Marketplace KPIs (key performance indicators) are the measurable signals Amazon and Walmart use to judge seller performance. They’re the “account health” standards - how the platforms decide whether a seller is operating reliably and delivering a solid customer experience.

Below is a 2026-updated guide to the core marketplace KPIs, how the benchmarks differ between Amazon and Walmart, and what those differences mean for ranking, Buy Box visibility, and profitability.

Marketplace KPI standards at a glance

On Amazon and Walmart, KPI monitoring usually centers on fulfillment reliability (shipping, cancellations, tracking), customer experience (defects, feedback, response time), and - increasingly - paid media efficiency (ACoS/TACoS).

Amazon is known for strict, fast enforcement - especially around customer experience and shipping metrics. For example, Amazon expects sellers to keep Order Defect Rate under 1% over a 60-day window.

Walmart evaluates seller-fulfilled orders against a defined set of “Seller Performance Standards” (Cancellation Rate, On-Time Delivery Rate, Valid Tracking Rate, Refund Rate, Seller Response Rate, and Negative Feedback Rate). The current standards are spelled out directly in Walmart Marketplace Learn and are evaluated over the last 30 days for most metrics.

Meeting KPI targets isn’t optional. These thresholds tie directly to account standing and, in Walmart’s case, can lead to suppression/suspension/termination if issues aren’t corrected.

Amazon KPI benchmarks (2026)

Amazon watches performance closely, and many of the key targets haven’t changed in spirit: minimize defects, ship on time, and avoid cancellations.

Order Defect Rate (ODR) target

ODR should stay under 1%. Amazon defines ODR as the percentage of orders with one or more “defects” such as negative feedback, A-to-Z claims, or chargebacks, measured over a 60-day period.

Late Shipment Rate (LSR) target

Amazon’s policy is to maintain Late Shipment Rate under 4% for seller-fulfilled orders.

On-Time Delivery Rate (OTDR) guidance

Amazon recommends maintaining OTDR greater than 97% (and notes it can influence what transit times you’re eligible to set).

Conversion rate “typical range”

Amazon conversion rates are often higher than traditional ecommerce due to high buyer intent. Many marketplace benchmarks still cite ~10% to 15% as a common “good” range, though it varies a lot by category and price point.

Walmart KPI benchmarks (2026)

Walmart’s KPI system is a little different: the most “official” standards are the Seller Performance Standards, and Walmart is explicit about the thresholds in its own documentation.

Walmart’s Seller Performance Standards for seller-fulfilled orders include:

• Cancellation Rate: maintain ≤ 2%

• On-Time Delivery Rate (OTD): maintain ≥ 90%

• Valid Tracking Rate (VTR): maintain ≥ 99%

• Refund Rate: maintain ≤ 6%

• Seller Response Rate: maintain ≥ 95% within 48 hours

• Negative Feedback Rate: maintain ≤ 2% (noted as “effective early 2026”)

Conversion rate “typical range”

Walmart conversion benchmarks vary depending on whether you’re talking about sitewide ecommerce performance or marketplace listings. A lot of references still place Walmart in the mid-single digits; for example, third-party reporting for late 2025 shows walmart.com conversion rate around ~4.5% to 5.0%.

Side-by-side KPI comparison (updated for 2026)

Here’s a practical comparison using the clearest platform-published thresholds (plus widely cited conversion benchmarks):

How KPI variances impact ranking and Buy Box eligibility

KPIs aren’t just “compliance.” They directly shape visibility.

Algorithm weighting factors

Amazon and Walmart both reward operational reliability because it protects customer experience. Amazon tends to be less forgiving when defect/shipping metrics slip - because it’s tightly tied to account health standards like ODR.

Walmart’s system puts heavy weight on consistency over time (and makes the standards very explicit: OTD, VTR, cancellations, refunds, response time, and feedback).

Buy Box eligibility triggers

On Amazon, sellers typically think in terms of staying “green” on ODR and shipping metrics (ODR under 1%, LSR under 4%, strong OTDR).
On Walmart, staying above threshold on OTD and VTR matters because those are formal performance standards - and Walmart also describes the consequences of falling below standard (including suppression).

Advertising cost benchmarks and trends (2026)

Ad costs move constantly by category and season, but most brands still use ACoS/TACoS as the quick “efficiency read.”

