (price plus shipping) is the biggest factor in winning the Buy Box. To win the Buy Box on Walmart Marketplace, offer competitive pricing, free or low-cost shipping, and stay in stock.

You can (and should!) stay on top of your product placement by reviewing the Buy Box Report in the Seller Center.

Can I Sell on Walmart as an Individual?Unlike eBay or Etsy, Walmart Marketplace is designed for businesses, not individuals, to sell products. You must have a business Tax ID number (Social Security numbers are not accepted on program applications) and a business address.

In addition, your products must be shipped through Walmart Fulfillment Services or a B2C warehouse that is capable of accepting returns.

What Kind of Products Can I Sell on Walmart?Most consumer goods categories can be sold on Walmart Marketplace, including clothing, housewares, personal care, tools, and sports equipment.

What Can You Not Sell on Walmart Marketplace?As a seller, it is up to you to know what products are prohibited or restricted on Walmart Marketplace. Fortunately, Walmart maintains a Prohibited Products Policy for Marketplace Sellers that you can refer to as you manage your catalog.

There are two main types of restrictions on marketplace product listings to be aware of: territorial and product category.

  1. Territorial Restrictions: Products from some geographic regions, including Iran, Cuba, North Korea, and others, cannot be sold on the marketplace. These locations can change depending on geopolitical factors, such as economic sanctions.
  2. Product Category: Some product categories are prohibited from being sold on the marketplace, while others are restricted. For example, fresh, frozen, and non-shelf-stable foods are prohibited, while some shelf-stable foods, such as jerky, might be approved. Other restrictions include items that might be deemed offensive, drug paraphernalia, and products that violate intellectual property rights.

You might be required to obtain pre-approval from Walmart when selling in some categories. These include luxury goods, fragrances, cell phones, and Halloween items. If you do plan to sell these items on the marketplace, allow extra time for approvals when choosing products for listing.

How Do Walmart Marketplace Reviews Work?There are two ways customers provide feedback on Walmart.com: Item ratings and reviews and seller ratings and reviews. The item ratings and reviews will appear on the Item Page (which can be shared by multiple sellers). Seller ratings and reviews are publicly visible on your Partner Profile Page, and they also impact your Seller Scorecard.

How Do Walmart Sellers Get Paid?You will receive payment via direct deposit every two weeks. You must choose one of two payment processors, Payoneer or Hyperwallet, when you register your account with Walmart marketplace.

Walmart Marketplace Contact Info and Helpful Links* Marketplace Seller Center — This is where you will log into your account after being accepted. Have your email and password handy. * Walmart Marketplace Login — If you have trouble logging in to Seller Center, we’ve provided some quick troubleshooting tips in this guide. * Partner Support — This is your #1 resource for help as a Walmart Marketplace Seller. To get help, you will need to create a support case (phone support is not offered at this time). To get here, log in to Seller Center. Click the question mark in the top-right corner. Hover over “Self-Help Options,” and click on Partner Support. * Prohibited Products Policy for Marketplace Sellers — The information in this section is subject to change. In addition, there are several exceptions within specific product categories that you might need to be aware of if you sell in those categories. Carefully reviewing these restrictions can help keep you in Walmart’s good graces.

The Bottom LineMany small businesses are eager to work with Walmart but aren’t sure where to start or may initially feel intimidated.

Walmart Marketplace is an ideal alternative for small suppliers that want to test the waters before making a full commitment to Walmart, as well as those already selling online that want to expand their reach. Not only can you get your items in front of millions of Walmart shoppers, but it’s a great launchpad to get items on the store shelves.

Selling through the marketplace helps you to understand Walmart’s standards and culture while developing a relationship with the company and selling your products. Over time, you can put your business in a good position to begin a standard supplier relationship with Walmart.

If you are still wondering whether marketplace selling is the right option for you or want to get off to a great start, know that 8th and Walton can help! We offer tools and training that can get your supplier business up and running while maximizing your sales. To learn more about selling on Walmart Marketplace, simply submit the form below:

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When working to improve your item pages at walmart.com, it’s easy to focus on copy, images, and dynamic content. But how do you improve one of the biggest selling tools on your page: the ratings and reviews?

Rick West, CEO and Co-Founder of Field Agent, joins the podcast this week to discuss strategies for getting more (and more quality) ratings and reviews. (Click the “play button” above to hear the podcast.)

During our interview, Rick explains:

  • how Field Agent supports suppliers
  • why ratings and reviews are valuable to not only suppliers, but to customers
  • how ratings and reviews have changed over the years
  • why Walmart is prioritizing ratings and reviews for its suppliers
  • how suppliers can get more, and more quality, ratings and reviews
  • when suppliers should partner with a professional firm

Ready to improve your ratings and reviews? Check out the services Field Agent has to offer to help your online business!

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Online retailers like Amazon and Walmart allow third parties to sell on their sites. In doing so, the companies run into the issue of multiple sellers wishing to sell the same item.

To simplify the search for their customers, the retailers provide a single product listing and allow sellers to compete for prominent placement on that page to sell their items. “Prominent placement” means being at the top of the page in the buy box.

In this article, we will look at how Walmart selects suppliers to be featured in its buy box. We will also discuss best practices for winning the buy box, how it can be lost, and what the Walmart.com algorithm looks for from product listings to rank items higher in a search.

What Is the Walmart Buy Box?The Walmart Buy Box is the section of an item page that contains the name of the item, item price, seller, seller information, additional purchase options, and “add to cart” button. Sellers of duplicate items on walmart.com share an item page and compete for placement in the buy box.

Winning the Walmart Buy Box requires suppliers to understand what happens behind the scenes at walmart.com to increase their chances of showing up in the buy box to win the sale. To obtain the coveted buy box position, we will discuss which strategies Walmart suppliers need to focus on in order to win the buy box and increase online sales.

What Does It Mean to “Win” the Walmart Buy Box?The concept of “winning the buy box” is particularly important for Walmart Marketplace sellers. In many instances, multiple sellers will list the same item on walmart.com. For example, more than one seller may be selling the same DVD movie, video game, or appliance. Because each of these sellers would have the same item page for their product, Walmart assigns one item page for the product and allows sellers to compete for the prominent buy box placement.

When a customer searches for an item being sold by multiple sellers, the top performer ranks highest and wins the buy box on the item page. Other sellers can be found in the “More seller options” section at the bottom of the buy box. The most competitive price usually wins the buy box, but some shoppers opt for different shipping options, more reviews, sellers they have bought from before, and more.

Why Is Winning the Buy Box Important?All sales begin with getting in front of the customer. In a store, that may mean endcap features or placement by the checkout. For walmart.com sellers, it means winning the buy box above competitors selling the same item. It is specifically important to win and maintain control of the buy box because:

  1. Most Customers Are Unaware of Walmart MarketplaceThe average Walmart shopper who logs on to walmart.com has no idea they may be ordering from a third party. Being on a Walmart website, their impression is they are doing business with Walmart.

Because of this, when they search for an item and click on the item page, it doesn’t occur to them that the buy box is simply the first option. Statistically, over 80% of online sales go through the default buy box without the buyer choosing to review other options.

In short, the first option they see will most likely land the sale.

  1. Fewer Steps Means More VisibilityWhen a competitor owns the buy box, you remain behind the curtain of the “more seller options.” Being in the buy box and keeping it gets your product and service in front of more customers in the search.

  2. The Success Feeds on ItselfBetter sales leads to buy box placement, which leads to better sales, which leads to keeping buy box placement! In other words, once you have achieved that prominent placement, it’s easier to hold on to it. You’re already doing the right things to align with Walmart’s algorithm, so maintaining is easier than getting there.

Being the first choice in front of the customers’ eyes does wonders for sales, reviews, and building customer trust.

How to Win the Walmart Buy BoxBefore the customer can click the “Add to Cart” button on your item, they have to find your item first! Getting your item out of the “other options” section and into the buy box comes down to price and performance.

Specifically, these recommendations will help capture the buy box placement:

PricingWalmart prides itself on being a low-price leader and expects the same of suppliers selling on its website. Whether the supplier is a large brand manufacturer or an independent Marketplace seller, item price is a major factor in search rankings.

Suppliers should offer competitive pricing and stay aware of how competitors are pricing similar items. It is usually the lowest-priced item that wins the buy box.

ShippingCustomers love free shipping, and fast shipping, and Walmart does as well. If possible, try to offer free or low-cost shipping to customers.

Walmart also gives higher ranking to suppliers offering services like 2-day shipping. Remember, just because the lowest-priced item may be currently in the buy box, the customer may prefer to pay more for faster shipping and go to the other options. This drives walmart.com performance and gets your item closer to the buy box.

Every effort should be made to deliver the product to the customer on time or even early with clear communication for tracking.

Reviews and RatingsWalmart wants all of its customers to have a positive experience when shopping at walmart.com. A huge influence in winning the Walmart Buy Box is having positive ratings and reviews.

This is especially important for Walmart Marketplace sellers. Marketplace sellers not only receive a review for the items they sell but also for their service. Too many poor reviews for either can cause the seller’s items to fall in the rankings, resulting in losing the buy box.

Accurate Product DescriptionsThe first step to good ratings and reviews is in the product description. Being honest and accurate about the item builds trust with the buyer. The more the buyer trusts the seller, the more motivated they are to shop with them repeatedly. Those positive buyer experiences are reflected back in the online reviews.

Healthy Inventory LevelsBeing at the top of Walmart’s search algorithm does not mean a thing when a supplier is out of stock. As soon as the customer sees “item is out of stock” on the item page, there’s always another option. At the bottom of the buy box, they can find what they want by simply clicking “More seller options.”

Keep those inventory levels up to stay in stock. Never losing the sale to out-of-stocks helps keep your search ranking healthy and increases your buy box success.

Walmart Buy Box FAQWhat determines who wins the buy box?

The Walmart algorithm is heavily focused on price when it comes to buy box placement. However, other factors can impact a low-price seller. For example, if the seller has the lowest price on an item but also has several bad reviews, they will lose the buy box. Price is important, but striving to provide excellent sales and service can make or break where you rank on walmart.com.

Can a third-party seller win a buy box occupied by a national brand, or even Walmart?

Yes. In some instances where a third-party seller has a lower price, great reviews, excellent delivery options, and healthy in-stock levels, they may take the buy box from larger brands. Just be aware that Walmart and larger suppliers monitor this closely and work hard to maintain their buy box standing.

Is the Walmart algorithm only looking for the lowest price?

