Big Retailers Are Pulling Their Products Off Online Shopping Hopeful Jet.com

Jet.com, the online retailer that's by and large the best bet against Amazon, seems to be running afoul with some of its suppliers. Amazon, Home Depot, Wal-Mart, Walgreens, among many others, are pulling their products off Jet's virtual shelves.

The retailer launched in late July and is attempting to woo customers by undercutting many of its competitors, and in many cases buying items off those competitors to sell back cheaper to its own customers. More than 100 brands owned by 70 companies, the Wall Street Journal first reported, have dropped their products from the site.

"If someone is using our brand without our permission, there are a multitude of concerns, and we're not going to allow it," a Home Depot spokesperson told the Journal.

Jet receives a commission from linking to third-party products, and gives back a portion of those commissions to its members in the form of "Jet Cash." Some companies selling those products say they're surprised that Jet linked to their site without their permission.

Those measures are a few in a long list of aggressive perks the site is offering to draw potential customers.

For instance, they're discounting items by 11 percent on average, compared to Amazon's 5.9 percent. The Wall Street Journal reported that the service is tapping its $300 million pool of funding to do just that. On a 12 item order they placed, the company spent twice as much as the customer paid.

You don't need to take an economics class to know that's the fiscal equivalent of shooting yourself in the foot, but so long as they building a massive customer base, that's the plan they're running with.