Assuming your brand is already selling products on either Walmart.com or in the physical stores themselves, here are the top 3 reasons you should look into Walmart Advertising in order to grow your brand and product sales.
- In-store experience
The first and most unique reason to start advertising on Walmart is that, compared to Amazon, Walmart also has physical stores where you can go in and buy the products. Advertising through Walmart’s Ad Center can help you reach more in-store customers: it is reported that 62% of Walmart customers say their ad experiences on Walmart’s site or app influence their in-store experience.
- Get visibility for new and low performing products
The Walmart.com website is visited by up to 100 million unique individuals a month. Those visitors interact with the search results page, product detail pages and category pages — which are all primary places for Walmart sponsored ads.
Advertising on Walmart drives visibility for your products, especially new products or low-performing SKUs. Effective, targeted advertising can help get your lesser-known products in front of a wider audience across the site, and thus, increase product consideration.
- Supports your organic strategy
All the traffic that you will be paying for to get through Walmart advertising will go a long way in helping your products rank better organically. The impressions, clicks and conversions generated by your Walmart advertising will boost your long-term Walmart SEO efforts.
Unlike Amazon, Walmart has stated itself that investing in Sponsored Products Ads helps with increasing the product’s organic ranking. When products get traffic from your ads, it increases their relevance for the keywords that you bid on and that the user is searching for. One can also use Sponsored Products Ads to drive traffic to new product listings and give them a solid kickstart in gathering data and increasing visibility on Walmart.com
How Walmart’s advertising bidding system differs from Amazon’s
Walmart’s self-serve advertising platform is still in its early stages. It is much newer than Amazon’s ad platform but the functionality is very low compared to Amazon.
A very important thing to be aware of, (and something that could save you a big chunk of the advertising budget), is the bidding system Walmart uses. They use a first-bid auction system, which means that the highest bidder pays their full bid. Amazon uses a second-bid auction, where the winning bidder pays the cost of the second-highest bid plus one cent.
Example of Walmart’s bidding system: “A” bids $1; “B” bids $1.50; “C” bids $2.50. The winner of the auction will be “C” and he will pay a price of $2.50 for that click.
Example of Amazon’s bidding system: “A” bids $1; “B” bids $1.50; “C” bids $2.50. The winner of the auction will be “C” and he will pay a price of $1.51 for that click.
The outcome of not being aware of this difference between Amazon’s bidding system and Walmart’s means that brands can end up unnecessarily leaving a big chunk of their advertising budget on the table for Walmart to have.
Conclusions
By now, you can probably tell that advertising on Walmart can be a great way to get your products in front of more shoppers and drive sales both online and off. But what if you don’t feel very confident in your marketing/advertising skills and abilities?
The best way to ramp up your Walmart advertising quickly and effectively, as well as on any other marketplace out there, is to consider partnering with a marketplace agency. These agencies offer marketplace expertise and experience as well as tailored advertising strategies that make it easier for brands to get started and get results faster.
If you have additional questions or want us to help you on your Amazon journey, don’t hesitate to contact the BellaVix Team.
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