Can a foreign company sell directly to U.S. retailers?

Yes. Many U.S. retailers set up foreign vendors, and Walmart, for example, asks non-U.S. suppliers for a W-8 tax certificate during vendor setup instead of a U.S. taxpayer number. The harder part is usually operational: most retailers want goods delivered to their distribution centers on time, with EDI and compliant labels, which is easier with stock already in the U.S.

Do I need EDI to sell to U.S. retailers?

Most large retailers require EDI for purchase orders, advance ship notices and invoices. Smaller retailers may accept email orders and PDF invoices. If you do not have an EDI system, a third-party EDI provider can connect you to the retailer for a monthly or per-document fee.

What is a chargeback in retail?

A chargeback is a deduction a retailer takes from your payment when a shipment does not follow its rules, for example a late delivery, a missing ship notice or a wrong carton label. The amounts and rules are in the retailer's vendor agreement and routing guide, so read them before the first order ships.

Do U.S. retailers accept barcodes that were not bought from GS1?

Many large retailers require GTINs based on a GS1 Company Prefix licensed to you. Walmart, for example, asks for a GS1 Company Prefix number on application documents. Barcodes resold by third parties may not be linked to your company and can be rejected.

What is a line review?

A line review, or category review, is the scheduled point when a retail buyer reviews every product in a category, decides what stays, what is dropped and which new items come in. Many chains run them on a fixed calendar, so pitching months before the review is often the only way into the next reset.

What is the difference between direct import and domestic delivery for a retail order?

In a direct import order the retailer buys the goods at origin, often FOB a foreign port, and imports them itself. In a domestic order you deliver to the retailer's U.S. distribution center or stores, from U.S. stock or on DDP terms, and you or your importer handle customs. New vendors are usually asked for domestic delivery.

Sell to US Retailers: Vendor Setup and EDI

How U.S. retail buyers evaluate new suppliers

A U.S. retail buyer manages a category, not a single product. Adding your item usually means removing another one, so the buyer's question is simple: will this product sell better, or earn more per foot of shelf, than what it replaces? Everything you send should help answer that.

Category reviews and line reviews

Larger chains review each category on a calendar, often once or twice a year. In a category review (also called a line review), the buyer looks at sales of every item, decides which ones stay and which are dropped, and chooses the new items for the next shelf reset. Pitches usually need to arrive months before the review. Ask the buyer or a broker when the review for your category takes place and when submissions close.

Smaller chains and independent stores buy more often and with less process. That is why many foreign brands start with regional or specialty retailers, prove that shoppers buy and reorder, and then approach larger chains with real sales data.

What buyers weigh

Sales potential: evidence that the product sells, such as sales in your home market, U.S. online sales or reorders from other stores.
Margin: what the retailer earns at your suggested retail price, compared with the items around it.
Fit: what gap the product fills in the assortment, and which shopper it brings in.
Supply reliability: whether you can deliver on time, in full and to the retailer's rules, from inside the U.S.
Marketing support: promotions, demos, advertising and digital content you will fund.

If you are not sure which U.S. stores fit your product, test before you pitch the big names. Our guide on testing your product with 25 U.S. buyers sets out a method.

What to send: sell sheet, pricing and samples

The sell sheet

A sell sheet is a one-page summary a buyer can read in a minute and forward to a colleague. Include:

Product name, photo and a one-line reason to buy
Item sizes or variants, with GTIN (UPC) for each
Wholesale cost, suggested retail price and the resulting retailer margin
Case pack, case dimensions and weight, cases per pallet
Minimum order, lead time and where the goods ship from in the U.S.
Shelf life or date coding, if relevant, and key certifications
Proof of sales and planned marketing support
Your contact details, and a U.S. phone number or responsive messaging

Pricing and margin

Buyers start from the shelf price and the margin they need, then look at your cost. State your price as a cost per unit delivered to their warehouse (or say clearly which shipping terms apply), and show the suggested retail price.

