Walmart unveils major incentives for Canadian and Mexican marketplaces

Walmart has launched a substantial new incentive programme designed to attract international sellers to its Canadian and Mexican marketplaces, reflecting Walmart’s determination to strengthen its ecommerce position in North America. 

Find out more about how TBA Global can help create a smoother pathway for your business to expand.

Walmart launches new incentive programme

Walmart confirmed the launch of a new incentive package which will run until 31 December 2025.

The programme is one of the most comprehensive support schemes the retailer has offered to date, combining commission relief, fulfilment fee reductions and advertising discounts to significantly lower the costs associated with cross-border expansion.

This comes as Walmart has also committed to improving the seller experience with faster fulfilment services and AI tools. 

Canadian expansion

In Canada, Walmart is providing sellers with a reduction of between 25 and 50 per cent in commission fees, representing a considerable saving on selling costs for new entrants.

At the same time, Walmart Fulfilment Services (WFS) is waiving all storage surcharges, enabling merchants to position inventory in Canadian warehouses without facing additional overheads. The cost of last-mile delivery has also been reduced by 20 per cent, making it easier for sellers to offer competitive shipping rates.

Another feature of the Canadian package is support for enhanced visibility, crucial to starting your business.  

First-time advertisers on the Canadian marketplace can receive a 50% discount on advertising costs, with the total discount capped at CAD 1,000. This provides new sellers with a cost-effective way to build brand awareness and attract their first wave of customers. 

Mexican expansion

Walmart has gone even further in Mexico, offering an across-the-board 50 per cent reduction in commission fees.  This has been coupled with a 30% discount on last-mile delivery services provided through WFS.

Together, these measures not only reduce the immediate cost of selling in Mexico but also give businesses the logistical support they need to operate effectively in a geographically diverse and rapidly expanding eCommerce market.

Who can take advantage?

Businesses looking to take advantage must hold a valid business licence and demonstrate the ability to meet cross-border fulfilment and compliance obligations.

Those who are already established on Walmart’s United States marketplace can extend their operations directly into Canada and Mexico with relative ease.

By combining cost reductions with improved access to fulfilment and advertising services, Walmart has successfully lowered the threshold for entry into two major North American markets. 

How TBA Global can support your expansion

Long-term success in these markets depends on more than lower commission fees and logistics support – you also need to ensure compliance with complex tax and compliance requirements.  

Failing to comply can lead to financial penalties, suspension of your business, and long-term reputational damage.  This is where TBA Global can offer critical expertise to help support your business. 

Our renowned compliance services can help your business navigate the complexities of Canadian Sales Tax, Mexican VAT and beyond.  We ensure that businesses expanding into new regions can do so confidently, without being held back by regulatory hurdles.  

Navigating Canadian Sales Tax

Canada has a multi-layered taxation system due to its federal structure – from GST to HST or PST, TBA Global can help you navigate the complexities. 

Sellers entering Walmart Canada must ensure they register for the correct tax types, charge the appropriate rates based on the applicable province, and file tax returns on time.

Compliance with Mexican VAT

Mexico is one of Latin America’s fastest-growing markets, but sellers are often daunted by its VAT regime, which enforces strict compliance when it comes to registering for VAT, importing inventory, and filing tax returns.

TBA Global guides businesses through every step, from the initial registration process to ongoing compliance, ensuring that sellers can take advantage of Walmart’s incentives without encountering regulatory roadblocks.

With our expert guidance, sellers not only save on fees through Walmart’s initiative but also avoid the risks associated with navigating unfamiliar tax landscapes.