No. The Walmart buy box algorithm is checking inventory levels. Not just the inventory levels of the current buy box winner, but also of competitors trying to get into the buy box! Once it has reviewed pricing, it checks to see if all the items are in stock. If the current buy box winner is out of stock, the supplier will lose placement, even if they have the lowest price.

What else factors in to buy box placement besides sales and price?

Your overall seller performance also contributes to buy box placement. These Walmart supplier account metrics include a supplier’s buyer feedback, selling history, shipment and defect rates, etc. Basic supplier performance metrics to keep in mind when trying to win the buy box include:

  • An on-time delivery rate greater than 95% in a 14-day period
  • A return rate of less than 6% in a 90-day period
  • A valid tracking rate of greater than 99% in a 14-day period
  • A cancellation rate of less than 2% in a 14-day period

How do you lose the buy box?

Poor supplier performance can make you lose the buy box. This includes high prices, low prices with high shipping, bad customer reviews, excessive out-of-stocks, and low ratings on item quality. At the same time, a supplier can be doing everything right and a competitor simply offers a lower price for the same quality product.

Why are my products not buy box eligible?

Much of what has been covered: high prices, poor reviews, or low inventory. Another factor could be that you are new to Walmart Marketplace. It takes time to build trust with a new customer base and monitor the competition. Take the tips from this article to build your standing toward winning that buy box!

The Bottom LineStriving to win the Walmart Buy Box is essential for increasing online sales and improving service to the customer. It’s also a great way to stay on top of competitors and a great reminder of why Walmart’s performance metrics are key to succeeding.

Need help with your online performance? Our team of Walmart.com experts can address your item page issues or supply chain questions. Request a free 15-minute consultation to learn how 8th & Walton can support your Walmart business.

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In early 2023, Walmart announced it was expanding its RFID tagging initiative to more departments. While suppliers have until February 2024 to be fully compliant in stores, early planning and adoption of the RFID technology is critical.

On this week’s podcast, Mike Graen is back with new information on the RFID initiative and tools to help suppliers. During our interview, we ask Mike:

  • What is RFID and how is it used in retail?
  • What are Walmart’s expectations for suppliers in this new RFID phase?
  • What will suppliers learn in the upcoming online RFID seminars?
  • What are the benefits of RFID for suppliers and for customers?
  • What’s a realistic timeline for beginning RFID tagging to being fully compliant in a store?

After listening to the podcast (click the “play button” above to hear the interview), impacted suppliers should:

  • sign up for the next 2023 RFID seminar hosted by Mike Graen
  • contact 8th & Walton with any questions
  • read more about RFID and it works in retail

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Walmart Marketplace is a partnership between you and Walmart: Walmart provides your supplier business with a world-class e-commerce platform, and you take responsibility for your listings, inventory control, and, in many cases, delivering your products to customers.

Ensuring an excellent customer experience is important to Walmart, which is why it has high standards for its sellers. Fortunately, Walmart clearly defines its expectations so that you can optimize your processes and remain in compliance.

What Are Walmart Seller Performance Standards?Walmart performance metrics define Walmart’s expectations of its Marketplace sellers. Your compliance with these standards reflects your ability to accurately and quickly fill orders, ensure product quality, and provide excellent customer service.

It’s important to understand that all Walmart Marketplace sellers are expected to remain in compliance with these metrics.

Why Walmart Performance Metrics MatterPrioritizing Walmart performance metrics is more than a compliance measure. It’s also imperative for the supplier’s relationship to Walmart and the end customer. Walmart performance metrics matter because:

  1. They ensure continued business with Walmart. Performance metrics matter because you want to continue working with Walmart. If you fall short, you risk being removed from the Marketplace. Fortunately, Walmart provides you with access to your performance metrics so that you can check them whenever you need to and take corrective action.
  2. They help measure and enhance customer relationships. Metrics aren’t just about the threat of removal from the platform. They are also about customer relationships: When people buy your products online, they expect the quick delivery of a quality product. They also want to get their questions answered and know when to expect their item to be delivered. If you aren’t meeting customer expectations, your business will suffer. If you do meet Walmart’s standards, you’ll be able to cultivate customer loyalty.
  3. They offer insight into your business’s health. If you struggle to meet one or more metrics, it’s time to learn why you fall short. It may also be time to get help with your business.

5 Metrics That Matter to WalmartWalmart Marketplace standards focus on five key areas that greatly impact the customer experience. Understanding these metrics, also known as Walmart Key Performance Indicators (KPI), is critical to your success on the Walmart Marketplace.

  1. Cancel RateWhat is cancel rate?The Walmart Marketplace cancel rate is the percentage of orders canceled by you, the seller, after you receive a Marketplace order.

Seller benchmark for cancel rateWalmart expects its Marketplace sellers to maintain a seller cancellation rate of  less than 2%.

How to improve cancel rateWhen customers see a product for sale, they expect it to be available. Canceling a shopper’s order inconveniences shoppers and represents a lost sale for you. Walmart doesn’t like cancelations either, because shoppers will likely be frustrated by a seller cancelation and may take their business elsewhere.

Canceled orders are often caused by one of two things: Errors in your product listings or inventory management problems.

  1. Product listing errors range from price discrepancies to inaccurate product titles, photos, or descriptions. Good supplier processes include the creation of accurate listings and maintaining their accuracy. Templates and management systems like CEDCommerce can also standardize listings and check prices before your product goes live.
  2. Inventory management problems mean that you might not have enough inventory to fulfill the orders you receive. This problem is exacerbated by selling across multiple platforms. Inventory management tools can sync your platforms so that each reflects the amount of product you have available.

  3. On-Time Delivery Rate (OTD)What is on-time delivery rate?Walmart Marketplace customers receive an expected delivery date when they make a purchase. Your on-time delivery rate is the percentage of orders that arrive at the customer’s doorstep on or before the expected delivery date.

Seller benchmark for on-time delivery rateWalmart expects its Marketplace sellers to maintain an on-time delivery rate of 95% or greater.

How to improve on-time delivery rateIf you opt not to use Walmart Fulfillment Services (WFS), you are responsible for getting packages to customers. Your on-time delivery rate depends on your internal order fulfillment processes as well as your choice of carrier.

When shipping a product, it’s critical to choose a carrier that can deliver your product on time. It’s also your responsibility to monitor the performance of your chosen carrier or carriers: If they aren’t delivering on time, you need to work with a different service.

  1. Valid Tracking Rate (VTR)What is valid tracking rate?Your carriers will provide a tracking number when you ship an order. You must enter this number when marking your orders as “shipped.” Your valid tracking rate is the percentage of orders with valid tracking numbers.

Seller benchmark for valid tracking rateYou must provide a tracking number for 99% or more of your Marketplace orders.

How to improve valid tracking rateTracking numbers serve several purposes: They confirm the shipment of an order and allow your customer to track the shipment. If the shipment is lost or there is a delay in shipping, the carrier uses tracking information to locate the parcel. To ensure that your valid tracking rate remains high, do the following:

  • Work with reputable carriers that are capable of effectively tracking orders.
  • Choose trackable delivery methods. USPS, for example, still offers some shipping options that aren’t trackable. These options are not acceptable for shipping Marketplace orders.
  • Enter the tracking information correctly when marking an item as “shipped.”

  • Refund RateWhat is refund rate?The refund rate is the percentage of refund requests you receive due to issues that your company is responsible for. Examples of such refunds include shipping a defective product or the wrong item.

Seller benchmark for refund rateYour refund rate should be under 6%.

How to improve refund rateYou can improve your refund rate by ensuring your products are manufactured to a high standard, stored correctly, and packed accurately and securely.

  1. Seller Response RateWhat is seller response rate?Your seller response rate reflects your ability to respond within 48 hours to customer messages and questions.

Seller benchmark for response rateYour seller response rate should be 95% or greater.

How to improve response rateCheck your message center often and respond to customer inquiries promptly. Remember: The 48-hour countdown begins when you receive the message… even if it arrives on a weekend, holiday, or day off.

How and Where to View Your Performance MetricsIt’s a good idea to check your performance metrics regularly. Log in to your Seller Center account and visit your Order and Fulfillment dashboard to check your rates. If you see a negative change in your metrics, even if you are within Walmart’s benchmark, take action. You don’t want a missed message or a lost package to hurt your business.

The Consequences of Non-ComplianceOne reason to check your performance metrics frequently is that Walmart is doing the same. If you are out of compliance with Walmart’s performance indicators, expect Walmart to get in touch. You’ll be expected to address the issue immediately. Walmart may suspend or terminate your Marketplace Seller account if you don’t improve your compliance rates.

Some actions can result in the automatic termination of your Marketplace account. These include:

  • Not maintaining compliant technology.
  • Providing false information about your account or business.
  • Using abusive language toward customers, associates, or fellow Marketplace sellers.
  • Attempting to divert customers to another selling platform.
  • Engaging in fraud, including changing prices after making a sale.

If you have any questions about the kind of activities that can get you banned from the platform, it is critical that you do your research and understand the behaviors that can result in your termination. Don’t assume that you know what these are: Learn about them and work with your team to ensure compliance.

How 8th & Walton Can HelpGetting used to a platform like Walmart Marketplace can be a huge challenge. Whether you are thinking about selling on Marketplace or are already doing so, 8th & Walton can help you improve your metrics and your sales through:

  • One-on-one consultations that allow our experts to understand your organization and provide guidance in every aspect of your supplier business.
  • Walmart onboarding for your whole team. We can help your managers and employees work effectively with Walmart.
  • Need help with accounting, item creation, analytics, or supply chain logistics? We can help with all of these areas.
  • Classes on every aspect of working with Walmart. Classes are taught live on Zoom allowing you and your team to learn from the comfort of your homes or at your workplace.

8th & Walton’s team of instructors and consultants include Walmart and Sam’s Club veterans with decades of experience working with Walmart and Sam’s Club’s systems and processes. In fact, Walmart’s e-commerce program was pioneered by some of our colleagues.

The Bottom LineSelling on Walmart Marketplace is serious business: You can expand your brand, connect with new customers, increase sales, and make a lot of money.

Understand, however, that Walmart is protective of its brand and holds sellers to the standards it has set for itself.

If you are worried that your organization may not be able to meet these standards, reach out to our team. We can help get you on track.

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On this week’s podcast, 8th & Walton President and CEO Jeff Clapper looks at 2023 (click the “play button” above to listen).

In addition to discussing new tools and support for Walmart suppliers, we ask Jeff:

  • What were the biggest surprises or callouts of 2022?
  • What’s been the feedback on 8th & Walton’s B Corp certification?
  • In addition to the New Supplier Checklist, what are the new class options for aspiring Walmart suppliers?
  • How will Private Brand continue to expand in Walmart this year and how does our team support suppliers?
  • What is your advice to Walmart suppliers about how to prepare for this next fiscal year?