Hypothetical example, not market data. A buyer expects a 45% margin in your category and your product would sit next to items priced at $19.99. To reach that margin at $19.99, the retailer's cost must be about $10.99 per unit, delivered. If your landed cost in the U.S. plus delivery to the retailer is $8.50, you keep $2.49 per unit before promotions, chargebacks and payment delays. If that is not enough, change the pack, the channel or the price point before the pitch, not after.

Our guide to pricing for the U.S. market shows how to build that calculation from landed cost, and how U.S. wholesale distribution works explains how it changes when a distributor sits between you and the retailer.

Samples

Send samples quickly when asked, in retail packaging, with the sell sheet inside the box. Keeping a small stock of samples in the U.S. avoids a customs delay every time a buyer asks. Our guide on sending product samples to U.S. buyers covers the process, and Abanro's sample fulfillment service stores samples in California and ships them to buyers when they request them.

Vendor onboarding: the documents a retailer asks for

When a buyer approves your item, the retailer's vendor setup team takes over. You will fill in a supplier profile in the retailer's portal and upload documents before the first purchase order can be issued. Requirements differ by retailer, but Walmart's public supplier requirements page shows the kind of list to expect (Walmart supplier requirements).

Common U.S. retail vendor onboarding documents and what a foreign vendor should know about each
Document or item	What it is	Note for a foreign vendor
Tax form	A U.S. taxpayer number on a W-9 for U.S. suppliers, or a W-8 form for non-U.S. suppliers	Walmart asks non-U.S. suppliers for a current W-8 tax certificate during vendor setup. Form W-8BEN-E is used by foreign entities to document their status for U.S. withholding purposes (IRS). Ask a tax adviser which form and which claims apply to you.
Company identifier	A business identity check, often a D-U-N-S number from Dun & Bradstreet	Walmart lists Dun & Bradstreet registration in its requirements; updating your record is free.
GS1 Company Prefix	The prefix your product GTINs (UPCs) are built on	Walmart requires a GS1 Company Prefix number on application documents. A GTIN combines a GS1 Company Prefix licensed to you with an item reference and a check digit (GS1).
Certificate of insurance	Proof of general and product liability insurance, with the retailer named as additional insured	Walmart's published insurance requirements (document dated February 18, 2025, checked October 2026) include commercial general liability of $1,000,000 per occurrence and $2,000,000 aggregate, product liability limits set by category, insurers rated B+ or better by AM Best, and Walmart named as certificate holder and additional insured (Walmart insurance requirements). Other retailers set their own limits.
Audits and testing	Factory, product safety, food safety or social compliance audits and test reports	Walmart requires a factory capability and capacity audit for new non-food direct import factories before order commitment, carried out by a Walmart-designated third party at the supplier's cost, and other audits by category.
Item setup data	Item attributes, images, dimensions, case packs, pallet configuration and costs	Measure real cartons. Wrong dimensions cause problems at the distribution center later.
Banking and remittance	Where and how the retailer pays you	Check whether the retailer pays foreign bank accounts or needs a U.S. account.
Vendor agreement	The retailer's standard terms, compliance manual and routing guide	Read the chargeback and allowance sections before you sign.

Start the slow items early. Insurance for a foreign company selling into the U.S. can take weeks to arrange, and so can a factory audit.

EDI: purchase orders, ship notices and invoices

Large U.S. retailers exchange orders and invoices by EDI (electronic data interchange), using standard documents identified by number. You do not need to build this yourself: many suppliers use a third-party EDI provider that connects to the retailer and turns the documents into something readable. The ones you will meet first:

850 Purchase Order: the retailer's order, with items, quantities, costs, ship-to location and the delivery window.
855 Purchase Order Acknowledgment: your confirmation that you accept the order, or the changes you propose. Not every retailer requires it.
856 Advance Ship Notice (ASN): sent when the goods ship, listing what is in each carton and pallet. It ties to the carton labels, so the distribution center can scan and receive without opening cartons.
810 Invoice: your bill, which must match the order and the ASN.
997 Functional Acknowledgment: an automatic receipt confirming a document arrived.
846 Inventory Inquiry or Advice: used by some retailers, especially for ecommerce and drop ship, to share stock levels.

