The Jet Rules Engine
Retailers can control their competitiveness and margins by adjusting their commissions in the Jet Rules Engine. By using the Rules Engine, you are able to modify your offer to be more competitive for the orders that are most profitable for you. In this section you will learn all you need to know about the Jet Rules Engine.
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The Rules Engine allows you to indicate how you wish to modify your offer based on four different factors: shipping zone (i.e. distance from fulfillment center), order size, item returnability and marketing email opt-in.
Shipping Distance Rules: Be more competitive in winning orders that are closer to your fulfillment nodes and therefore have lower shipping costs
Basket Building Rules: Encourage shoppers to build bigger baskets
Waive-Returns Rules: Incentivize shoppers to reduce the frequency of product returns
Email Opt-In Rule: Gain new customer emails for direct-marketing (this feature is not yet live but can still be set up)
To learn more about the Rules Engine and why you should use it, click here.
In order to optimize profitability using the Jet Rules Engine, Jet recommends that you provide inventory at the fulfillment center level. This requires setting up multiple Jet Fulfillment Nodes for each warehouse and/or dropshipper. This gives Retail Partners the opportunity to specify different shipping methods or rates by fulfillment center if they so choose. In order to accurately represent the processing time for orders allocated to each fulfillment center, retailers should provide the correct operational settings that are specific to each fulfillment node they set up.
The Jet Rules Engine enables a Retail Partner to differentiate commission settings, and therefore the price offered to Jet Members, by variables including customer location and basket size. This empowers Retail Partners to control their order profitability by attracting orders from customers located near one of their fulfillment centers, and discouraging orders from customers that are a significant distance from their centers.
You can access the Jet Rules Engine directly from your Jet Partner Portal in the left-side navigation. You can also go directly to partner.jet.com/rules.
Note: The Rules Engine is only accessible once you’ve completed integration. To learn more about how to access the Rules Engine, click here.
The Shipping Distance Rule enables retailers to increase their competitiveness and profitability by winning orders that are closer to their fulfillment centers in order to offset the variability of shipping costs across shipping zones.
In order to be more competitive willing orders a retailer who has exercised the Shipping Distance Rule will be able to give a higher commission adjustment in order to provide more discounts to the members in markets and locations that is more efficient to ship to. On the other hand, they can also lower the commission adjustment to make them less competitive in markets where it may be inefficient for retailers to ship to.
A retailer will be able to determine the average retailer price by category and that category’s average shipping costs by zone as defined by FedEx or UPS. Retailers will then be able to calculate each zones commission adjustment by subtracting the zones average shipping cost from the overall average shipping cost and dividing this by the retailer price.
Note: We have also provided the Commission Adjustment Calculator to help with these calculations. To learn more about the Shipping Distance Rule, click here.
The Basket Building Rule enables you to modify your commissions, and therefore your economic offer, on orders based on the number of items in the basket and/or the total basket value.
You can create customized order size ranges based on dollar value and/or minimum number of units and assign a commission adjustment for each range.
The basket building rules are reflected in messages in the shopping experience that encourage customers to build bigger baskets.
To learn more about the Basket Building Rule, click here.
The Waive Return Rule enables you to modify your economic offer via commissions on orders where the customer waives their right to return items.
The Rules Engine enables you to set your rules at the Level 0, 1, and 2 category levels – the lowest level rule will apply to your offer.
Note: The rules are applied to products based on which Jet category they belong to as determined by Jet.
The Waive Returns Rule is reflected in an additional savings opportunity that is presented to the member when they add an item to their cart.
The Rules Engine includes a Returns Commission Calculator to help you determine commission adjustments. You can use the commission calculator to determine suggested returns commission adjustments for each category.
To learn more about the Waive Return Rule, click here.
The Email Opt-in Rule allows you to offer a specific dollar amount discount to customers who opt-in to be on your mailing list.
This offer will be presented to the shopper, the Jet Member, during checkout as a one-time discount in order for them to give you their email address.
You can calculate this dollar amount based on your customer acquisition costs, and estimated overlap between the Jet Member base and your existing email marketing lists.
Note: Each Jet Member can only opt-in once to a Retail Partner’s mailing list. The Retail Partner’s purchased emails are delivered weekly in the Partner Portal. To learn more about the Email Opt-in Rule, click here.
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