Ready to improve your business with Walmart this year? A 15-minute consultation with a Walmart advisor is absolutely FREE!

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When suppliers enter into partnerships with retailers, which delivery method is best: prepaid or collect? The short answer is it depends!

The true answer is what we’ll explain in this article. Prepaid and collect delivery both have advantages and disadvantages depending on the supplier’s business, the retailer receiving the shipments, delivery expectations, penalties, budget concerns, and more.

We’ll begin by defining basic shipping terms and then deep dive into what suppliers should consider when deciding to deliver collect vs. prepaid.

Collect vs. PrepaidShipments that are sent collect require the receiving party to pay all shipping charges. Shipments that are sent prepaid require the party shipping the freight to pay all shipping charges.

In this article, we will explore more than the simple differences between collect and prepaid shipping. We’ll look at the advantages of each, how it impacts Walmart suppliers, and free resources to help suppliers decide which method is best for their business.

Overview of Shipping TerminologyIf you are a new supplier, or if you’re new to the logistics team of your company, some of the jargon can be overwhelming! Besides knowing the difference between collect and prepaid, there are other terms to be familiar with as you go into negotiations with clients. Some common ones include:

  • 3PL: 3PL is short for “third-party logistics.” Companies will contract with a 3PL in order to outsource shipping, inventory management, and warehousing.
  • Bill of Lading (BOL): The bill of lading is the overall terms and conditions for the shipment. The BOL is where freight and payment terms are defined.
  • Cash on Delivery (COD): Cash on delivery requires the shipping party to collect payment upon delivery of the freight.
  • Free on Board (FOB): Free on board is the “hand-off” point between the buyer and seller in the supply chain. FOB is literally the point where ownership of the freight is transferred from the shipping party to the receiving party. In negotiation for shipping and receiving, FOB will be used in conjunction with how the freight will be paid as well as where ownership changes:
    • FOB Destination Point (Freight Prepaid): The party shipping the freight is responsible for and retains ownership of the freight through delivery. The shipping party also pays all fees required for the shipment.
    • FOB Destination Point (Freight Collect): The shipping party is responsible for and retains ownership of the freight until it arrives at its final destination. Upon arrival, the buying or receiving party pays for the transportation of the freight.
    • FOB Shipping Point (Freight Prepaid): The buying or receiving party owns, assumes liability, and is responsible for the freight at the point of origin. The shipping party pays for the shipping of all goods.
    • FOB Shipping Point (Freight Collect): The buying or receiving party owns, assumes liability, and is responsible for the freight at the point of origin. They buying party also pays for the shipping of all goods.
  • Third-Party Freight: Third-party freight means that the company responsible for paying the freight bill is not the company receiving or shipping. It usually means an outside logistics company is paying to transport the shipmen from a supplier to the receiving party.

What Is Freight Collect?When a company chooses to ship freight collect, the buying or receiving party assumes responsibility for all aspects or transporting the freight. The selling party simply has to prepare the freight for pickup as agreed to on the purchase order. The buying or receiving party may have its own logistics system to ship collect deliveries or contract with a third-party carrier.

What Is Freight Prepaid?When a company chooses to ship freight prepaid, this means they as the shipping party assume responsibility for all aspects of transporting freight to the buying or receiving party. The shipping party takes on all logistical responsibility, whether using their own system or partnering with a 3PL. Costs associated with partnering with a 3PL fall on the shipping party. Any penalties or fines from the receiving party will still go back to the shipping party, not the 3PL.

Freight Collect Pros and ConsWhen deciding between using the collect vs. prepaid shipping methods, one isn’t superior to the other. Which method will be most beneficial depends largely on the shipper’s business and the requirements set up by the receiver. We’ll first look at the pros and cons of shipping freight collect:

Pros of Freight Collect Less responsibility – The selling party is essentially handing all the transportation work over to the receiving party. For the selling party’s bottom line, this can translate into fewer staff needed, lower costs involved, and fewer resources needed in the fulfillment process. * Fewer compliance issues – The selling party does not have to worry about delivery non-compliance. Sellers only have to ensure orders are accurate and ready to be picked up by the appointment time on the purchase order. Not having to deal with delivery arrival times and other compliance issues means not having to pay additional penalties. * Transportation costs* – When using freight collect, shipping parties will agree upon transportation terms usually once a year with clients. This eliminates unforeseen problems popping up unexpectedly in shipping costs.

Cons of Freight Collect Giving up control – In using the freight collect method, the shipping party relinquishes a good deal of control. More than controlling the physical shipment of the freight, the seller also give up control of shipping times, costs, carrier choice, and some supply chain visibility. * Not managing delivery times – Not having to deal with delivery time compliance may seem like a pro, but giving up this control can easily hurt a seller’s bottom line. While clients may have high expectations and guidelines for how and when a seller delivers freight, they may not hold themselves to the same expectations. This can potentially hurt a seller’s on-shelf availability and result in missed sales. * No delivery cost flexibility* – In negotiating collect shipping agreements, the receiving party will work the cost of transportation into the contract. By locking into this charge (usually negotiated once a year), the seller loses any flexibility to save on shipping costs should opportunities present themselves throughout the year.

Freight Prepaid Pros and ConsAs stated previously, one method is not necessarily better than the other in all cases. Here’s a look at the pros and cons of shipping freight prepaid:

Pros of Freight Prepaid Cost control – When shipping freight prepaid, the seller will determine the cost of shipping. Since the seller assumes the liability of freight costs, they can negotiate how much the receiving party will pay for shipments. * Control over special shipping – Freight prepaid means the shipping party legally owns the freight while it is in transit. Ownership then transfers to the buying or receiving party once the shipment has been delivered. This method is most beneficial to businesses buying and selling fragile merchandise, or freight that requires a custom delivery method. * Ease of upfront payment* – Sellers using freight prepaid enjoy a relatively upfront method of payment. This means that before the freight is shipped to the client, most of the shipping costs are covered. For the shipper, this cuts back added costs of potential returned freight.

Cons of Freight Prepaid Added responsibility – Full responsibility for shipping falls on the shipping party. While complete control can be a pro, the penalties for non-compliance also come with it! When small companies use a third-party carrier, late charges will still go back to the shipping company, not the carrier. * Added costs – More responsibility in any area brings more costs, even if the work is outsourced. Companies choosing to ship freight prepaid still have to monitor performance, even when working with a 3PL. This requires the company to add labor and resources for everything from contract negotiation, to research, and more. * Choosing a logistics partner* – Not every seller has their own shipping fleet or chain of warehouses. Many will need to contract with a 3PL, consolidator, or carrier. Mistakes made by a third party will result in penalties for the seller. This means lost sales, reduction in shelf space, or even having items removed from the modular all together. Time and research have to be put into partnering with the third party that will represent the seller well

Implications for Walmart SuppliersAs a Walmart supplier, should you choose collect or prepaid? If you are not currently delivering to Walmart, you need to know about On Time In Full (OTIF).

OTIF is Walmart’s compliance measure of how a supplier’s freight arrives at a Walmart store or distribution center. As its name states, Walmart is asking two questions of each supplier delivery: “Did the freight arrive on time?” and “Did the freight arrive in full?”

When supplying to Walmart, meeting the OTIF requirements should be a major factor in choosing between delivering prepaid or collect. Current suppliers are using both methods and even partnering with 3PLs to stay compliant with Walmart guidelines.

ConclusionCollect and prepaid freight both have advantages, depending on your business need and the clients you serve. If you have questions about which method will work best for your business with Walmart, check out our free resources for suppliers:

  • Free 15-minute consultation
  • Collect vs. Prepaid Delivery Download
  • Collect vs. Prepaid Delivery Podcast with RJW Logistics Group

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What is the difference between prepaid versus collect delivery?

Which is better if you are supplying to Walmart?

Whether to use a prepaid or collect delivery method is part of every supplier’s planning strategy. To dive deep into the major differences between the two, we sat down with Kevin Williamson, CEO of RJW Logistics Group on this week’s podcast (click the “play” button above to listen).

Kevin and his team help suppliers through logistics issues and bring them solutions each week. In our conversation on prepaid delivery versus collect delivery, Kevin explains:

  • the major differences between prepaid and collect delivery
  • supplying to Walmart and recent fees initiated on suppliers
  • prepaid and collect delivery as they directly relate to Walmart’s OTIF requirements
  • inventory repackaging, labeling, and POS displays using a prepaid delivery system
  • what suppliers should consider when choosing between the two methods

For more questions about prepaid versus delivery or to learn more about RJW Logistics Group’s services, visit them online!

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On-shelf availability may be the hottest subject in retail at the moment. Phantom inventory, missing-in-action merchandise, and empty shelves affect all of us — retailers, suppliers, and certainly customers.

The best retailers know what products their customers want and they have those items ready and handy when their customers want to buy. The end goal is always the customer’s satisfaction.

But when a customer looks for and can’t find a product, she’s disappointed, frustrated, and sometimes even upset. Anything but satisfied.

Keep reading to learn what on-shelf availability means, how it differs from in-stock, issues with accuracy, and ways to improve it.

What Is OSA?On-Shelf Availability (OSA) means that an item is located on its designated shelf in a store and available for a customer to purchase. Suppliers track their items’ OSA via retail software systems or third-party service providers physically monitoring stores to verify product is on the shelf.

OSA vs. In-StockOn-shelf availability and in-stock are not interchangeable terms. They are actually two separate steps in the supply chain.

When merchandise is classified as in-stock, that simply means it is somewhere in the store and should be available for purchase. However, an in-stock item can be on the shelf, in the backroom, on a top-shelf or display inventory overflow storage area, or on the salesfloor sitting on the wrong shelf.

On-shelf availability means the item is in the store and available for purchase at its assigned space.

Issues With OSA AccuracyAs explained above, the difference between OSA levels and in-stock levels is one of the toughest data points in the supply chain. Many times, a retailer’s inventory software will show that an item is in-stock. The retailer and supplier may assume that because the item is in-stock, it’s available for purchase on the salesfloor. However, there are several reasons the data can be misleading:

  • Received only – The item may have been checked in at the store level, but it’s still sitting in the backroom or other inventory overflow area.
  • Mis-shelving – The item may be on the salesfloor, but it was placed on the wrong shelf. It could have also been moved by a customer to another area of the store.
  • Warehouse received only – The item may be showing in the system as received, but only at a warehouse or distribution center. It has not been transported to the store for sale.
  • Not visible – The item may be on the shelf ready for purchase, but it may be blocked by other items, signs, or store displays.
  • Non-saleable items – The system may be counting non-saleable items as available for sale. This would include items that are stolen, damaged or for other reasons items would not be qualified to sell.

