Jet, the high-profile startup touted to be Amazon’s next big competitor, has pivoted, just three months after launch.
The online retailer was founded by Marc Lore, the entrepreneur behind Quidsi and Diapers.com, which eventually sold to Amazon for $US550 million.
Jet is a membership-based service which guarantees the cheapest prices on about 10 million items. The $US50 per year membership fee gave users access to those savings.
Just three months after launch the startup, which has raised more than $US200 million in venture capital, is scrapping that membership fee.
In a post announcing the move, Lore says while the startup is dropping the membership fee, it will continue to offer its users the benefits that came with it – free shipping on orders over $35, free returns within 30 days, and the low prices.
“When we launched Jet, we envisioned a shopping club that would empower both consumers and retailers by exposing embedded costs and creating new ways to eliminate them,” Lore says.
“It’s been amazing to see how deeply this idea has resonated with our customers and retail partners, and we’re more committed than ever to extending the reach of our vision.”
Get SmartCompany FREE to your inbox every weekday.
Want to grow your business with Instagram? StartupSmart School can help.