Dive Brief:
- New York City has been the U.S. epicenter for ultrafast delivery firms, but now a number of them are expanding to other urban areas, with several recently setting up shop in Boston.
- Turkish firm Getir, which recently arrived in New York City and Chicago, announced on Wednesday it has brought its 10-minute grocery delivery service to Boston. Last Friday, Fridge No More tweeted it had expanded its 15-minute service to Cambridge and Somerville, Massachusetts, while Jokr announced in early December that it had arrived in Boston, as well.
- The three companies’ arrivals in Boston signal speedy service is gaining traction outside of New York City.
Dive Insight:
The New York City metro area's high population density has made it a prime spot for firms relying on couriers on e-bikes to zip around and deliver convenience and grocery items. Now, those companies are looking to gain more ground and win customers in other urban areas around the U.S.
The greater Boston area is one of the most densely populated metro areas in the U.S. Convenience e-tailer Gopuff, which promises delivery in 20 to 40 minutes, has been operating in Boston since 2014 and has three facilities in the city, along with others in the nearby cities of Newton, Lowell, Worcester, and Waltham, Massachusetts, according to The Boston Globe.
Now, Bostonians have several 10- and 15-minute delivery options for grocery and convenience items.
Getir is available in downtown Boston and said it plans to expand to more areas. Like its launch promotions for the two other U.S. cities where it operates, Getir is waiving its $1.95 delivery fee for customers’ first five orders. Orders have a $10 minimum.
In Boston, Jokr initially launched with two dark stores to serve 11 neighborhoods, including Back Bay East, Beacon Hill, West End, downtown and the Seaport District. Its U.S. co-founder Tyler Trerotola said the company is taking a slower expansion approach in Boston to get its assortment right as it adds more neighborhoods. To connect with customers, Jokr is focused on localization and will offer popular local items like J.P. Licks ice cream and pastries from Flour Bakery in Boston, according to a company announcement.
Chicago has also emerged as another popular city for ultrafast firms. Getir made its U.S. debut in the Windy City before coming to the Big Apple. 1520, which has reportedly closed operations, chose several Chicago neighborhoods as its first foray outside of New York City.
Both cities may soon welcome another ultrafast firm: Buyk, which launched its 15-minute service in New York City in the summer, previously told Grocery Dive it is planning to expand to Boston; Chicago; Washington, D.C.; and undisclosed locations in California and Florida in 2022. The company has several jobs listed for Boston, including area manager, construction manager and real estate development manager positions.
Meanwhile, ultrafast delivery startup Gorillas said in the fall that it was pausing expansion in the U.S. for the rest of 2021 to instead focus on its operations in New York City.