The ASN causes the most trouble. It must be sent on time and must match exactly what is in the cartons. If you ship 40 cartons and the ASN says 42, or the label on a carton does not match the ASN, expect a chargeback.

Routing guides, carton labels and delivery appointments

Every major retailer publishes a routing guide (sometimes called a shipping or vendor compliance manual) for its suppliers. It tells you how to ship: which carrier to use or how to request one, how to build pallets, where labels go, how to book delivery and what happens when you get it wrong. You usually receive it through the supplier portal after setup.

Diagram 1 From purchase order to payment with a U.S. retailer

Retailer Purchase order EDI 850 with items, ship-to and delivery window
You or your warehouse Pick, pack and label Case packs, carton labels, pallets to the routing guide
You and your carrier Ship notice and appointment EDI 856 sent, delivery appointment booked
Retailer Delivery and receiving Scanned at the distribution center against the ASN
Both Invoice and payment EDI 810, paid on terms, minus any deductions

Carton labels

Most large retailers ask for a GS1-128 shipping label on each carton and pallet, carrying an SSCC (Serial Shipping Container Code). GS1 describes the SSCC as an identifier companies can use for a logistic unit, such as a case, pallet or parcel (GS1). The same SSCC appears in your ASN, which is how the retailer knows what is inside without opening the carton. The routing guide specifies the label size, the data on it and where it goes on the carton.

Delivery appointments

Distribution centers receive by appointment. Your carrier, or the retailer's carrier if it collects from you, books a time slot, usually through the retailer's scheduling system, based on the delivery window in the purchase order. Arriving early, late or without an appointment can mean refusal and a chargeback. Build in time for the appointment when you plan transport from your U.S. warehouse.

Labeling and compliance requirements

Retailers expect products to meet U.S. law, and they add their own rules on top. Before the first order, check:

Country of origin marking: imported articles generally must be marked with the English name of their country of origin in a conspicuous place, legibly and as permanently as the article allows (19 CFR Part 134).
Product barcodes: a scannable GTIN on every sellable unit, and case barcodes if the retailer requires them.
Category rules: food, cosmetics, supplements, children's products, electronics and products with batteries each have their own federal labeling and safety requirements, and some states add more.
Retailer packaging specifications: case strength, case size and markings, pallet configuration and trailer loading. Walmart, for example, publishes supply chain packaging requirements for its suppliers.
Security tags: some retailers require source tagging for higher-priced items.

If a label turns out to be wrong after the goods arrive in the U.S., relabeling there is usually faster than shipping the goods back. Abanro's labeling and repacking services can apply barcodes, carton labels and corrected labels to stock in our facility (label-only service from $0.45 per unit).

Chargebacks and deductions

A chargeback is a deduction the retailer takes from your payment for not following its rules. Rates and rules are in the vendor agreement and the routing guide, and they can be a flat fee per incident, a percentage of the order value or a charge per carton. Common causes:

Delivery outside the window in the purchase order, early or late
Short or over shipments against the order
A missing, late or inaccurate ASN
Missing, unreadable or misplaced carton labels
Pallets that are too high, too heavy, mixed incorrectly or not wrapped
Wrong case pack, or cartons that do not match item setup data
Invoice errors, such as a cost that does not match the order

Other deductions are commercial rather than penalties: promotional allowances, markdown support, damage or defective allowances, and new-item or slotting fees in some channels. Agree these in writing. If you fund promotions through retailers, the FTC's guides on advertising allowances say they should be offered to competing customers on proportionally equal terms (16 CFR 240.9).

Track every deduction against its order. Retailers usually allow a limited time to dispute a chargeback, and a dispute needs proof: delivery receipts, appointment confirmations, ASN records and photos of labeled pallets.

Payment terms

U.S. retailers pay on credit terms, commonly 30, 60 or more days after the invoice or after receipt of goods. Some offer to pay earlier in exchange for a discount: “2% 10, net 30” means you can take 2% less if they pay within 10 days, or the full amount within 30. Payments usually arrive net of deductions, with a remittance advice listing what was taken off.

