Getir, the rapid grocery-delivery company that skyrocketed in popularity during the Covid-19 lockdowns, has announced that it will be ending its operations in the United States and Europe, opting to refocus on its home base in Turkey. This decision marks a significant retreat for the once-thriving company, which was valued at nearly $12 billion at its peak.
The company, known for its lightning-fast delivery times of as little as 10 minutes, quickly expanded its reach across nine countries, including the United States, Britain, Germany, and the Netherlands. Getir’s workers, clad in purple and yellow outfits, could be seen zipping around on bikes in major cities, delivering groceries and other small conveniences to customers.
However, as the pandemic lockdowns came to an end, Getir, like many other pandemic darlings, began to face challenges. Central bankers raised interest rates to combat inflation, leading to less disposable income for consumers. Additionally, the return to normalcy meant that fewer people were willing to pay a premium for quick grocery delivery services.
In response to these changing market conditions, Getir made the strategic decision to pull out of the U.S. and European markets, where it generated only 7 percent of its revenues. The company’s U.S. subsidiary, FreshDirect, will continue operations, while Getir focuses its financial resources on its core market in Turkey.
The completion of Getir’s retreat to Turkey is expected to result in thousands of job losses, as the company had employed around 23,000 workers. Unlike some other delivery companies, Getir hired its riders and warehouse staff as employees, offering benefits such as holiday pay and pensions.
The rise and fall of Getir serve as a cautionary tale for other companies that experienced rapid growth during the pandemic. As the world continues to navigate the post-lockdown era, businesses must adapt to evolving consumer preferences and market dynamics to remain competitive and sustainable in the long run.
