Getir, a grocery delivery company based in Turkey, reportedly said on Monday, 29 April 2024 that it intends to cease its operations in Europe and the US to concentrate on its local market.
Getir Exits Europe And US To Concentrate On Local Market
Compared with the company’s recent expansion, this move seems like a sudden and contradictory shift. Getir’s business spiked during the pandemic years and caught the attention of prominent investors.
According to Reuters, the company was valued at roughly $12bn approximately two years ago. Following its success, Getir expanded its footprint in Western Europe and New York and Chicago in the US.
However, when the COVID-19 crisis waned, consumers returned to their pre-pandemic shopping routines, which affected the revenue generation of organisations such as Getir. These developments spurred Getir’s plans to focus on its domestic market. Reuters quoted the company, which stated:
Getir will focus on Turkey, its main market where it sees the greatest potential for long-term sustainable growth.
In the same statement, the firm confirmed its exit from Britain, the Netherlands, Germany, and the US. FreshDirect, a Getir subsidiary, will continue to operate in the US. These international ventures made up about 7% of Getir’s revenue.
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The company said that Mubadala Investment Company and G Squared will be providing new financial backing so that it can step up its competitiveness in Turkey. In 2022, Getir cut 14% of its workforce because of inflation and withdrew from France, Italy, Spain, and Portugal in 2023.
Founded in 2015, the firm’s investors include Mubadala Investment Company, Abu Dhabi Growth Fund, Alpha Wave Global, Sequoia Capital and Tiger Global.
