Walmart is taking another significant step in its global expansion by launching its marketplace in Chile. Already established in the United States, Canada, and Mexico, Walmart’s move into Chile marks a significant milestone in its mission to become a leading international e-commerce platform. This expansion allows U.S. sellers to reach a broader audience and sell their products globally.
Why Chile?
Chile presents a promising market for e-commerce due to several factors:
- High Internet Usage: Chile has one of the highest internet usage rates in Latin America, with a significant portion of the population engaged in online shopping.
- Economic Stability: Recognized by the World Bank as a high-income country, Chile offers a stable and profitable environment for investment.
- Free Trade Agreements: Chile has free trade agreements with 58 countries, including the United States, China, and the European Union, facilitating smoother international transactions.
Walmart’s Unique Position
Walmart’s entry into the Chilean market is backed by its strong global presence and reputation for quality and affordability. In Chile, Walmart operates under the name “Líder,” a Chilean hypermarket chain that originated in 1893 and was acquired by Walmart in 2009.
Key advantages of Walmart Chile include:
- Diverse Product Range: Offering a wide variety of products to meet the needs of different consumers.
- Commitment to Quality: Maintaining high-quality standards at competitive prices, ensuring customer satisfaction.
- Strong Infrastructure: Leveraging its global technology and logistics to provide efficient service and delivery.
Benefits for U.S. Sellers
For U.S. sellers, Walmart’s expansion into Chile provides an opportunity to tap into a new market with minimal friction. Expanding to a new marketplace is not easy, so it takes time for companies like Walmart to ensure a well-planned and seamless introduction of new markets. Walmart aims to make selling internationally easy and efficient for U.S. sellers by providing comprehensive support in logistics, payments, and handling duties and taxes. Benefits include:
- Global Reach: Access to a larger customer base in Latin America.
- Seamless Operations: Support through Walmart’s comprehensive Seller Center, which includes multilingual assistance and streamlined processes for order management and returns.
- Efficient Logistics: Integration with Walmart’s logistics network ensures reliable and timely delivery.
Inverse Logistics & Returns
Consumers are allowed to return their purchases within the established time frame granted by Chilean legal laws for e-commerce. Walmart’s operational team will process the return through a quality check to determine the reasons for the return. Sellers will receive the details of every return.
Walmart Chile allows sellers to choose how to process their returns from three different methods:
1. Return to Origin:
- Sellers must select Return to Origin in the onboarding, and Walmart will coordinate delivery. Sellers must indicate the warehouse location.
- Cost: Sellers will cover all transportation costs associated with international return.
2. Local Warehouse:
- Sellers must select Local Warehouse in the onboarding, and Walmart will coordinate delivery. Sellers must indicate the warehouse location.
- Cost: Sellers will cover all transportation costs associated with international return.
3. Liquidator:
- Sellers must select Liquidator in the onboarding, and Walmart will coordinate the products’ liquidation. Sellers will receive a percentage over the total product price.
Dropshipping Operations
For sellers interested in dropshipping, the process is facilitated through MailAmericas, a leading logistics operator. Here are the steps for sellers on how it works:
1. Confirm your order:
- The deadline is two days, counting from the date announced in Seller Center.
2. Print & Paste Labels
3. Deliver to courier:
- Send an email to Mail Americas’ Warehouse at least 24 hours before handing over the product.
- Leave your package in the Courier agency.
4. Verify your status
Your order will be on its way to the customer!
Payment Method
Payment Method: Payoneer
- The product price must be listed in Chilean Pesos.
- Walmart Chile will pay sellers in Chilean Pesos.
- Sellers can choose to convert to USD within Payoneer.
Payment
- Two payment cycles per month: the 1st and the 15th of each month.
- Payments are made within 12 business days following the start of the payment cycle.
- Funds are transferred to the seller’s Payoneer account.
Shipping, Taxes, and Duties
No taxes or duties are due for products priced at $41 USD or below. For products priced above this value, Walmart will handle all duties and tax calculations, with the cost being passed on to buyers. Additionally, buyers will cover shipping costs. This ensures that sellers do not need to worry about the complexities of international tax compliance and logistics.
GeekSeller Integration
GeekSeller will soon integrate with Walmart Chile. If you want to expand to Chile, please contact us to learn more about this exciting opportunity.
If you would like to sell on Walmart Chile, click here to apply.
