Fast grocery delivery apps slash jobs after COVID lockdown boom
Is the sugar rush over for cash-guzzling fast grocery delivery services? Late last month, two of the largest grocery delivery apps, Getir and Gorillas, announced plans to sack hundreds of their employees.
UK-based firm Zapp said it too was considering redundancies across the country, while Berlin-based Flink has also slowed hiring.
The instant grocery delivery app industry saw an exponential boom during the COVID-19 pandemic, with lockdowns and fear of catching coronavirus keeping people indoors.
Investors poured billions into these firms, which promised quick delivery of groceries from small fulfilment centres known as dark stores.
But the cost of living crisis as well as supply shortages due to the war in Ukraine is forcing industry leaders to reconsider their options, with outside investment drying up.
Here are some of the instant delivery start-ups now firing couriers, and why it matters.
The Turkish company Getir, which employs over 6,000 worldwide according to LinkedIn, told its staff on May 25 that it planned to reduce its global headcount by 14 per cent.
In a statement emailed to employees, the company said: “With a heavy heart, we today shared with our team the saddening and difficult decision to reduce the size of our global organisation”.
“We will also decrease spending on marketing investments, promotions, and expansion,” it said.
A company spokesperson told Euronews Next the headcount reduction would vary by country, without giving further details but adding: “We do not take these decisions lightly”.
“This is one of the most difficult days since we founded Getir because we had to make tough decisions about our people organisation that will adversely affect some of our team members,” the spokesperson said.
Getir’s main
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