Amazon ACoS and TACoS

In 2026, many sellers still treat ~15%–25% ACoS as a common “healthy” zone depending on margin and goal, while other analyses place broad averages closer to ~30% across sellers/categories.
The takeaway: there isn’t one perfect number - your break-even ACoS is tied to your real margin, and growth campaigns may intentionally run higher.

Walmart Connect ACoS

Walmart Connect efficiency is often reported as lower than Amazon in many categories, though competition has been rising as more brands invest in Walmart’s ad ecosystem. (Benchmarks vary heavily by category and maturity of the account.)

Profitability snapshot across marketplaces

KPI performance impacts profit because it affects (1) visibility, (2) conversion, and (3) operational costs tied to penalties, returns, and lost Buy Box share.

Average order value gap

Amazon often supports higher-intent shopping behavior (and higher conversion benchmarks), which can support higher AOV depending on category mix.
Walmart tends to lean value-driven, and broader sitewide conversion sits in the mid-single digits in many reports, which shapes how sellers build baskets and promos.

Total cost of ownership drivers

Across both platforms, the big cost buckets usually land in:

• Platform fees/commissions

• Advertising spend and efficiency (ACoS/ROAS dynamics)

• Fulfillment/logistics costs and the downstream impact on KPI compliance (late delivery, invalid tracking, refunds)

Choosing your primary growth channel

Your “best” marketplace isn’t universal - it depends on whether your operation can consistently meet the platform’s expectations.

Budget allocation framework

Amazon typically asks for tighter operational execution and often demands heavier ad competition in mature categories. Walmart can be more straightforward on standards (because they’re listed clearly), but the margin equation still depends on delivery reliability and tracking compliance.

Category-specific considerations

Consumables and household staples often align naturally with Walmart’s shopper mission. Amazon tends to excel for broader assortment and higher-intent search behavior (reflected in higher conversion benchmarks).

Quick wins to improve underperforming KPIs

Optimize listing data quality

Cleaner listing data reduces confusion, cuts returns, and improves conversion - especially on Amazon where conversion benchmarks are high and shoppers move fast.

Streamline fulfillment and returns

On Walmart, performance drivers are spelled out: late handoff, no carrier scan, invalid tracking, and ship method mismatch all show up as seller-accountable issues under OTD/VTR. Tight ops here is the fastest KPI “unlock.”
On Amazon, keeping LSR under 4% is a straightforward operational target that prevents avoidable account health pressure.

Darkroom’s perspective on omnichannel growth

The brands that win across Amazon + Walmart don’t treat KPIs as a dashboard they check once a month. They treat KPIs as a weekly operating system: listing quality, inventory reliability, ad efficiency, and fulfillment process all rolling up into account health and visibility.

If you’re building a real omnichannel engine, the play is simple: measure the KPIs that actually move your Buy Box and conversion, then fix the operational bottlenecks that keep performance from compounding. Walmart’s published standards make it very clear what “good” looks like (and what happens if you miss).

For those interested in learning more about how Darkroom approaches data-driven optimization and channel management, schedule an introductory call to explore how Darkroom can help your business grow.

Frequently asked questions about Amazon and Walmart KPIs (2026)

Why does my Amazon order defect rate increase during high-volume periods?
ODR is measured over a rolling 60-day window and includes negative feedback, A-to-Z claims, and chargebacks - so clusters of issues can push the metric up quickly.

What does Walmart consider “good standing” for seller performance in 2026?
Walmart lists performance standards directly: cancellation ≤2%, OTD ≥90%, VTR ≥99%, refund rate ≤6%, response rate ≥95%, and negative feedback rate ≤2% (effective early 2026).

Does Walmart Connect advertising affect organic product rankings?
Walmart’s documentation emphasizes operational and customer experience standards (OTD, VTR, refunds, cancellations, response time, feedback). Ads can increase sales velocity and visibility, but organic strength still relies heavily on conversion and operational reliability.

What dashboard tools track both Amazon and Walmart KPIs together?
Many sellers still rely on native dashboards for the most direct view of enforcement metrics (especially since Walmart standards are explicitly defined in Seller Center). Unified tools exist, but the key is ensuring your KPI definitions match the platform’s official ones.