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All the cuts, including Spanish, of the Gorillas home shopping app

All the cuts, including Spanish, of the Gorillas home shopping app

After announced layoffs at Berlin headquarters, German grocery delivery app Gorillas is considering cutting jobs in Spain

The restructuring of Gorillas, the German grocery delivery app, continues.

The Berlin-based company is considering cutting jobs in Spain. Therefore, he asked his workers to elect representatives for the trial, Gorillas told Reuters on Tuesday.

Already last month, the grocery delivery platform laid off half of its employees at its Berlin location.

On that occasion, the German company said in a statement that it was firing some 300 employees from a "global office workforce" of 600. This workforce also includes some 14,400 employees who work in warehouses and as delivery drivers, it noted. The Verge .

At the same time, the company plans to focus more on five markets that account for 90% of its revenues: the United Kingdom, the United States, Germany, France and the Netherlands. The company also operates in four other European markets – Spain, Denmark, Italy and Belgium – where it claims to "examine all possible strategic options for the Gorillas brand". This could mean withdrawing from these markets.

All the details.

WHAT THE GERMAN APP WILL DO IN SPAIN

Gorillas is considering layoffs in Spain.

Customers in the four Spanish cities where Gorillas operates – Madrid, Barcelona, ​​Valencia and Alicante – will continue to be served for now, the company said in response to a request for comment from Reuters .

The start-up, founded in 2020, currently employs several hundred people in Spain, where its local competitors include Getir and Glovo.

THE STRATEGY

Last month, Gorillas said it would lay off 300 people, cutting administrative staff in half, as it seeks to become profitable after growing rapidly during the Covid pandemic.

The company also announced that it would consider selling its businesses in Belgium, Denmark, Italy and Spain. Only in Spain were layoffs examined, the German company stressed on Tuesday.

WHAT IS GORILLAS

Gorillas became known in the super fast food delivery market last year. The company sells fresh produce and other items delivered from urban distribution centers to customers within 10 minutes. It is also one of the first European startups to launch into the industry and has grown to over 10,000 employees (including riders) and rapidly expanded across Europe, reports Sifted , a magazine hooked to the Financial Times .

Bloomberg wrote last year that "Gorillas is part of a fast food delivery services group that has gained popularity over the past year as people spent more time shopping at home during the coronavirus pandemic."

CHINESE TENCENT AMONG THE INVESTORS

It has raised $ 1.3 billion in VC funding so far, from big names like Tencent, DST Global, Coatue and Delivery Hero.

ARE DELIVERY APPS TOUGH TO GROW?

But in the wake of a global recession affecting the tech sector more broadly, it appears that some delivery apps that have struggled to grow may be in trouble, highlights The Verge. As of May this year, the Gorillas app was only downloaded 320,000 times, compared to 1.5 million downloads for Turkish rival Getir.

Finally, some media reports suggest the company has been having trouble raising more funds.


This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia-on-demand/tutti-i-tagli-anche-spagnoli-dellapp-per-la-spesa-a-domicilio-gorillas/ on Thu, 23 Jun 2022 09:07:36 +0000.