Why Focus On OSA Issues?Retailers and suppliers have to work together on OSA issues. Whether it is inaccuracy in reporting or missing items, all OSA issues lead to the same end result: lost sales. Any time sales are lost due to OSA issues, it results in a negative impact on the retailer, supplier, and customer.

OSA for the RetailerWhen a customer enters a store an the item they want is not on the shelf, the retailer loses more than a sale; they potentially lose customer loyalty. Today’s shoppers are less loyal to retailers (Walmart, Target, Best Buy, etc.). If a customer is loyal to a brand, it’s usually the product brand (Coca-Cola, Nike, Apple, etc.). Customers know if they want a product, they can have exactly what they want, even if it means going to another retailer or searching online.

Aside from losing sales and customer loyalty, incorrect tracking of OSA causes supply chain issues for retailers. The bad data on what is or is not in the store creates inaccurate forecasting and replenishment issues.

OSA for the SupplierWhat happens when a customer walks into a store and sees their favorite brand of peanut butter is not on the shelf? It’s more than a lost sale; it’s encouraging that customer to try a new brand.

That one empty space on the shelf is surrounded by competing national brand peanut butter and possibly the retailer’s private label. The customer’s loyalty to the product brand is now being pushed to the competition.

On the supply chain side, poor OSA can cause the retailer to believe there is no demand for the supplier’s product. This can lead to a cut in assigned shelf space or removal from the modular. The inaccurate data from poor tracking of OSA can also create bad decisions about future production from the supplier.

OSA for the CustomerAs mentioned above, the biggest drawback of poor OSA for customers is not being able to get the item they want when they want it at the place they depended on to have it. This frustration can carry over to having negative perceptions of the supplier brand and the retailer itself. Retailers and suppliers need to remember OSA issues cause more than losing a sale; OSA issues cause losing a sale to someone else!

Ways to Improve OSAOnce a supplier has discovered issues with their OSA and the reasons why, it’s time to plan for a solution. Depending on where the OSA issue is happening in the supply chain, the resolution may take time to show itself working. Here are some proven solutions suppliers use to improve OSA over time:

Inspect Packaging and ShippingOne of the most common reasons freight does not make it to the store shelf is it gets damaged in transit. The shipment may be marked as received at the store level, but the actual product never gets displayed because it is not suitable for sale.

Review product packaging and shipping procedures to improve this part of the supply chain. This can have a huge impact on OSA long before the product gets to the store.

Invest in Third-Party VerificationWhat’s the best way to know if items are truly on the shelf? Look for yourself and see! Many suppliers employ third-party agencies to inspect their shelf placement and displays nationwide. Representatives simply find the items in a store, take photos for the supplier, and research any issues while in the area.

Stock Your Own ProductSmaller suppliers may not have this luxury, but bigger players avoid OSA issues by stocking their own product. Beverage, bread, and snack suppliers will deliver their products directly to a store and place them on the shelf or display.

In some cases, suppliers will have floor or shelf displays shipped to a store with instructions to “hold for representative.” The supplier will send someone to the store to find the display in the backroom and assemble it themselves. This guarantees the display is up and stocked without having to rely on resources from the retailer.

Invest in TechnologyRetailers are always looking for ways to improve supply chain and that last hurdle of getting product to the shelf is no exception. Radio frequency identification (RFID) tagging and labeling are becoming more popular and required by retailers. With an RFID tag, suppliers can no only see if an item is in a store, but they can see exactly where it is in the store.

RFID tags and labels also help with inventory counts. A big advantage of RFID is for the customer. If they want to purchase a product in a store, the RFID keeps an accurate count of items in the store so the customer can verify it’s there online before making the trip.

OSA for Walmart SuppliersWhen most suppliers think of improving supply chain performance for Walmart, two areas come to mind: On Time In Full (OTIF) and the Supplier Quality Excellence Program (SQEP). Suppliers are laser-focused on these two initiatives to prevent fines and penalties for non-compliance. However, with so much attention on OTIF and SQEP, the last piece of the supply chain sometimes gets overlooked.

OTIF and SQEP are strictly focused on getting merchandise from the supplier’s warehouse to the Walmart store or distribution center. The last part of the merchandise journey is getting from the Walmart store’s backroom to the shelf for the customer.

While errors in this part of the supply chain do not carry any fines, they can result in lost sales. In addition to improving on OTIF and SQEP, Walmart suppliers need to complete the process with a renewed focus on OSA.

ConclusionCustomers can not buy the product unless it’s on the shelf. This last piece of the supply chain is critical to sales growth, customer loyalty, accurate forecasting, and consistent replenishment.

As a Walmart supplier, OSA can mean the difference between more business with Walmart or losing modular space. The team at 8th & Walton can answer your supply chain questions to help improve your OSA performance. Request a free 15-minute consultation this week.

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How does that merchandise display complete the customer’s omnichannel experience?

What social media is impacting how new displays are designed?

That’s part of the conversation on this week’s podcast with Trevor Lewis of InStore Design Display (click the “play” button above to listen).

Even with the surge in customers shopping online or trying curbside pickup, more buying decisions are still being made at the shelf. Planning the right presentation to catch your next customer’s eye is how Trevor and his team support suppliers each week.

In our conversation, we ask Trevor:

  1. How does InStore Design Display support suppliers?
  2. For today’s shopper, how important is the store presentation and what role does it play in the holistic omnichannel experience?
  3. How does the changing retail landscape impact your business?
  4. How do social media and online influencers impact how you support suppliers?
  5. What’s happening in the core retail landscape that will impact in-store designs next year?
  6. When you first sit down with a new client, what is the planning process like and what can you do for suppliers that they may not be aware of?

Got a question for Trevor about your next display planning? Visit InStore Design Display for more information!

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The weakest link in the retail supply chain will always be the same: communication. Human error, wrong information on purchase orders, confused delivery times and locations all cost retailers money. Unfortunately, this lost money gets made up for in price increases.

To prevent higher prices, retailers and suppliers work to improve the supply chain. Part of the goal is to make communication (verbal and electronic) better. One tool in better business communication is simplifying the process of identifying companies and destinations globally through a universal code. This code is the global location number.

What Is a Global Location Number (GLN)?A Global Location Number (GLN) is a unique 13-digit number used to identify the legal entity and physical location of a business. A company may have more than one global location number depending on its size and nature of business.

What Do GLNs Identify?As a globally unique identifier, the GLN answers two questions: “who” and “where.” In supply chain, the specifics of the “who” and the “where” are coded in the GLN to provide information about physical locations, digital locations, legal entities, and functions.

Physical LocationPhysical locations are defined as tangible places that can be identified by an address, coordinates, or use of other locators. A separate GLN can be assigned to a physical location that is within another physical location. All sub-locations are considered specific spaces on or within a physical location. In some instances, these sub-locations may be identified with a GLN extension component.

Any physical location must be issued its own GLN if its access address is not the same as other physical locations and there is a business need.

Not all locations remain in a permanent place. A mobile location can also receive a GLN. Mobile locations in need of a GLN would be certain types of shipping vessels, mobile hospital units and service vans, etc.

Digital LocationA digital location simply refers to a non-physical electronic address that is used for data transfer between computer systems. The digital location GLN includes the related legal entity and can also include development status and network address of the location and the system administrator’s contact details. If a digital location’s purpose is different from other digital locations in the company, it needs its own GLN.

Legal EntityA legal entity is defined as any institution, government body, business, charity, department, or individual, or that has legal standing and is able to enter into agreements or contracts. Legal entities need their own GLNs when the legal name and/or legal address and/or legal registration number is not the same as other legal entities.

FunctionWhen a GLN is assigned to a function, this refers to a department or subdivision of a company based on a specific task executed by that group. A function usually needs its own GLN when its business purpose differs from other functions of the company. Overall, there must be a business need to separately identify the function across the organization. When no separate functions are needed apart from the normal business practice, the legal entity GLN represents all functions of the company.

How Are Global Location Numbers Structured?A global location number is made up of 13 digits. The number is not randomly assigned to a business or identity. They are broken up into three sections specific to what the number is created to identify:

  1. Company prefix: The first seven to nine digits of a GLN represent the company prefix. The company prefix is not created by the company. It is assigned by a representative of GS1 (the company issuing GLNs) to the requesting company.
  2. Location reference: The company prefix is followed by the location reference number. The requesting company itself will assign the location reference number to identify a specific location.
  3. Check digit: The last section of the GLN is the check digit. The check digit is a calculation of the first twelve digits of the GLN. It serves to verify the integrity of the number.

When Are Global Location Numbers Used?One of the most common uses of global location numbers is company identification and destination information on transactional documents. The GLN is a required identifier on purchase orders, payment requests, and delivery orders.

For Walmart suppliers, it is required to provide the GLN on the N1 ST segment element 04 on all EDI 810s and all invoices without purchase orders.

What Are the Benefits of Global Location Numbers?The overall benefit to GLNs is simplifying locating essential parts of the supply chain. Specific benefits by area include:

Company or Destination LocationA common question among new suppliers is “Why would I need a global location number when my business and business partners have postal addresses?” As the supply chain relies more on electronic processes, postal codes are not sufficient identifiers.

Look at the following three postal addresses:

  • Walmart, 702 SW 8th Street, Bentonville, AR 72716
  • Walmart Stores, Inc., 702 South West 8th Street, Bentonville, AR 72716
  • Walmart Corporate Office, 702 SW 8 Str., Bentonville, Arkansas, 72716

If these addresses were on three separate packages, a human being could tell they were all intended to go to the same place. They are all the same address, just written slightly differently. Electronic processes, on the other hand, require unique and unambiguous identifiers. So a simple postal address that can be written multiple ways is a bad identifier for the average IT supply chain system.

The global location number solves this issue. The GLNs uniquely and unambiguously label a company and its location in an electronic process.

What Are Walmart’s GLN Numbers?While Walmart requires GLN numbers of its suppliers, the company also has numbers for its company. Two examples are:

  • Walmart US GLN: 0078742000008
  • Walmart CA GLN: 0681131000000

Global Location Number FAQWho needs a GLN?

Any entity taking part in the supply chain needs a global location number. This includes suppliers, manufacturers, distributors, business units and locations, and other participants in the supply chain.

Who issues a GLN number?

