Zulily
Zulily CEO Jeff Yurcisin.
- Starting Wednesday, Zulily's site will list prices advertised by competitors Walmart and Amazon alongside its own pricing.
- Zulily CEO Jeff Yurcisin said the move is part of a broader goal to increase transparency for shoppers.
- Two-thirds of shoppers think Walmart and Amazon offer the cheapest prices online, but Zulily beats their prices on 97% of identical items, according to a study conducted for Zulily by Wakefield Research.
- Visit Business Insider's homepage for more stories.
The flash-sales site Zulily is taking aim at
Starting Wednesday through December 19, Zulily's site will list prices advertised by competitors Walmart and Amazon alongside its own pricing for identical items, the company said. If Zulily's price isn't the lowest on any particular item, the company will match the cheapest price advertised by its rivals.
Zulily CEO Jeff Yurcisin said the move is part of a broader goal to bring more transparency to the retail industry.
"So right on that price tag - right next to where the customer would push 'add to cart' - we are showing the most competitive up-to-date price from Amazon or Walmart," Yurcisin, a former Amazon and Shopbop executive, told Business Insider. "Just think about how crazy this is ... welcoming in the big retail giants, the global giants, into your store and putting their price right next to your price tag. That's effectively what we're doing."
Zulily wants to make it easier for shoppers to compare prices
Two-thirds of shoppers think Walmart and Amazon offer the cheapest prices online, but Zulily beats their prices on 97% of identical items, according to a study conducted for Zulily by Wakefield Research.
Zulily is typically $5 to $10 cheaper per item than Walmart and Amazon, according to Yurcisin.
Zulily keeps prices low, in part, by saving on shipping costs. The company doesn't place vendor orders until the close of a flash sale, which typically lasts 72 hours. Then Zulily places a large, single order based on customer purchases.
That order is shipped to Zulily, which in turn ships out customers' individual purchases.
This process from purchase to delivery can take as long as two weeks, which might seem like an eternity for some shoppers in contrast to the one- and two-day shipping guarantees offered by Walmart and Amazon.
"Amazon delivers an amazing service for specific use cases, but it's transactional commerce, optimized for super-fast shipping," Yurcisin said. "We've chosen a different path."
That path is rooted in discovery and inspiration - rather than search results - with a steady flow of about 100 flash sales per day, he said.
Zulily customers are willing to wait a few more days or even weeks for their purchases to arrive in exchange for that experience, as well as the extra savings the site offers, he added.
"On average, we're talking $5 to $10 [in savings] per item," Yurcisin said. "This matters. It's 2019 and real wages are flat. Everyone doesn't need that item in hours or a day in a relatively inefficient - from a cost perspective - way of delivery."
If you have information to share about Zulily, contact this reporter at hpeterson@businessinsider.com.
