Getir, the established speedy-delivery firm, is in talks to acquire rival Gorillas, according to reports from Bloomberg.
If it goes ahead, the acquisition of Gorillas would consolidate an already saturated market, and gain Getir crucial space in the UK, German and Dutch markets.
Demand for rapid deliveries skyrocketed during the pandemic when usual pre-Covid demand for speedy food-on-the-go seemed to be exported to the home. Getir and Gorillas both premise their business models on delivering groceries within 20 minutes, an unfathomable speed to consumers and businesses even ten years ago.
Cash has poured into the rapid delivery industry, with Berlin-based Gorillas raising over $1bn last year, and Getir receiving a quarter of a million dollars in its latest funding round.
Despite attracting plenty of funding, the profitability of these firms — and the rapid delivery industry as a whole — is more dubious. TechMarketView co-founder, Andrew Miller, has called into question the business model of rapid delivery. "Let's be perfectly clear about this. You cannot make money delivering groceries 'in minutes', as claimed by Getir."
Will the initially booming rapid delivery industry go down as quickly as it went up? Or will a market giant — like a combined Getir-Gorillas — help a consolidated market work?