Global location numbers are issued by Global Standards One (GS1). GS1 is an international organization that produces and maintains industry standards for barcodes, company prefixes, and other supply chain identifiers.

How do I find my GLN?

To find the GLN for a company, simply enter the appropriate information in this lookup tool in the GS1 database.

What is the difference between a GLN and GS1?

GS1 is the overall system of standards for retailers. These communication and tracking standards allow retailers and suppliers to track products at every step of the supply chain.

The GLN is a unique number issued by GS1 used for identification and tracking in the supply chain.

Is the GLN the same as a company prefix?

A company prefix is actually part of the GLN. The first seven to nine digits of the GLN make up the company prefix.

Can a company have more than one GLN?

Yes. While some businesses just want to have one GLN for their whole company, others allocate individual GLNs for each location they wish to identify.

How much does a GLN cost?

As of this posting, obtaining a GLN is around $30. There is no annual fee for a GLN.

ConclusionIf you are reading this blog, chances are you are a new supplier and are preparing to work with a retailer. Obtaining a global location number is one small piece of that huge puzzle!

The experts at 8th & Walton can help prepare you in your journey with Walmart. If you have more questions about Walmart’s requirements or our services, request a free 15-minute consultation.

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Every Walmart initiative supports one goal: get the customer what they want, when they want it, at an affordable price. In other words, improving the supply chain will not only keep items in stock but will also lower costs in the end. Walmart programs like On Time In Full (OTIF) work to improve the supply […]

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Large companies like Walmart, Tyson, and JB Hunt are looking for innovation to stay relevant for tomorrow’s customers. As a young startup or small company developing new solutions, how do you prepare to get in front of the big players? Today’s innovators are getting connected to solution seekers through Plug and Play. Josh Saffran, Director […]

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In every new initiative Walmart develops, one goal remains at the core: commitment to the customer. That commitment goes far beyond low prices and customer service. It’s a promise reaching as local as the community, but as big as the world. In 2017, Walmart renewed its focus on the environment. The company recognized its responsibility […]

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During the busy fourth quarter, it’s easy to miss a new announcement or program update from Walmart. Your team at 8th & Walton stays on top of Walmart communications and changes to existing programs. That’s what this week’s podcast is all about! Joel Graham is back on the show (click the “play button” above to […]

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From small businesses to large corporations, the most successful companies begin and stick with a clear business plan. When a company defines its goals, lays out a path to meet objectives, and agrees on financial spending and expectations, it creates a shared vision and accountability to succeed. Many businesses experience greater growth when partnering with […]

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New suppliers may be unfamiliar with a DUNS number, its purpose, and how other businesses use it to partner with a supplier. As we will explain, the DUNS number is not only easy to obtain and use, but is required by businesses worldwide for research, growth, and potential new partnerships. What Is a DUNS Number? […]

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Whether you are a new Walmart supplier or beginning your business on Walmart Marketplace, just getting set up can be overwhelming. Among the details of item descriptions, images, and shipping information, one critical detail is essential in staying compliant: configuring sales tax for Walmart.com transactions. Read on to learn how sales tax works at Walmart, […]

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With all the issues facing Walmart suppliers and other businesses, the threat of a cyber attack is one many do not consider until it happens. But it happens more often that you think! Our guest on the podcast this week (click the “play button” above to listen) is Eyal Gallico, founder of Apollo IT services. […]

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(Editor’s note: 8th & Walton offers Retail Link classes for new analysts and seasoned suppliers. Before taking your first class with us, it’s best to familiarize yourself with these basic Excel functions to make the data work for you.) Walmart suppliers get their weekly sales data from Retail Link. What new suppliers may not realize […]

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Walmart provides its suppliers with a variety of tools and resources to be successful. After getting the agreement to work with Walmart, suppliers get access to their first tool to launch their items at Walmart: Item 360. On this week’s podcast (click the “play button” above to listen), we talk with Joel Graham, 8th & […]

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Walmart Marketplace is an ideal platform for third-party sellers. It allows suppliers to list their items on Walmart.com the same way they do on Amazon or eBay. Not only can new suppliers get their products in front of Walmart’s massive online audience, but selling on Walmart Marketplace can lead to a relationship with the Walmart […]

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(Editor’s note: this is one of the most common questions from those new to selling on Walmart Marketplace. As you begin to grow your business with Walmart and have questions, contact us to speak with a Walmart advisor.) As a small supplier, one of the best ways to begin your relationship with Walmart is to sell […]

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Mike Graen joins the podcast again to discuss On Shelf Availability (OSA). Walmart suppliers are so focused on meeting their On Time In Full (OTIF) requirements that they sometimes forget the last part of the journey is physically getting product from the backroom to the shelf. On this podcast, we ask Mike: How does OSA […]

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Walmart’s slogan is more than simple advertising — the four-word branding represents Walmart’s worldwide mission and also has a rich history dating back to its founder. Though it took a few incarnations to become the slogan we see today on every Walmart bag, truck, and store sign, the story behind the slogan is intriguing. Walmart […]

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Walmart suppliers have recently been hit with new fines for non-compliance with labeling and packaging. The new fines are taking suppliers by surprise because Walmart updated the guidelines earlier this year without an announcement or Retail Link® communication. On this podcast (click the play button above to listen), 8th & Walton’s Joel Graham, Director of […]

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Did you know Walmart updated its packaging requirements this year? Are you up to date with changes on Walmart.com content? Did you just get the “yes” from Walmart and need to know what’s next? Yes, this week’s podcast (click the “play” button above!) has information for Walmart suppliers, those trying to be Walmart suppliers, and […]

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Walmart holds its suppliers accountable for each link in its supply chain. Understanding and improving each piece helps keep costs down and get merchandise in the hands of customers faster. Each step in the supply chain is critical because one weak link can result in delays, fines, and even removal from the Walmart modular. One […]

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Walmart suppliers get hit each month with deductions, penalties, and chargebacks. To lower the financial impact and add those dollars back to the profit column, suppliers can improve errors in their supply chain and various processes. However, many times a monetary penalty from Walmart may be a mistake. The company has systems in place for […]

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How do suppliers win the sale over their competitors? There are many options: a lower price, better packaging, bonus buys, and higher quality just to name a few. All of these answers are effective in brick-and-mortar stores, but one option is unique to online purchases that greatly increases sales: shipping options. Customers like having the […]

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Walmart suppliers work to grow revenue each quarter. While growing profit is essential, Walmart puts an equal effort into eliminating loss. Part of a supplier’s loss comes in the form of deductions when Walmart only makes a partial payment on a supplier invoice. The reason for the deduction is listed for the supplier as one […]

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There has never been more opportunity to sell products at Walmart. Suppliers wishing to work with Walmart for the first time have a variety of options. Whether shipping product to Walmart stores, carrying products on Walmart.com, becoming a Walmart private label supplier, or listing items on Walmart Marketplace, becoming a Walmart vendor presents many choices. […]

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Supply chain has met many challenges over the last two years. From new challenges like a global pandemic and drastic consumer demand changes to familiar challenges like capacity and retailer accountability, suppliers adapt quickly or find themselves behind. On this episode of the Retail Supplier Podcast, we visit with Greg Forbis, Executive Vice President of […]

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Retailers and suppliers work together to grow sales and lower costs. Achieving one or both of these goals begins by making improvements to the supply chain. From the purchase of raw materials to the final customer purchase, small supply chain improvements can mean huge profits added to the bottom line annually. But what is the […]

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(Note: to hear our RFID Retail Supplier Podcast with Mike Graen, click the “play” button above. Don’t forget to request a FREE consultation about your RFID issues.)

Suppliers and retailers alike are working to improve supply chain. Better packaging, more accurate inventory, shrink reduction, and improved tracking are just a few ways companies seek to cut costs and sell more product.

All of the aforementioned goals can be reached with RFID. While RFID is not a new technology, it is one seeing a big resurgence in retail. Companies like Walmart are investing more in RFID for the first time or expanding it to more categories in their stores.

What Is RFID? RFID stands for Radio Frequency Identification. RFID technology is simply tags or labels encoded with digital data on store product. This data can be read, monitored, and captured via radio waves.

How Does RFID Work? When an RFID tag or label is placed on an item, it does three things:

  1. Identify the item
  2. Collect data about the item (location, specifications, purchase information, etc.)
  3. Transfer information to a database

All of this is done through radio waves with little or no human intervention at all. Each RFID tag is created with an integrated circuit and antenna. The data collected from the tag is sent to an RFID interrogator (a device that reads the data). The interrogator converts the data into information sent to a master database where it is stored, analyzed, and communicated to other parties if necessary.

RFID vs. Barcode On the surface, this does not even seem like an argument. RFID is an advanced technology, a barcode is yesterday’s identification and tracking. What’s to discuss?

Depending on the manufacturer, a case can be made for the superiority of RFID or barcode. High-ticket suppliers in electronics lean toward RFID while suppliers of lower-priced food and perishables are satisfied with barcodes. Both tools help companies track their product and store information. Aside from that overlap, there are key differences between RFID and a barcode:

Cost Barcodes win with suppliers in reducing initial production costs. Black and white printed lines and numbers are easier to create than inventing in radio frequency technology. However, as will be noted in the following differences, results may out way the beginning cost.

Scanning Speed Data collected on individual items happens through the item being scanned. Barcodes must be scanned individually, which is a time-consuming process. Adding to the process is the fact that the barcode must be in the line of sight of the scanner. The requires a small scanning range from the product.

RFID allows multiple tags to be scanned multiple tags at once. Not only is the process faster, but more efficient. RFID reads each individual product, preventing the error of scanning the same item twice. Multiple scans of one item are possible with barcodes. An RFID does not require a line of sight for scanning. Tags and labels can be read a long distances.

Data Stored This is where the technology really separates the two. RFID is capable of storing not just more information, but more complex information (SKU details, individual units in a SKU, product maintenance, expiration dates, etc.). All of the data in the RFID tag can be encrypted.

Barcodes are only able to store a small amount of information. The data held in a barcode is more generic (manufacturer, product name, SKU, etc.).

Durability As stated above, the supplier gets what they pay for upfront. Barcodes are commonly printed on paper or adhesive. They can easily be damaged through any step in shipment. A barcode that has been damaged or rendered unreadable can not transfer data, resulting in supply chain misinformation.

An RFID tag is not only more durable but it can be reused. They are also sturdier in shipment and can withstand harsh temperatures.

Walmart RFID: The Backstory Walmart began experimenting with RFID technology in 2003. The experiment proved successful. Using RFID tags on select items, Walmart saw cost savings and a more efficient supply chain. Based on these results, Walmart went on to invest almost $500 million in its RFID technology in 2004.

