Jet strives to get members the products they want at the lowest prices on the web. In this section, you will find everything you need to know about how pricing works on Jet.com.
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The Jet Pricing Algorithm is what sets Jet apart from other e-commerce marketplaces. The algorithm doesn’t just look at the price of each individual item in a member’s shopping cart, but instead looks at all of the items in a member’s shopping cart and their location, determined by their zip code, in order to figure out which retailer or warehouse should fulfill the unique combination of items at the cheapest possible price.
With Jet, the “Retailer Price” is the item price that the retail partner provides plus the cost to ship that item. The retailer price minus the base/adjusted commission that Jet charges retailers is known as the “Settlement Price”, the price that retailers will be paid for any given product.
But the retailer price that retail partners set is independent from the Member Price, the price that members see when shipping on Jet.com. The member price is determined by a multitude of factors including the settlement price, the most competitive price from Jet’s competitors sites, a retailer's Rules Engine adjustment, along with the data conjured from Jet’s pricing algorithm.
Jet’s pricing emphasizes total savings at a basket level, rather than a discount to the competitive price of the product. This has an impact on partners for a many reason including allowing discounts to be applied at the basket-level.
In addition, this pricing methodology allows for the sanctity of respecting product-based pricing policies as savings on MAP implemented SKUs require proactive action by logged-in members to reveal discounts as well as preventing saving from being displayed on MSP implemented SKUs.
Jet recognizes that specific companies or brands may implement pricing policies such as Minimum Advertised Price (MAP) or MSP (Minimum Selling Price) and therefore maintains the ability for Retail Partners to influence how Jet Member savings benefits are displayed at the product level. In advertising prices to Jet Members, Jet will provide Retail Partners a set of tools in their product feed to account for a pricing policy.
The options that retailers can use to ensure adherence to brand pricing policies are based on three levels of price control:
No price control (101) - No restrictions on what price we show or what savings apply.
MAP: Minimum Advertising Price (102) - The price shown must be greater than or equal to the price control price. When a Jet Member is logged in savings can be displayed.
MSP: Minimum Selling Price (103) - The price at which we sell the SKU must be greater than or equal to the price control price, with no savings applied.
For additional details, please refer to map_price and map_implementation fields listed in the Products API Schemas in the Jet Developer Portal.
Product Pricing FAQs
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