Jet.com CEO: We're building something new and much more to come
Jet.com CEO Marc Lore predicts 2016 won't just be about improving the five-month-old etailer's initial strategy to compete with powerhouse competitor Amazon.com, but will be about building something new.
"We want to make shopping online the easiest way to buy just about anything," Lore wrote in an email to members on the first day of the new year. "We want to empower consumers to save more than they ever have before. At jet, we've always been guided by the belief that technology can make a positive difference in people's lives. And we will do everything we possibly can to make our vision a reality."
In the letter, which came on the eve of the company's first holiday season, Lore acknowledged that his company has a long road ahead and building a "great shopping experience" from the ground up is an "incredible challenge."
He noted that the site's Android and iOS apps landed on "best of 2015" lists and that Jet.com now offers over 9 million products. He stated the site's shipping speed hd improved with most essential orders delivered in one-to-two business days.
In his letter, Lore makes no mention of the company's financial status, which was the subject of a Wall Street Journal report in early November. The WSJreported Jet was seeking about $550 million in funding to help stay afloat through the year’s end and financial support was reportedly on the horizon from Fidelity Investments.
When Jet.com launched, its revenue strategy was tied to an annual membership approach, similar to Amazon’s Prime service, but costing half the price. Jet then changed its strategy a few months later, and stated it plan to succeed by offering products somewhere between 4 percent and 5 percent cheaper than Amazon.
A Forbes report last year, published after Jet launched last July, stated Jet plans to be profitable by 2020.
In his note, Lore did mention the company's customer experience and response efforts.
"Ramping up from zero to 20,000 orders a day was a huge customer-service challenge but our investments have paid off," he wrote. He stated the company answers 95 percent of customer calls in 30 seconds or less.
"We're laser focused on bringing key elements of the site experience up to the highest possible level while working to add features like recommendations and more robust reordering," wrote Lore.
Going forward, the etailer is focused on pushing the limits of what's possible in ecommerce.
"We’ve come a long way since the launch but there's much yet to come," Lore stated.
Judy Mottl / Judy Mottl is an experienced editor, reporter and blogger who has worked for top media including AOL, InformationWeek and InternetNews. She’s written everything from breaking news to in-depth trends. She loves a great pitch so email here, follow on Twitter and connect on LinkedIn.