After years of monitoring and tweaking, Walmart decided to expand the program. The company announced plans in 2010 to use RFID tags on individual items of clothing. During these years, supply chain efficiency and security grew, but so did concerns about RFID tags.

The first concern was cost. As with any new technology, the first rollouts are expensive. Once more security tech companies entered the field, RFID became more affordable, but investment, in the beginning, was a hard sell to suppliers.

The second concern was over privacy. Tracking a sale was one thing; tracking the personal information of the consumer seemed too invasive. Changing shopping habits and a new generation of consumers soon put this concern to rest.

By 2020, Walmart had expanded RFID tagging and labeling to all of its Apparel products. The company saw a dramatic improvement in on-hand accuracy, online order fulfillment, sell-through, and (most importantly!) customer satisfaction.

Walmart RFID: What’s Coming Walmart continues to launch initiatives to improve the shopping experience. Programs like On Time in Full (OTIF) and the Supplier Quality Excellence Program (SQEP) help keep suppliers accountable for getting product to the shelf. To better monitor where the product is and how much is in the store, Walmart is once again expanding the RFID program.

In January 2022, Walmart announced new supplier expectations for RFID. Companies selling to Walmart in the areas of Toys, Entertainment/Electronics, Sporting Goods, Home (bedding, furniture, bath, storage, etc.), Automotive Batteries, and Wireless are now required to include RFID on all item tags or packaging. This goes into effect for any item in these categories arriving in a Walmart store beginning September 2, 2022.

Any Walmart supplier not currently using RFID technology should begin planning today. As Walmart begins to see more success and savings with the program, expansions to more categories are inevitable.

Before making adjustments to current inventory or supply chain processes, Walmart suppliers need to contact their buying team. Ask for specifics on RFID implementation in the category with dates and requirements. Other questions about the Walmart RFID initiative can be sent to walmartRFID@walmart.com.

Benefits of RFID for Walmart Walmart benefits from the RFID initiative in all the ways mentioned previously: on-hand accuracy, consumer data collection, better tracking, shrink reduction, and more. One added bonus of RFID is how Walmart supports its online shoppers. RFID helps the in-store experience of the online shopper.

In-store shopping is not going away. Gen Z shoppers are bringing new life to the in-store experience, but more shoppers still like to research online before venturing to the brick-and-mortar store. RFID technology with Walmart.com lets the shopper see if the product they want is in their local store. Improving inventory accuracy with RFID is allowing Walmart to truly be an omnichannel retailer.

Conclusion Walmart is constantly changing policies and processes to meet consumer demand and provide a better shopping experience. Many changes require suppliers to update their supply chain practices from shipping to packaging. RFID can be a costly change when first intergrading, but the overall benefits to the supply chain will pay off in the future.

If you have questions about Walmart’s systems and process updates, our team is here to help. Request a free consultation with a Walmart advisor from 8th & Walton.

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Walmart prides itself on being a low price leader with its Every Day Low Price (EDLP) philosophy. In order to achieve EDLP, Walmart challenges its suppliers to keep costs low and pass the savings along to the customer.

Suppliers get hit with challenges each year that impact their supply chain and cost of manufacturing. The result is having to raise the cost of their products to Walmart. Before approaching the Walmart buyer, there are ways to prepare for the cost increase conversation:

  1. Collect Data to Support the Increase Walmart will not like the idea of a cost increase. However, if it’s justified by the numbers a supplier can present, the buyer will understand the business need. Suppliers need to be prepared with all the numbers and data to support the cost increase. Without good data, Walmart will push back.

One tactic to make the conversation smoother is showing that the increase is only temporary. If it is a commodity that can suddenly go down as quickly as it went up, Walmart can be more flexible at taking the cost increase. Suppliers need to expect the request of bringing the cost back down at an agreed-upon time.

  1. Monitor Competitors and Industry Impacts Suppliers should consider if their competitors are experiencing similar issues (because Walmart will!).

Walmart will be reluctant to accept a cost increase from one supplier if others are not facing similar issues. Problems that impact multiple suppliers in one category are understandable, but one supplier having issues will find it difficult to increase their cost to Walmart.

  1. Provide Accurate Numbers and Times As with any Walmart negotiation, communication is key. In the case of requesting a cost increase, Walmart will not accept vague numbers or flexible timeframes.

Suppliers have to be very specific about the dollar amount of the cost increase. Likewise, when the cost increase hits and for how long needs a precise date. Simply telling the buyer “we may be looking at cost increases sometime next year” will not suffice.

  1. Inform Walmart 60 days in Advance All suppliers sign a Vendor Agreement with Walmart. Part of that agreement deals directly with cost increases. Specifically, Walmart requires written notification at least 60 days prior to any cost increase.

This can be an email to the buyer. Walmart will not accept verbal notification or any cost increase without the minimum 60-day notification.

  1. Enter Increases in the Cost Change Scenario App Once Walmart has accepted the cost increase, it is time to communicate the increase in Retail Link®. The Cost Change Scenario app in Retail Link® is how suppliers communicate new costs by item.

The Walmart buyer will typically not want scenarios entered here until they have given approval. Once approved, this information needs to be entered into the app to be executed in the system.

Conclusion Negotiating a cost increase with Walmart can be a difficult sell. Suppliers need to examine all aspects of their business to ensure a cost increase is necessary before taking steps to approach the buyer.

8th & Walton helps Walmart suppliers find ways to lower their cost of doing business. Through penalty reduction, deductions management, and better supply chain practices, our team can make the cost increase easier or not necessary at all! Contact us for a free consultation.

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Brick-and-mortar retailers are looking for innovative ways to increase foot traffic. As shopping trends like online ordering, home delivery, and curbside pickup keep shoppers out of stores, “in-store convenience” has become a challenge.

One in-store draw used by retailers for years that has seen a recent resurgence is Store Within a Store. These retail partnerships give customers a reason to walk into a store. They also provide the retailer with added profits in rental fees and impulse buys.

What Is Store Within a Store? Store Within a Store (SWAS) refers to a brick-and-mortar retailer renting space in their store(s) so another company can set up a separate, independent shop. These independent shops vary widely in size and product or service offerings. Examples include Starbucks in Target and hair salons in Walmart stores.

Benefits of Store Within a Store The Store Within a Store partnership carries many benefits for the hosting retailer and can be a lucrative venture in terms of both profitability and marketing.

  1. Increased Revenue Retailers see increased revenue from the Store Within a Store partnership on two levels. First, from the fee paid for the rental space. Whether the business renting the space makes a profit or not, the hosting retailer has turned that space into automatic revenue.

Second, the hosting retailer can pick up impulse purchases from traffic drawn in by the business renting the space. Many Walmart stores rent space to hair salons. A customer can book an appointment and shop for items while they are already in the store. Walmart is now scoring profit from the rental space and additional purchases.

  1. Versatile Commitments If a business wants to enter into a Store Within a Store agreement with a retailer, the time commitment can be flexible depending on the product or service.

Big box retailers like Target and Walmart have entered into many long-term Store Within a Store agreements. Walmart has rented space to McDonald’s restaurants, hair stylists, and even dry cleaners. Target has rented its store space to Starbucks, Pizza Hut, and CVS pharmacies. These are all long-term commitments covering multiple stores.

However, the Store Within a Store agreement can be arranged for smaller, seasonal times as well. The first quarter of every year brings pop-up offices in retailers for tax prep companies. Cellular companies and broadcast network services also set up shop in retailers for limited offers or new product rollouts.

  1. Marketing Advantage High end companies like Apple have set up small shops in big box retailers. Not only does this lend credibility to the retailer, but it’s easy destination marketing for Apple’s messaging (i.e. “Find more Apple products like these in your local Target store.”).

A big marketing advantage for the retailer is the product or service being associated with their store. Customers may not even realize the Store Within a Store concept. They most likely see the retailer as taking care of all their needs in one trip instead of different businesses within the retailer.

  1. Ideal for Small Businesses For the small business wanting to rent space from a large retailer, the big advantage is low overhead. Renting a small space within a retail store cuts back on having to invest in a separate building, utilities, and more.

The other advantage for the renting business is the “fish where the fish are” strategy. When a large retailer has a solid customer base ideal for the smaller business’s product or service, it only makes sense to set up shop in the middle of them. Examples include a coffee shop that sets up in a large bookstore or cell phone carriers in electronics stores.

Why Is SWAS Growing More Popular? While Store Within a Store has been a retail tactic for decades, it has seen a resurgence in recent years. As stated above, shopping trends like home delivery and curbside pickup make it easy for customers to shop without entering the brick-and-mortar store. This has caused retailers to look for new SWAS opportunities to give customers a reason to step inside.

The majority of shoppers still enjoy seeing, touching, and trying physical products in a store. The entire in-store experience needs to be positive, so SWAS offers a creative way to freshen up brick-and-mortar offerings. Customers can be enticed to walk into the store and see what’s new, see bonus products and services, and return to a physical one-stop-shop.

SWAS and the Future of Brick-and-Mortar The VCR did not eliminate movie theaters and email did not eliminate the postal service. Online shopping will not eliminate brick-and-mortar and SWAS plays a big part. As Store Within a Store offers new experiences for the shopper, retailers should seek more opportunities for SWAS for one big reason: Gen Z.

Gen Z is the youngest group of shoppers in the market. A recent Vogue Business study showed Gen Z is a true omnichannel shopping group. They are not exclusive to one channel; they shop in stores, online, and whatever suits them best. For fashion purchases alone, the study found they are almost 60% more likely to shop and purchase in a store.

Shoppers in the Gen Z demographic prefer experiences over items. Creating new experiences and offerings with Store Within a Store caters to this new generation of customers. For older age groups drawn to the allure of online shopping, SWAS can still help.

Store Within a Store helps draw in that online shopper by becoming a partner rather than a competitor. Brick-and-mortar does not need to compete with online, but learn to work with it creating the true omnichannel experience. A SWAS appointment, product demo, or consultation can be scheduled online to be performed in the store. These are unique opportunities to give the store a local feel in an online world.

Store Within a Store at Walmart Walmart does run traditional Store Within a Store partnerships. Space is rented at the front of the store to local and national businesses. However, Store Within a Store also has another meaning in the Walmart culture.

Walmart store associates are encouraged to take ownership of their departments. They are taught to know the best and worst performing items. Associates are sometimes challenged to come up with creative ways to display merchandise to increase sales. Taking this ownership makes their area their own store within the larger Walmart store. This Walmart Store Within a Store mentality has been in practice since founder Sam Walton promoted it in the company’s early years.

