What is Jet.com? Jet.com Review

introduce

On May 2, 2015, Jet.com launched its trial operation, open only to 10,000 "internal members".

Jet.com itself is just a platform (marketplace) and needs to cooperate with other retailers. At the same time, Jet.com does not need its own inventory and promises that the price of products on its website is 15% cheaper than any other e-commerce platform. Jet.com itself has a "dynamic pricing system" (Smart Cart system), basically the more things you buy, the more discounts you get. Less than three months after its launch, Jet.com canceled the $50 membership fee. The company shifted from a membership system similar to Costco to a business model that earns revenue for each transaction.

Settlement

If you have a US company and a US shipping address, you can apply to Jet, otherwise you need a Jet invitation to open an account.

If the headquarters is not in the United States, but the company has a valid U.S. business license, it can also apply.

Specific requirements

Approved authorized dealers of Jet products (Note: Jet currently does not accept second-hand or refurbished products and prohibited products)

Sellers must have the shipping capability to ship to the 48 states of the United States. (It is best to have a warehouse in the United States)

Have a valid US tax ID number (9 digits)

Meet the customer's requirement to ship within 5 working days after placing an order

It is best to have sales experience on other third-party e-commerce platforms

Commission Model

Jet is a membership-based e-commerce platform that is not open to everyone. Users have a 90-day free trial period after registering on the platform. After the period expires, they must pay a membership fee of $50 to the platform to continue using the platform. At the same time, in return for collecting membership fees, Jet promises that all members will buy goods at a price 10%-15% cheaper than any other platform.

develop

On May 2, 2015, Jet.com launched its trial operation, open only to 10,000 "internal members".

In July 2015, Jet.com had 4.5 million products available for sale. After the test period, the site was officially launched on July 21, 2015. In October 2015, the membership fee model was cancelled.

In August 2016, Walmart spent $3.3 billion to acquire Jet.com, including $3 billion in cash and $300 million in stock, making it the largest e-commerce startup in U.S. history.

Financing

Jet.com raised $55 million in its first round of financing in July 2014. New Enterprise Associates led the investment, with participation from Accel, Bain Capital Ventures, MentorTech Ventures, Primary Venture Partners and angel investor David Spector.

In September 2014, Jet.com received an additional $20 million investment from Western Technology Investments and a $5 million asset-backed loan from Silicon Valley Bank, bringing its total Series A funding to $80 million.

In February 2015, Jet.com completed a financing of US$140 million. Alibaba participated in this round of financing, led by Bain Capital, followed by Accel Partners, New Enterprise Associates and other companies.

In November 2015, Jet.com announced that it had just completed a new round of equity financing of $350 million at a valuation of $1.35 billion, led by mutual fund giant Fidelity Investments, with participation from existing shareholders.

References

• 1. Another unicorn is born: American e-commerce company Jet raises $350 million: Sina Technology [cited on 2015-11-23T16:00:00.000Z]
• 2. Alibaba may have invested in Jet.com to start trial operation: 36kr [cited on 2015-04-29T16:00:00.000Z]
• 3. Jet's acquisition made early investors a fortune: the return rate was as high as 15 times: zol [cited on 2016-08-08T16:00:00.000Z]
• 4. E-commerce startup Jet.com receives another $500 million in funding: Tencent Technology [cited on 2015-01-13T16:00:00.000Z]