Fast delivery giant Getir leaves France, citing regulatory hurdles
Fast trading platform Getir says goodbye to the French market – less than two years since it started operations in the country.
In a press release sent to AFP, the company said it will soon leave France and seek a buyer for “all parts of the group”. The Turkish Getir Group includes Getir, Gorillas and Frichti.
“The complex legal environment and regulations imposed by local governments have made the company’s success very difficult,” the platform said. Specifically, the French government ruled in March that “dark shops” – where the products are stored before delivery – are considered warehouses and not businesses. This means that local town halls have the power to decide whether or not to allow such warehouses in the city centre.
In recent months, the group has struggled to become profitable in France. At the end of March, the total debt of the three entities amounted to €17.6 million and they were placed in receivership by the Paris Commercial Court. At the time, the group was already considering cutting about 900 jobs. An estimated 1,800 workers are now at risk of becoming unemployed.
Meanwhile, Getir’s competitor Flink faces the same fate. The company, which took over the French Cajoo, was also placed under guardianship and has filed for bankruptcy. It’s recently announced it is also leaving France, while rival Gopuff already exited the market in January.
With the number of instant grocery delivery platforms in the region continuing to dwindle, it seems that France’s fast paced trade bubble has burst. It remains to be seen whether this will have a ripple effect on the overall European market.