Getir is to exit operations in the UK, in a move that could create opportunity for local shops wanting to snap up extra demand.

The grocery delivery app, once valued at nearly £9.7bn, confirmed today that it is withdrawing its operations from its three remaining European markets, including the UK, Germany and the Netherlands. It has said it generates only 7% of its revenue in the markets it is exiting, and the move will allow it to focus its financial operations in Turkey.

Getir also revealed that it will be exiting the US, but FreshDirect, the US subsidiary of Getir, will continue its operations.

Getir’s statement said: “Getir has raised a new investment round, led by Mubadala and G Squared. Getir will utilise these funds to bolster its competitive position in its core food and grocery delivery businesses in Turkey. Getir expresses its sincere appreciation for the dedication and hard work of all its employees in the UK, Germany, the Netherlands, and the US.”

Thousands of jobs will be lost due to the exit, including roughly 1,500 in the UK, according to insiders.

Yet, the exit will present a “massive opportunity for other retailers to take the market share” left behind, Co-op’s head of online last mile and customer service, Grace Wilkinson, told Better Retailing.

“Getir has tried to squeeze themselves with the delivery promise and getting customers to buy into that proposition,” she continued. “They tried educating them that can become the norm, but it became with a high incentive. The promotions they ran were not sustainable and I don’t think their operation was solid enough to keep customers coming back without that.”

EXCLUSIVE: Getir exits Birmingham, Brighton, Liverpool and Southampton after September lay-offs

She continued: “One of their biggest challenges was having the right range. Customers wanting deliveries within 30 minutes is still important, but not so much within 15 minutes. I don’t think anybody will dive in and try to offer the same proposition. I think Getir tried to push it too much.”

An industry source added to this belief that the move could have benefits for independent retailers. 

“Rival major groups are unprepared for the extra demand Getir’s exit from the market could cause, creating an opportunity for independents in the urban areas affected to market their own grocery delivery services,” they said.

It’s not the first time the firm has looked to pull the plug, following an announcement last October where it confirmed closures in Birmingham, Brighton, Liverpool and Southampton.

The exit will impact Getir’s key wholesale partner Nisa, which supplies Getir sites with more than 300 Co-op products.

In the past, the rapid grocer secured a deal to supply 300 Co-op own-label products, piloting in dark stores in Battersea, Earl’s Court, Seven Sisters, Balham, Tottenham and Bethnal Green. 

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