Amazon vs. Walmart vs. Target: where should brands invest in 2025?

In 2025, the question isn’t whether your brand should sell on marketplaces—it’s where you should prioritize your time, budget, and resources. 

Recent data from YouGov positions Amazon and Walmart as the top two U.S. brands in consumer purchase intent, outpacing not only retail competitors but also leading names in entertainment and consumer packaged goods. Target, while more niche, has carved out a loyal, lifestyle-driven audience through a curated retail experience.

With billions of dollars flowing through these channels, deciding which marketplace to invest in isn’t just a distribution decision. It’s a strategic move that impacts your brand visibility, customer acquisition, and profitability.

Additionally, choosing the right marketplace mix requires more than presence; it demands performance. That’s where a smart, growth-focused marketing strategy comes in.

The state of marketplace commerce in 2025

This year, success on ecommerce platforms is being shaped by a few major trends:

• Omnichannel convenience is now the standard. Consumers expect seamless transitions between online and offline, with options like BOPIS (buy online, pick up in-store) and same-day delivery.
• Hyper-personalization is driving conversion rates, powered by first-party data and AI-driven algorithms.
• Fulfillment speed has become a competitive moat.
• Customer loyalty programs such as Amazon Prime, Walmart+, and Target Circle Card are reshaping repeat behavior and lifetime value.

Each of the Big Three marketplaces (Amazon, Walmart and Target) embody these trends in different ways. Here’s how they compare.

Amazon: The ecommerce technology giant

Amazon remains the undisputed leader in marketplace ecommerce, offering brands access to unmatched logistics infrastructure and a deeply integrated technology ecosystem. 

• Fulfillment by Amazon (FBA) offers unrivaled speed, scale, and convenience.
• Its advertising ecosystem is among the most advanced, integrating Sponsored Products, Sponsored Brands, and Display Ads.
• The expansion of Amazon Marketing Cloud can lead to media optimization across the entire customer journey with a mix of a brand’s first-party data and Amazon signals.
• Innovations like Alexa+ and agentic commerce are redefining how consumers shop through voice and predictive personalization.
• First-party data enables granular targeting and automated merchandising.
• Generous returns policies, including "keep-it" options for low-value items, enhance customer experience.

However, these advantages come at a cost. 

• High fees, including subscription, referral, and fulfillment charges, can compress margins.
• Category saturation creates fierce competition and race-to-the-bottom pricing.
• Limited brand control unless using premium features like A+ Content or Amazon Stores.
• Advertising CPCs continue to rise, making the pay-to-play costs eat more into profit opportunity. 

Best For Brands Who:

• Seek maximum reach and rapid fulfillment capabilities.
• Have strong margins to absorb platform fees.
• Want access to robust advertising tools and customer data.

Walmart: Omnichannel Retailer Gaining Ground

Walmart has spent the past few years aggressively evolving from a traditional retailer into a serious ecommerce contender. Its key strength lies in its physical footprint: over 90% of Americans live within 15 minutes of a Walmart store. 

• No monthly seller fees; only referral fees based on sales.
• Huge physical store footprint makes returns and BOPIS seamless.
• Heavy investment in micro-fulfillment centers and air freight accelerates delivery capabilities.
• WFS enables fast shipping to customers and promotes lower fees than other marketplaces. 
• No inventory limits and easy bulk uploads for sellers.

However, these benefits come with limitations:

• Strict pricing rules (price parity and leadership) limit flexibility.
• Less mature advertising ecosystem compared to Amazon.
• Application process for sellers adds friction without a par

Best for Brands Who:

• Target value-driven shoppers and want to capitalize on Walmart’s retail dominance.
• Want to expand their retail presence and try to get in physical stores long term.
• Have price flexibility within Walmart's constraints.

Target: The Curated Retail Experience

Target has taken a different approach to ecommerce. It's leaning into brand curation, lifestyle alignment, and customer experience rather than trying to directly compete with Amazon or Walmart on scale.

• Target Plus allows for premium brand representation via branded storefronts.
• Promises brand gating. 
• Offers BOPIS, curbside pickup and fast delivery through Shipt.
• 90% of online orders are fulfilled by local stores, ensuring speed and reducing shipping costs.
• Target Circle™ Card benefits drive loyalty through discounts and free shipping.
• Returns are processed by Target, simplifying reverse logistics for brands.

That said, Target’s ecommerce platform is still maturing.

• Invite-only Target Plus means access is limited.
• No built-in fulfillment network; sellers must own end-to-end logistics
• Smaller digital footprint and lower marketplace maturity.

Best For Brands Who:

• Prioritize brand experience and visual merchandising.
• Can support fulfillment infrastructure in-house.
• Are actively building a path to Target Plus inclusion.

Key decision factors to consider

Recommendations for strategic brand investment

1. Full-Portfolio Strategy

For many brands, the best approach is a balanced, multi-platform strategy. 

A 70/20/10 allocation model is often a good starting point: 70% of marketplace efforts and budget directed toward Amazon (due to its scale and infrastructure), 20% toward Walmart (to access price-driven shoppers and omnichannel benefits), and 10% toward Target (for curated offerings, if invited to Target Plus).

2. Category-Focused Allocation

For more niche or resource-constrained brands, a category-based allocation may be more effective. Use Amazon for fast-moving or high-demand Stock Keeping Units (SKUs) with strong margins. Use Walmart to scale lower-cost essentials where volume matters. Use Target to showcase high-touch or premium products that align with lifestyle values.

3. Hybrid Models

Hybrid models can also be effective, especially when combining Amazon’s reach with a secondary platform’s unique value. For example, Amazon + Walmart works well for operationally strong brands with diverse price points. Amazon + Target is ideal for premium or D2C brands looking to blend performance with elevated brand presence.

Power your marketplace strategy with expert marketing

Success in 2025 won't come from simply being listed on Amazon, Walmart, or Target. It will come from strategic alignment between your brand's strengths and each platform's unique infrastructure.

Our Marketplace Services team specializes in helping brands build, optimize, and scale across the leading marketplaces. Let Cart.com develop tailored strategies that drive revenue, reduce operational waste, and elevate your marketplace performance.