Getir, a popular rapid grocery-delivery company that saw tremendous growth during the Covid-19 lockdowns, has announced its decision to cease operations in the United States and Europe. This move marks a significant retreat for the company, which originally aimed to deliver groceries and other small items in as little as 10 minutes. Despite once being valued at nearly $12 billion and expanding rapidly to nine countries, Getir has now chosen to refocus on its home base in Turkey due to financial reasons.
The company’s swift rise was characterized by its signature purple and yellow-clad workers zooming around on bikes in various cities across the U.S. and Europe. Getir’s expansion efforts were fueled by acquisitions of competitors like Blok in Spain and Weezy in Britain, as well as the German firm Gorillas. However, the company faced challenges as the pandemic lockdowns ended, leading to a decline in profitability. Central bankers raised interest rates, consumer disposable income decreased, and the allure of grocery delivery waned as people returned to socializing and visiting convenience stores in person.
The decision to refocus on Turkey is expected to result in significant job losses, as Getir had employed thousands of workers in various roles. Unlike some other delivery companies, Getir hired its riders and warehouse staff as employees with benefits such as holiday pay and pensions. Despite its previous success and rapid expansion, the company’s withdrawal from the U.S. and Europe reflects the broader trend of pandemic darlings facing setbacks and reevaluating their strategies in a post-lockdown world.
