Some Details Emerge on Marc Lore’s E-commerce Startup Jet
Marc Lore wants to bring wholesale club shopping online. | Courtesy Diapers.com
Recently, Bloomberg Businessweek featured an article by Brad Stone on Marc Lore’s e-commerce startup, Jet, which wants to out-Amazon Amazon, and out-Costco Costco.
NJTechWeekly.com has learned that Lore will be a guest at the NJ Tech Meetup in March. That should be a hot ticket.
The Businessweek article notes:
- Jet is now located on Bloomfield Avenue in Montclair, while it builds new offices in Hoboken.
- It employs approximately 100 people.
- Jet is out to re-invent wholesale online shopping.
- Lore expects the company to compete with Amazon, but says Jet will use different business practices and tactics. Jet’s culture will foster loyalty, trust and openness.
- Its business model will be similar to Costco’s: $49.99/year for a membership, with prices 10-15 percent lower than competition’s.
- The startup will be offering a 90-day free trial.
- Jet plans to make money on membership fees. All other savings will be passed along to the buyer.
- Shoppers will get more savings if they choose a more economical shipping method: buying more items in one visit to the site, and buy from sellers located near them.
- Customers will be able to combine different items to be shipped in one box, saving money.
- Permutations in prices, shipping costs and basket-size rules will be calculated in real time, so Jet members can determine the cheapest way to get goods delivered.
- As of the publication of the Businessweek article, Jet had received $80 million in venture funding, but Lore said that he wanted to raise hundreds of millions more.
- Jet plans to use some of its funding for a massive ad campaign to get the word out about the company.
Related articles:
NJ Serial Entrepreneur Marc Lore Snags $55 Million to Build E-Commerce Platform Jet
Marc Lore’s Startup Jet Offers Equity to a Few People Who Bring in the Most Referrals
