Grocery delivery startup Getir has announced its decision to pull out of international markets, including the U.K., Germany, the Netherlands, and the U.S. The Istanbul-based company cited a need to refocus its financial resources on its core operations in Turkey. Getir recently secured a new investment round led by Mubadala and G Squared, with plans to strengthen its position in the Turkish market.
During the peak of the Covid-19 pandemic, Getir was a highly touted online grocery delivery service as people increasingly turned to digital platforms for their shopping needs. The company, founded in 2015, has raised an impressive $1.8 billion to date, with a significant portion of that amount raised in 2022 at a valuation of $11.8 billion. However, Getir’s valuation has since taken a hit, leading to a reevaluation of its international operations.
Getir’s business model, much like that of its competitors, centers around quick delivery times and convenience for customers. The company’s bright branding and swift delivery services have made it a familiar sight in cities like London and New York. Despite its initial success, Getir has faced challenges in a competitive and rapidly evolving market.
In a move that underscores the struggles faced by players in the grocery delivery space, Getir acquired rival company Gorillas in December 2022 for $1.2 billion. Gorillas, like Getir, was grappling with financial difficulties amid economic uncertainties. The consolidation of these two companies highlights the fierce competition and financial pressures in the online grocery industry.
In conclusion, Getir’s decision to streamline its operations and focus on its home market reflects the challenges faced by online grocery delivery services. As the industry continues to evolve and adapt to changing consumer preferences, companies like Getir will need to navigate a complex and competitive landscape to secure their position in the market.
**Opinion:**
It is understandable why Getir has chosen to prioritize its operations in Turkey and reevaluate its international presence. The online grocery delivery market is highly competitive, with companies facing intense pressure to innovate and adapt to changing consumer behaviors. By consolidating its resources and focusing on its core market, Getir can strengthen its position and better navigate the challenges ahead. This strategic decision may ultimately prove beneficial for the company in the long run, allowing it to better serve its customers and drive growth in its home market.