Jet.com has raised $350 million

Jet.com

Online retailer Jet.com has raised $350 million, valuing it at $1.5 billion, as the discount website which was launched only in July tries to take on Amazon.com in the upcoming holiday season. The website has gained a reputation for burning through cash and spending heavily on advertising as it seeks to break into the highly competitive online retail sector… The new round will bring Jet’s total funds raised to $570 million… Jet originally charged a membership fee, but eliminated this to attract more users. The company’s business model is now to encourage users to buy more by giving deeper discounts as they add items to their basket, a strategy that also helps reduce shipping costs… The latest fundraising round is being led by Fidelity. Several of Jet’s earlier investors, including Alibaba, Google Ventures and Bain Capital Ventures, are also participating.

 

Leslie Hook

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