Getir has confirmed the acquisition of Gorillas, ending weeks of speculation. For the fast food and grocery delivery industries, this is a massive merger. As reported initially by the Financial Times, Getir has successfully acquired its main rival. This has been confirmed with Getir.
“Consumers adore our service and convenience is here to stay, despite the ebb and flow of the markets. Getir’s creator, Nazim Salur, predicted in a statement that the market for rapid food delivery will expand gradually over the next several years.
In 2015, Getir was first introduced in its home country of Turkey. Due of lockdown regulations, many individuals have started shopping goods online during the past few of years. A number of new companies, including Getir, Gorillas, Flink, and others, aimed to spread a different method of food delivery.
Instead of scheduling a delivery time for the following day, orders placed through these applications are fulfilled immediately. The interface and functionality are more like to those of meal-delivery apps like Uber Eats, Deliveroo, and Just Eat Takeaway. To place an order, you launch an app, go through a catalogue, then tap the “order” button.
During the COVID-19 epidemic, the programmes generated a lot of money and expanded quickly. Startups promising one-hour or fewer delivery times have, in reality, established vast infrastructures of “dark shops” in highly populated areas.
These expenditures are on top of the millions that companies in this industry spent on discounts and free shipping. However, regulations were loosened, venture capital financing dried up, and some municipalities instituted new rules for so-called “dark storefronts.” This is why many businesses have had to lay off workers, reduce their operations, or perhaps merge with others in 2022.
Getir said in May that it will be laying off 14% of its global workforce, which amounted to more than 4,000 people. Getir is a global company with offices and operations in several European nations, including the United Kingdom, Germany, France, Italy, Spain, the Netherlands, and Portugal. It is also active in the United States.
Even gorillas had to lay off some of their own earlier this year. Germany, the Netherlands, and the United Kingdom were selected as the target markets. the United States of America included. The German start-up bought Frichti before it became more difficult to secure funds.
As reported by Tim Bradshaw of the Financial Times, the merged group is now worth $10 billion. Both Getir and Gorillas were valued at over $10 billion during the peak of the instant grocery boom. 12% of Getir’s market worth will soon be owned by the Gorillas.
Due to the high degree of duplication between the two businesses, layoffs are possible in areas where both services are available. The bottom line might benefit from less “dark shops,” too.
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