Rapid grocery delivery service Getir has announced it will depart the UK, remaining European markets, and the US. Instead, the company will refocus its efforts on its primary market in Turkey, the source of most of its revenue. This shift follows a sustained period of uncertainty regarding the financial health of Getir's UK operations.
The firm indicated that just 7% of its revenue originated from the markets it is now abandoning. This decision marks a halt to Getir's swift European expansion, a period that generated nearly 23,000 jobs across the region in the last three years. Getir's statement emphasised that they view their home market of Turkey as holding the greatest potential for sustained, long-term growth.
Meteoric Rise and Challenges
Getir burst onto the UK scene in 2021, transforming into a multi-billion pound food delivery enterprise within a few short years. The brand's iconic purple and yellow livery was a familiar sight during the COVID-19 lockdowns, when consumer habits shifted away from in-store shopping. With promises of "ultra-fast" deliveries via scooter in under 20 minutes, Getir carved out a distinct niche in the delivery space.
Getir's US subsidiary, FreshDirect, will remain operational. For its Western market withdrawal, the company has secured investment from Mubadala, an Abu Dhabi-based investment fund, and G Squared, a US-based company.
"Getir extends its heartfelt gratitude for the commitment and effort demonstrated by its employees throughout the UK, Germany, the Netherlands, and the US," the firm noted in a brief statement.
A Changing Landscape
Just one year ago in 2022, Getir marked its first anniversary in the UK with fanfare, touting itself as an industry frontrunner and celebrating the creation of 4,000 permanent jobs throughout the country. It even committed to generating a further 10,000 jobs before the year's end.
By 2023, however, the tides had turned. Faced with shoppers returning to traditional stores, Getir was compelled to scale down its ambitious European expansion plans. It also announced workforce reductions affecting over 10% of its then 23,000-strong European staff. The company had already withdrawn from Italy, Spain, France, and Portugal and even auctioned off some of its UK assets.
Regulatory hurdles contributed to Getir's challenges. France mandated the closure of inner-city stockholding depots. Amsterdam and Rotterdam moved to block the establishment of new ones. These "dark stores" drew criticism from residents who complained of the nonstop stream of couriers and associated disruptions.
Across the Atlantic, New York City Council member Gale Brewer condemned ultra-fast delivery services like Getir, accusing them of repurposing vacant city-center retail spaces in detrimental ways.