Conclusion A retailer renting space to another business can be a win-win. It’s a great way to get customers into the store and offer products and services not competing with the retailer’s offerings, but improving the shopping experience.

To learn more about driving sales and working better with your Walmart buyer, request a free consultation from 8th & Walton today.

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“Why is Walmart refusing to pay the full amount of this invoice?”

Walmart suppliers are researching that question every month. As the company initiates more programs to improve supplier accountability (On Time In Full, Supplier Quality Excellence Program, etc.), deductions and fines are becoming more prevalent.

When Walmart feels a supplier has not met the terms of a purchase order or invoice, it deducts a portion of the payment based on the circumstance. Walmart notifies suppliers of why they are being penalized by deduction codes.

Most Common Walmart Deductions While there are many deductions that can be issued from Walmart, most suppliers will only see a few over and over again. Some of the most common ones include:

Code 13: Substitution Overcharge Walmart will issue a Code 13 when a supplier invoices for one item number but Walmart receives a different item number. If the item billed on the invoice is at a higher cost than the merchandise received, the supplier will be issued a Code 13 for the difference in cost.

Can it be disputed? Yes, but not easily. To dispute the deduction, go to Retail Link® and enter the supporting documentation in the Accounts Payable Disputes Portal (APDP). This includes the bill of lading, invoice, and proof of delivery.

Code 22: Merchandise Billed not Shipped As its name suggests, Code 22 is issued when Walmart does not receive all the items it is billed for on the invoice. For example, if a store or distribution center receives 40 cases but the invoice is for 45 cases, a Code 22 will be issued for the 5 outstanding cases.

Can it be disputed? Yes. To dispute the deduction, the supplier needs to show that all invoiced items were shipped by going to Retail Link® and entering the information in the Accounts Payable Disputes Portal (APDP).

Code 24: Carton Shortage/Freight Bill Signed Short A Code 24 is issued when an order is signed short by the store or distribution center. In other words, a bill of lading shows there is more merchandise than actually arrived in the shipment. Therefore, the POD is stamped as short.

Can it be disputed? Yes. To dispute the deduction, go back to the Accounts Payable Disputes Portal (APDP) in Retail Link®.

Code 25: No Merchandise Received for Invoice If suppliers receive a Code 25, Walmart is claiming it received absolutely no merchandise on the invoice. This code is commonly issued when the invoice is sent too early and arrived before the shipment of merchandise.

Can it be disputed? Yes. To dispute the deduction, enter the supporting documentation in Accounts Payable Disputes Portal (APDP) in Retail Link® (invoice, bill of lading, purchase order number, proof of delivery, etc.). However, do not issue a second invoice! This will be considered duplicate billing and a Code 30 will be issued.

Code 47: Excessive Freight on Invoice Description A Code 47 is issued if Walmart believes they have been billed too much for the freight charge.

Can it be disputed? Yes. Provide Walmart with a carrier bill showing the exact amount paid to the carrier.

Complete List of Walmart Deduction Codes The following is a list of Walmart deduction codes, definitions, and corresponding EDI:

| Paper Code | EDI | Definition | | 001 | F1 | Defective | | 002 | 15 | Return recall | | 003 | GG | Unsellable merchandise | | 010 | 01 | Price Difference as Documented | | 011 | 01 | Price Difference between PO & Invoice | | 012 | 03 | Invoice Incorrectly Totaled/Extended | | 013 | A5 | Substitution Overcharge | | 014 | 06 | Short/Damaged (Trailer Seal Intact) | | 015 | 06 | Pallets/Shrink-wrapped Short/Damaged | | 020 | 06 | Concealed Damage | | 021 | 06 | Concealed Shortage | | 022 | 59 | Merchandise Billed not Shipped | | 023 | 06 | Carton Shortage SL&C | | 024 | 06 | Carton Shortage/Freight Bill Signed Short | | 025 | A9 | No Merchandise Received for Invoice | | 026 | TI | Carton Shortage – Misrouting changed FOB | | 027 | 06 | Carton Damage – SL&C | | 028 | 06 | Carton Damage – Frt. bill signed damaged | | 029 | TI | Carton Damage – Misrouting changed FOB | | 030 | 19 | Duplicate Billing | | 031 | MH | PO number not on invoice | | 032 | MF | Multiple PO numbers on invoice | | 033 | MG | PO number incorrect on invoice | | 034 | 10 | Pallet charge | | 035 | 55 | Sales tax – state | | 036 | 55 | Sales tax – city | | 037 | DO | Insurance | | 038 | 30 | Stop-off charge incorrectly added | | 039 | MC | Freight cost on backorder | | 040 | B8 | Routing violation – excessive freight | | 041 | SO | Collect – should have been pre-paid | | 042 | MB | Backhaul/pickup allowance | | 043 | RJ | Merchandise S/B prepaid to consolidator | | 044 | RL | Freight on returned merchandise | | 045 | 21 | Prepaid freight incorrectly added to invoice | | 046 | RB | Freight allowance | | 047 | SF | Excessive freight charge on invoice | | 048 | 21 | Freight should be prepaid to consolidator | | 049 | 54 | Freight cost to forward misrouted shipment | | 050 | 71 | Advertising allowance | | 051 | A8 | Promotional allowance display/fixture allowance | | 052 | D5 | Volume allowance | | 053 | D5 | Truckload allowance | | 054 | ZZ | Warehouse allowance | | 055 | A3 | New location allowance | | 056 | 89 | Allowance not given off invoice | | 057 | D5 | Quantity discount | | 058 | OT | Other allowances | | 059 | 82 | Defective merchandise allowance | | 060 | 97 | Handling charge as documented | | 061 | 37 | Incorrect color/size allowance | | 062 | 98 | Labor and handling | | 063 | 40 | BOL addressed to wrong location | | 064 | RH | Early shipment | | 065 | 99 | Late shipment | | 066 | MP | No PO number on carton | | 067 | MN | Incorrect PO number on carton | | 068 | ME | PO number not on BOL | | 069 | MD | Incorrect PO number on BOL | | 070 | MO | No item number on cartons | | 071 | MM | Incorrect item number on cartons | | 072 | C9 | Labor and handling | | 073 | 86 | Duplicate payment | | 074 | E1 | Previous account – debit balance | | 075 | MI | Transfer of debit balance | | 076 | C4 | Buyer’s reserve | | 077 | WO | Overpayment of invoice amount | | 078 | MQ | Storage charges | | 079 | GD | Sample charges | | 080 | 76 | Cash discount | | 081 | FA | Anticipation – vendor request | | 082 | FA | Anticipation – early payment of invoice | | 083 | D6 | Discount not taken at time of payment | | 084 | L5 | Interest on recovery of payment in error | | 085 | RU | Interest on overpayment | | 086 | 55 | Excise tax | | 087 | ZZ | Other | | 090 | D3 | Unauthorized charge – system deduction | | 091 | 93 | Merchandise destroyed – damaged/defective | | 092 | 15 | Merchandise return – overstock/recall | | 093 | 04 | Merchandise return – damaged merchandise | | 094 | F1 | Merchandise return – defective merchandise | | 095 | A2 | Merchandise return – wrong item | | 096 | B5 | Merchandise for repair/assembly – not returned | | 097 | 97 | Returned merchandise handling charge | | 150 | 82 | Soft goods defective allowance | | 151 | B2 | Purchase rebate allowance | | 152 | 28 | Wholesale club allowance | | 161 | B2 | Purchase rebate allowance |

Deductions vs. Allowances The chart above outlines reason codes for when Walmart is not paying the full amount of an invoice. While deductions may be unexpected to the supplier, allowances should be discussed well in advance.

An allowance is an agreement between Walmart and the supplier to meet specific terms for a cost discount. For example, the supplier may give Walmart a lower price for large bulk purchases of product. This would show up as an allowance and not a penalty.

It is very important to review your agreement with Walmart and anticipate allowances during the billing cycle. Many times suppliers forget Walmart is holding out an allowance and try to dispute. The suppliers’ accounting departments need to be aware of all allowance terms to save time in processing.

Can Walmart Deductions Be Disputed? If a supplier feels they have received a Walmart deduction or penalty in error, most can be disputed (examples above). Any dispute needs to be thoroughly researched and backed with appropriate documentation before submitting to Walmart.

The hardest Walmart fines to dispute relate to On Time In Full (OTIF). Walmart takes a no-tolerance approach to merchandise arriving at its facilities late, early, and short on quantity. In rare instances, Walmart has waived OTIF penalties due to extreme weather, national catastrophes, and other large-scale impacts.

Conclusion Receiving a deduction or penalty from Walmart does not have to be viewed as a negative. These Walmart fines can be indicators of where a supplier needs to make improvements in the supply chain to grow their business.

Researching documentation for disputing a deduction can be overwhelming. The accounting team at 8th & Walton can help. If you have questions about deductions, invoices, and other accounting procedures, request a free consultation with our experts.

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Have you ever wondered what happens when you submit the Contact Us form to 8th & Walton?

When you request this free 15-minute consultation, you’ll be contacted by one of the experts on this week’s podcast! (Click the play button above to listen.)

We asked our team to give advice to Walmart suppliers this week about 2022 planning. On this show, you’ll hear from:

  • Jeff Clapper, President and CEO
  • Joel Graham, Director of Retail Link® & Sam’s Club Insights
  • Heather Reid, Director of Canada’s Retail Link® Insights
  • Terry Clear, Director of Replenishment & Sales Insights
  • Marie Clapper, Director of Education
  • Adela Rojas, Operations Manager

Have a question for one of our experts about your Walmart business? Simply submit this short form and we’ll contact you!

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Before approaching Walmart (and any other retailer) to become a supplier, a good amount of pre-work is required. The supplier application process requests information about the company in addition to the product line itself.

One piece of the application process that is growing across retailers is the WERCS assessment. Not only is the WERCS assessment being requested by more retailers, but it is expanding across the number of items needing it before making it to the retail shelf.

What Is WERCS? WERCS is an acronym that stands for Worldwide Environmental Regulatory Compliance Solutions. Manufacturers submit regulatory information to WERCS for certification.

This information allows retailers to understand requirements for shipping, handling, storing, and disposing of WERC certified products. It also aids in a retailer’s sustainability goals and compliance with all federal, state, and local regulations.

What Products Require a WERCS Assessment? Specific items requiring a WERCS assessment can vary by retailer and even local ordinances. It’s always best to check with the retailer before setting up your item for sale.

