We appreciate your patience over the past few months as we have worked closely with our pricing team to finalize Deliverr’s 2021 fulfillment rates for Walmart orders. Across most weight and size tiers, Deliverr’s 2021 rates to fulfill Walmart orders will be increasing, effective April 9th, 2021.
This is due to two major reasons:
- General cost increases related to the Covid pandemic, as carriers and warehouses have increased their 2021 pricing.
- Significant increases to carriers’ Delivery Area Surcharge fees (this is a surcharge applied by carriers for deliveries to higher cost-to-serve zip codes, which tend to be less populated or less accessible domestic areas that carry higher operating costs), which account for a higher proportion of Deliverr fulfilled Walmart orders compared to our other programs.
We do not take these rate changes lightly, and we have implemented the following changes to mitigate the impact on your business:
- Absorbing a portion of the cost increases ourselves.
- Substituting some 2-day coverage with 3-day coverage for small items weighing less than one pound.
Introducing more 3-day coverage for small items
For small items weighing less than one pound, we were faced with a difficult decision as these items have incurred the heaviest cost increase. Our options were to either: a) maintain maximum 2-day coverage levels but see a significant price increase (upwards of $1+ increase) or b) mitigate a large portion of the increase (keeping rates for small items under $4) by substituting some 2-day coverage for 3-day coverage.
We decided to pursue the latter approach given the conversion lift of Walmart’s 3-day delivery program remains considerable at 30%, in comparison with the 50% lift from Walmart’s 2-day delivery program. Small items will still see considerable 2-day coverage, but will now see equal portions of 2-day and 3-day coverage in fast tag covered regions.
It is important to note that there isn’t a specific badge for Walmart’s 3-day expedited shipping program – we have kicked off an initiative with our engineering team to update our fast tag maps on the inventory details page so you can see where exactly your items are showing 3-day delivery; until then, if you are unsure if your listing is showing 3-day delivery please reach out to our support team and we can walk you through how to verify.
10% removal fee discount for the next 30 days
We understand that with these price increases, it may no longer be profitable to offer certain items through the Deliverr <> Walmart program. We are offering 10% off all removals for the next 30 days, to make it more affordable to remove these items. All removals created on or before 04/09/2021 will generate an offsetting 10% promotional credit automatically applied to your account’s next invoice.
Three ways to view new pricing
We want to make sure these pricing changes are transparent. Here are three ways to view a SKU’s upcoming Walmart prices.
On the Cost Calculator
The Deliverr Cost Calculator now displays the new Walmart prices.
On the Inventory page
The Seller Portal’s Inventory Page has a toggle to set Cost Previews to display the new 2021 pricing.
On the Inventory Detail page
The Inventory Detail pages have toggles that switch Cost Previews for individual SKUs between current and 2021 pricing.
All fee changes take effect on April 9th, 2021.