Walmart tests storing Marketplace goods inside stores for faster delivery

Walmart tests storing Marketplace goods inside stores for faster delivery

The pilot could help Walmart use its physical store network to bring select third-party seller products closer to customers for quicker pickup and delivery 

By ChannelMAX Staff Writer
April-2026#27


Walmart is testing a new fulfilment model that could change how selected Marketplace goods reach customers in the United States.

According to ecommerce industry reports, Walmart Marketplace goods are now being stored in the back rooms of some Walmart stores, instead of being held only in large fulfilment centres, seller warehouses or third-party logistics facilities. The move is aimed at making selected third-party products available for faster local pickup or delivery.

The test is currently reported to be a small pilot in the Dallas area. PYMNTS, citing a Financial Times report, said Walmart has started using shelves in store back rooms as staging locations for same-day third-party merchandise delivery. The experiments are reportedly taking place at several Dallas stores.

Also Read: Walmart Creator: A New Platform for Content Creators


How the new model works
Under Walmart Fulfillment Services, sellers usually send their inventory to Walmart fulfilment centres. Walmart then stores the products, picks, packs and ships orders when customers buy them on Walmart.com. Walmart says WFS helps sellers deliver quickly across the US by spreading inventory across fulfilment centres nationwide.

The new store-based pilot takes this idea one step closer to the customer. Instead of keeping all selected Marketplace inventory in fulfilment centres, Walmart can place certain fast-moving products inside local stores. This can make those items available for immediate pickup or quick delivery, with reports suggesting that some products could reach customers in as little as three hours.

Why Walmart has an advantage
This pilot highlights Walmart’s biggest strength against Amazon: its large physical store network. While Amazon has a powerful fulfilment and logistics system, Walmart can potentially use its stores as mini-fulfilment hubs for online orders.

Walmart already uses its stores for returns and customer support under WFS, with the company saying customers can return eligible orders online or in more than 4,600 Walmart stores. If the store-storage pilot expands, Walmart could use the same physical network not just for returns, but also for faster delivery and pickup of Marketplace goods.

What it means for sellers
For Walmart Marketplace sellers, the pilot could become important if it is expanded beyond Dallas. Faster delivery can improve customer experience, increase conversion rates and help selected products become more competitive on Walmart.com.

However, this model may not be available for every seller or every product. Store back-room space is limited, so Walmart is likely to prioritise popular, fast-moving and easy-to-handle items. Products with strong local demand, predictable sales and simple storage requirements may benefit the most.

Impact on Indian sellers
The development is also worth watching for Indian exporters selling on Walmart Marketplace US. Walmart already promotes its US marketplace to Indian sellers and says they can use fulfilment options such as Walmart Fulfillment Services or seller-fulfilled shipping.

If store-based Marketplace fulfilment becomes a wider programme in future, Indian sellers with strong-performing products in the US may get access to faster delivery options. This could help improve visibility and customer trust, especially in categories where speed matters.

A bigger battle with Amazon
The pilot also shows how Walmart is trying to narrow the ecommerce fulfilment gap with Amazon. By using its stores as local fulfilment points, Walmart can bring online inventory closer to customers without building a new warehouse in every market.

For now, this remains an early-stage experiment. But if the Dallas pilot succeeds, Walmart could gradually turn more of its stores into local fulfilment points for selected Marketplace goods. That would make its physical retail network a stronger weapon in the battle for faster ecommerce delivery.

Also Read: Walmart Tests V-Commerce

Disclaimer:
Walmart is the registered trademark of the company. 

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