As a general rule, WERCS assessments are required on all products that are or contain:

  • Batteries
  • Chemicals
  • Aerosols
  • Pesticides

Again, it is important to check with the retailer about a specific item. Many have strict guidelines around the four categories listed above and define them even further. For example, Walmart gives suppliers in-depth definitions of these categories to stay compliant. Just for batteries, Walmart specifies:

Battery or battery containing product is defined by Walmart to include any item of merchandise that is a battery or any component of merchandise, including reusable packaging intended to stay in use with the item, containing a battery of any chemistry/type. Only lithium or lead-acid batteries should be submitted to WERCS.

Other retailers require WERCS on items outside these four areas. Some retailers specify WERCS assessments for any items containing copper, while others do not. For general compliance, some retailers require WERCS assessments on all items that feature an ingredient panel. Suppliers should check with retailers early to prevent delays in setting up items for sale.

Which Retailers Require WERCS Certification? The list of retailers requiring WERCS certification to sell products continues to grow. Big box retailers like Walmart, Home Depot, Target, CVS, and Staples all ask for WERCS certification. Specific items in each store may vary for certification, but each asks for WERCS compliance on many of the products they sell.

WERCS certification is expanding across retailers large and small. Why? Companies are held responsible for the items they manufacture and sell to the public. No company wants to endanger its customers with a hazardous product or risk the potential for a lawsuit due to negligence. WERCS gives the retailer the data it needs to properly transport, store, handle, and dispose of suppliers’ merchandise to keep customers and employees safe.

What Walmart Suppliers Need to Know About WERCS If a supplier wants to do business with Walmart, the WERCS assessment is a top priority. Products requiring the WERCS assessment should apply for certification before entry into Walmart systems.

Why? All items sold in Walmart stores are assigned an item number. A Walmart Item Number (WIN) can only be created after the WERCS assessment is complete. It is best to register items with WERCS long before the item setup process with Walmart.

If suppliers do not register items with WERCS before trying to set their items up with Walmart, the process can not be completed. Without the approved assessment, the process can be delayed and items may end up being rejected for sale at Walmart.

As previously stated, different retailers can vary on what products they determine require WERCS assessments. Walmart’s guidelines can be more stringent than other stores. For example, Walmart requires a WERCS assessment on all over-the-counter (OTC) oral medications.

Walmart suppliers also need to be aware of product descriptions that can trigger a WERCS request. When entering items in Walmart’s Item 360, the system is looking for keywords to flag the item as being a WERCS-required item (words like “chemical” or “cleaning”). If the product description says “chemical-free” or “no chemical added,” Item 360 only sees the word “chemical” and will trigger a WERCS request.

How to Submit WERCS-Required Products for Assessment Once a supplier has determined their item requires a WERCS assessment, the next steps are:

  1. Go to the WERCSmart website to create an account.
  2. From this page, click Sign In in the upper right-hand corner.
  3. When the login box pops up, click on Create Company Account.
  4. Enter the company email address and confirm. This email will be designated as the administrator email for the WERCS account. WERCS will contact the administrator with any questions or outstanding issues.
  5. Enter the company’s contact information and WERCS administrator’s contact information.
  6. Click Log In. To begin, use the email address and password just created. A code will be sent to the administrator’s email address to verify the account.

WERCS FAQ How much does a WERCS assessment cost?

There is an annual fee that is determined by the supplier and the number of items required to set up. See WERCSmart Contact Info and Helpful Links below.

How long does it take to complete a WERCS request?

Turnaround time for a WERCS request is usually around 48 hours. To ensure no delays in the process, suppliers need to fill out all forms completely, accurately, and process payment promptly.

When should a supplier submit a WERCS request?

Without a WERCS assessment on a WERCS required item, setting the item with the retailer can be delayed or rejected. Suppliers should find out if their items will require the assessment from the retailer they are trying to work with and request the WERCS if necessary early.

Will the retailer see the manufacturer’s product formula or ingredients?

No. The supplier’s Confidential Business Information (CBI) is encrypted. The retailer will only see the results and not the item’s full formulation.

What happens when the WERCS assessment is complete?

The information about the item is sent directly to the retailer from WERCS.

WERCSmart Contact Info and Helpful Links To research and begin the WERCS assessment process, visit these sites:

  • Walmart WERCSmart Overview – Information specific to Walmart suppliers about WERCS requirements. This covers which items require WERCS assessments, how Walmart defines each term, setup process, and more.
  • WERCSmart Registration – Learn more about WERCS registration and begin the process.
  • WERCSmart Subscription Costs – To participate in the WERCSmart program, suppliers pay an annual fee. The fee varies by supplier depending on the type of subscription chosen and the number of items registered per category.

Conclusion Before approaching Walmart (or any retailer) about selling products in their stores or online, suppliers should visit the retailer’s website and research WERCS requirements. Beginning the WERCS certification process early will save time in the approval process and make setting up items in the retailer’s system easier without this delay.

If you have questions about Walmart WERCS certification and your specific items, our team can help! Contact the Walmart experts at 8th & Walton for a free consultation.

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Retail supplier accounting departments are researching deductions every month when their profit and loss statements come out. Deductions occur when a retailer refuses to pay for a portion of what was billed to them (due to damaged freight, short shipment, clerical errors, wrong merchandise, etc.).

If the supplier feels the retailer is incorrect for requesting a deduction, the supplier can dispute. The method for keeping track of such claims and ensuring payments are collected or corrected falls under the supplier’s deduction management process.

What Is Deduction Management? Deduction management (sometimes called claims management) is the organization, validation or rejection, and resolution of deductions submitted to a supplier by a retailer. If the retailer feels they should not have to pay the full amount of the bill, they may deduct, or short pay, the amount they feel is owed to them.

Types of Deductions Part of managing deductions at the end of the billing cycle is determining the nature of the deduction. This can fall into two categories:

  1. Claims Deductions: A claims deduction happens when part of the payment billed by a supplier is deducted by the retailer. The retailer refuses to pay the full amount of the bill. As described above, this happens when the retailer received damaged goods, a short order, incorrect merchandise, or another reason that may generate a dispute.
  2. Earned Deductions: An earned deduction happens when a supplier gives the retailer a discount for their purchase based upon agreed conditions. For example, a supplier may agree to give a retailer a 15% discount for ordering large amounts of product in a set period of time. The earned deduction is just a regular part of the business based on the selling agreement. For the accounting department, it is still important to track and manage these deductions.

How Deductions Are Resolved Once a supplier is informed that a retailer has issued a deduction, the management process starts. In order to resolve a deduction and make any possible corrections to the profit and loss record, here are the steps to follow:

  1. Communicate Deduction Upon Receipt As soon as the deduction comes in, the person receiving claims should inform the analyst or person responsible for research and resolution immediately. Resolving deductions eligible for dispute can take time to research, so time is important.

  2. Sort Deductions by Priority Prioritizing deductions is essential, especially when selling and delivering to multiple retailers. Factors to consider are how much in loss the deduction means to the supplier’s bottom line, the amount of research that will go into the dispute, and if the dispute must be issued in a certain window of time.

  3. Collect Documentation Once the deduction has been submitted and prioritized, a retail analyst usually collects information to challenge, or dispute, the deduction. This begins with contacting the person who created the original invoice for the order in question. This will also help in quickly identifying all people, processes, and systems that could have impacted the order.

After this base information is collected, the analyst requests and examines any documentation associated with the original invoice. This may include Proof of Delivery, Bill of Lading, order invoice, sales invoice, tax receipt, and other documents related to the order.

  1. Match Documents to Resolve Deduction Claim With all the documentation collected, the analyst now goes through each piece of information to match different records with the deduction, or claims document. The goal is to find the error to validate the deduction or match all information to dispute the deduction with the retailer.

  2. Communicate Back to the Retailer If the research done on the deduction shows that the claim is legitimate, it is time to follow up with the retailer. Depending on the agreement with the retailer, a reimbursement or credit may be initiated.

In other cases, the analyst may prove that the deduction claim is invalid. Whether manually or through a system dispute portal, the supplier now takes steps to dispute the deduction with required documentation for the retailer.

How Suppliers Can Reduce Deductions While there is no one blanket answer for reducing all deductions, the root cause is usually some broken link in the supply chain. Each deduction can be traced back between the creation of a purchase order to the fulfillment at a warehouse or store.

A few best practices to help improve supply chain accuracy include:

  • Checking the purchase order for correct cost and allowances before filing the order.
  • Verifying all EDI data and purchase order information to ensure what is being delivered matches the terms in the agreement with the retailer.
  • Reviewing item specifications for allowance, unit, and weight information.
  • Resolving all purchase order, labeling, and packaging issues prior to shipping.

The issue most suppliers face is simply time. Small and mid-sized suppliers may not have the time or resources to dispute deductions issued by big box retailers like Walmart, Target, and Costco.

Whether the deductions continually relate to clerical errors, labeling, or poorly packed freight, a little investment in third-party help can save suppliers hundreds of thousands of dollars each year.

8th & Walton assists Walmart suppliers in researching, disputing, and reducing deductions. Through live online Walmart deduction classes or with specialized one-on-one help, reducing deductions is achievable when focusing on a supplier’s specific issues case-by-case.

Deduction Management at Walmart Suppliers doing business with Walmart may experience a variety of deductions, fines, and monetary penalties. Why suppliers receive various deductions is specified in deduction codes assigned to each penalty.

The question suppliers ask in each instance is usually “Is this deduction disputable?” The answer depends on the nature of the penalty.

While many deductions can be disputed with Walmart, penalties related directly to the On-Time In-Full (OTIF) initiative are usually final with exceptions being rare. Refer to the deduction code provided by Walmart in each instance to verify the deduction can be challenged.

Conclusion Deduction management is a vital part of every supplier’s accounting process. Lowering and eliminating the unnecessary deductions puts dollars back on the bottom line and works to improve the overall supply chain.

Finding the root cause of constant deductions may require a fresh look from an experienced team of Walmart accounting experts. For a free consultation about your deduction and supply chain process, contact 8th & Walton this week.

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With retail business peaking in the fourth quarter, it’s easy for new announcements from Walmart to get missed!

This week’s podcast gets you up to speed on changes and updates happening in Walmart E-commerce, deduction disputes, supply chain communication, and more. Click the “play” button above to listen!

We’re joined by Steven Bertram, 8th & Walton’s Vice President of Supplier Solutions, and Joel Graham, 8th & Walton’s Director of Retail Link® and Sam’s Club insights. Together they take us through recent changes Walmart has rolled out and a few initiatives coming soon.

Our team can keep you up to date and set you up for success in 2022!

To request a FREE consultation about your Walmart business, simply click here and we’ll reach out to you this week.

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