Getir is set to reduce its global workforce by over 10%, impacting 2,500 employees.
- The decision comes in response to decreased demand following the pandemic-induced grocery delivery boom.
- Getir aims to refocus its efforts on markets with stronger growth prospects by exiting Spain, Italy, and Portugal.
- A recent fundraising effort is underway, with Getir aiming to secure $500 million led by Mubadala.
- The company remains committed to pioneering the quick delivery sector despite recent setbacks.
In a strategic move amidst declining market demand post-pandemic, Getir, the grocery delivery service, plans to lay off approximately 2,500 employees, translating to more than 10% of its global personnel. Currently operating with around 23,000 staff members, the firm seeks to realign its resources for enhanced operational efficiency.
The decision coincides with Getir’s recent acquisition of Gorillas for £1.2 billion, reflecting its ambitious growth strategies. However, the market reality has compelled Getir to recalibrate. A spokesperson for Getir remarked that such decisions, though challenging, are made in compliance with local laws and in alignment with company values to support affected employees morally and legally.
In an endeavour to consolidate its operations, Getir will withdraw from markets including Spain, Italy, and Portugal. The company’s focus will now target the UK, Turkey, Germany, the Netherlands, and the US, where it perceives greater potential for profitability and sustainable growth. This strategic exit aims to bolster financial resource allocation in these promising regions.
As part of its strategic realignment, Getir has initiated a fundraising round in the UK, targeting a substantial $500 million. Led by Mubadala, the Abu Dhabi sovereign wealth fund, this initiative underscores Getir’s commitment to sustaining its operations and spearheading advancements within the fast-paced delivery industry.
Despite these challenging times, Getir continues to reassure its stakeholders of its dedication to the quick delivery industry it pioneered eight years ago. By closing non-performing ‘dark stores’ in regions such as Wales and South West England, and optimising its combined store network with Gorillas, it aims to adjust to current market demands.
Getir is navigating economic challenges by streamlining operations, focusing on profitable markets, and securing funding to ensure future growth.
