View Full Version : How much % of Revenue for Walmart?
09-03-2009, 02:31 PM
Does anyone happen to know how many % of your sale revenue walmart takes off a product you sell there?
09-03-2009, 03:07 PM
Do you mean the gross margin "mark up"?
I seem to recall that their average gross margin is around
5 to 10 percent.
09-03-2009, 04:24 PM
Each individual product/package has its own margin requirement. Some beverage items are as high as 20+%, some are as low as 4%. Sometimes Walmart will even take a loss to get the traffic. Remember $4.98 Pepsi cubes for Memorial Day. They did that on their own. Zabe is correct however, delivering 9-10% margin will usually keep you in Walmart's good graces.
09-05-2009, 02:39 PM
Well lets say I am selling my product for 1.99. Walmart will take 10-20cents (5-10%)from each purchase to sell at their store?
09-05-2009, 07:03 PM
Well lets say I am selling my product for 1.99. Walmart will take 10-20cents (5-10%)from each purchase to sell at their store? To the best of my knowledge Walmart buys "goods' directly from manufactures. They sell these goods for a profit. Walmart does not allow vendors to sell (rent space for sale) goods for a percentage share of their gross revenues.
09-05-2009, 07:54 PM
Correct, Zabe. And they don't charge slotting fees, either (many stores charge a fee per facing to get the product on the shelf.
Here's a good article.
Why Wal-Mart is great for innovation | Company Activities & Management > Product Management from AllBusiness.com (http://www.allbusiness.com/company-activities-management/product-management/11564744-1.html)