Getir has confirmed its exit from the UK, ending several weeks of speculation about its future.
The rapid grocer will also withdraw from Germany, the Netherlands and the US, to “focus its financial resources on Turkey” where it launched in 2015.
The quick commerce player said that the markets generated only 7% of its revenues.
Getir – which means ‘to bring’ in Turkish – launched in the UK in early 2021, one of a slew of rapid grocery providers promising delivery within 15 minutes. Unlike aggregator apps, which partner with existing stores, the players established dedicated dark stores and courier fleets.
While the services proved popular during the Covid pandemic, the sector struggled when lockdowns lifted. Well-funded Getir responded by expanding and acquiring rivals, like Weezy in late 2021 and Gorillas in December the following year.
It continued to raise cash, while burning it at a rapid rate: as much as $50m a month, according to Bloomberg.
“During the pandemic it was clear customers valued the way they could satisfy their needs,” said Gregor Murray of Digital Commerce Global. “But as soon as customers weren’t locked down that evaporated.
“For a sustainable business, companies like Getir needed orders to be high-margin but small basket size, they needed high customer numbers but a small delivery area, and high daily order volume with low alternative routes to customer. Since the pandemic ended that market simply doesn’t exist.”
The company said it will now focus on its core market of Turkey, where “it sees the biggest potential for long-term sustainable growth”.
As part of the move, Getir has raised new funds in an investment round led by Mubadala and G Squared. The company said it would use the cash injection to “bolster its competitive position in its core food and grocery delivery businesses in Turkey”.
Getir’s departure leaves only two of the original tranche of rapid grocers still operational in the UK, US player Gopuff and relative minnow Zapp, which late last year undertook a major rebrand to concentrate its focus on affluent, central London customers.
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