Plan cash flow for the whole cycle: you pay for production, freight and duties first, the goods sit in transit and in a U.S. warehouse, and payment arrives weeks after delivery. For a first order, that cycle can easily run several months. Our guide to the cost of importing into the USA helps you put numbers on the part before delivery.

Logistics for your first purchase order

Most retailers offer new vendors one of two models, and the choice decides who imports the goods.

Domestic delivery compared with direct import for a first U.S. retail order
Model	How it works	Who imports	What you need in place
Domestic delivery from U.S. stock	You hold stock in a U.S. warehouse and deliver to the retailer's distribution center or stores in the order window	You or your importer, before the order	U.S. inventory, EDI, carton labels, a carrier and appointment booking
Domestic delivery on DDP terms	You ship from abroad and deliver duty paid to the retailer's U.S. location	You, as importer of record, or a party acting for you	Customs clearance and duty payment, tight transit planning to hit the delivery window
Direct import	The retailer buys at origin, often FOB a foreign port, and imports the goods itself	The retailer	Factory audits, export documents, the retailer's labeling and packing rules at origin

Direct import programs are usually for established suppliers with large volumes. For a new vendor, delivery from U.S. stock is the most reliable way to hit narrow delivery windows, because ocean transit times vary and a late container means a late order. Our guide to Incoterms for shipping to the USA explains DDP and FOB in more detail.

What must be ready before the first order ships

Stock cleared through customs and counted in a U.S. warehouse
Item barcodes, country of origin marking and category labels checked on the actual units
Case packs that match item setup data
GS1-128 carton and pallet labels that match the ASN
EDI connection tested with the retailer
A carrier and a plan for booking the delivery appointment
Photos of each pallet before it leaves, for chargeback disputes

Abanro's facility in Orange County, California, near the Ports of Los Angeles and Long Beach, is set up for this step. We handle U.S. customs clearance as part of your shipment and can act as importer of record in eligible cases. Goods go through receiving and inspection against the packing list, wait in storage, and leave by parcel, LTL or pallet to retailer distribution centers through forwarding (carton forwarding from $5 per carton, palletizing from $28 per pallet). All starting prices are on our pricing page.

Have a retailer's routing guide or a first purchase order? Send it with your product details and we will plan receiving, labeling and delivery to the distribution center.

Plan your first retail delivery

Your first retail order checklist

Confirm the category review date and submission deadline with the buyer.
Prepare a sell sheet with cost, suggested retail price, margin, case pack and U.S. ship-from location.
Send samples in retail packaging, from U.S. stock if you can.
Start insurance, tax forms, GS1 prefix and audits as soon as the buyer shows interest.
Choose an EDI provider and test the 850, 856 and 810 before the first order.
Read the routing guide and chargeback schedule, and share them with your warehouse and carrier.
Position stock in the U.S. ahead of the first delivery window.
Track every deduction and dispute the ones you can prove.

Category guides go further on specific channels: see how to find retail buyers for food products and how to get beauty products into U.S. retail stores. For brands not ready for chain requirements, Abanro's three-month U.S. market entry programs for food and beverage and for beauty and personal care brands put products in front of Southern California buyers first, so you arrive at larger retailers with sales data.

This guide is general information, not legal or tax advice. Retailer requirements, vendor agreements and tax rules differ and change, so confirm them with each retailer and with qualified advisers before you sign or ship.

Sources and further reading

Supplier Requirements, Walmart Inc.
Supplier Insurance Requirements, Walmart Inc.
About Form W-8BEN-E, Internal Revenue Service
How to create a GTIN, GS1
Serial Shipping Container Code (SSCC), GS1
19 CFR Part 134: Country of Origin Marking, Electronic Code of Federal Regulations
16 CFR 240.9: Proportionally equal terms (Guides for Advertising Allowances and Other Merchandising Payments and Services), Legal Information Institute, Cornell Law School

Sources checked on October 20, 2026

How to sell to U.S. retail buyers