Grocery delivery company Gorillas leaves Belgium

Start of on-demand grocery delivery Gorillas closes its warehouses in Belgium and sells part of its activities for undisclosed conditions to a Belgian company delivering organic and seasonal products EfarmzReuters reported on Friday June 24.

Like many delivery companies bringing supermarket food and other essentials to people’s doorsteps during the pandemic, Gorillas has seen high demand followed by rapid expansion.

Post-pandemic consumer habits and tight competition, along with inflation and other conditions affecting the global economy, have led to a shift in demand. Gorillas is also reviewing operations in Belgium, Denmark, Italy and Spain.

Launched in 2020 by the CEO Kagan Sumer and CTO Ronny Shibley and Berlin-based Gorillas, the startup offered super-fast grocery delivery in just 10 minutes.

See also: German delivery service Gorillas cuts 300 jobs

Gorillas said last month that it plans to lay off around 300 people as it focuses on profitability. Since last October, the company has tripled in size after a $921 million seed round, PYMNTS reported. Germany, France, Great Britain, the Netherlands and the United States represent approximately 90% of the company’s activities.

Read more: Gorillas talks merger and sales potential with grocery delivery rivals

Last week, Gorillas held merger and acquisition talks with Gopuff, Jokr, and other competitors. JPMorgan Chase & Co. is working with Gorillas to weigh options as the German food delivery startup tries to strategize in a competitive, post-pandemic and high-inflation period, PYMNTS reported.

The company is suspending plans to launch in New York and has also ended expansion in Los Angeles and Chicago.

Related: Daily Use of Grocery Aggregators Is Rising, PYMNTS Research Reveals

In the United States, daily use of same-day restaurant and grocery aggregators is on the rise, according to data from the May edition of PYMNTS’ ConnectedEconomy™ monthly report. One in 16 consumers use a grocery aggregator like Instacart every day, up from about one in 21 in April.



About: PYMNTS’ survey of 2,094 consumers for The Tailored Shopping Experience report, a collaboration with Elastic Path, shows where merchants are succeeding and where they need to up their game to deliver a personalized shopping experience.

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