Ultrafast delivery firm Getir arrives in New York City

Dive Brief:

Turkish ultrafast delivery firm Getir has launched its 10-minute grocery delivery service in New York City about a month after making its U.S. debut in Chicago, according to an emailed press release this week.
The initial coverage area in the city includes Manhattan, Brooklyn and parts of Queens, with more areas expected in the coming weeks. For the Big Apple launch, Getir is waiving its $1.95 delivery fee for customers’ first five orders. Orders have a $10 minimum.
By the end of the year, Getir plans to debut in Boston as it looks to stake its ground in the fiercely competitive instant needs delivery space in the U.S.

Dive Insight:

Founded in 2015, Turkey-based Getir is aiming to use its experience as a pioneer in instant delivery as it goes up against a growing number of quick-commerce competitors in the U.S.

Getir relies on couriers on e-bikes and e-scooters to deliver orders from its dark stores, which each hold around 2,000 items. Its e-commerce operations run between 8 a.m. and midnight, according to the press release.

Getir’s arrival in the U.S. marks its ninth country where it operates. The company has been expanding globally this year, debuting or growing its service in the U.K., the Netherlands, Germany, France, Spain, Portugal and Italy. Fueling that expansion is the more than $1.1 billion Geir raised during 2021, placing its valuation at $7.7 billion.

Compared to its competitors in the U.S., Getir has some of the heftiest capital behind it. Gopuff, which launched its 30-minute delivery service in New York City in October, has raised $3.4 billion and is valued at $15 billion, while Germany-bases startup Gorillas, which brought 10-minute service to the city in May, has raised $1.3 billion and is valued at $3 billion, according to Coresight Research.

The list of instant delivery players in the U.S. has grown quickly, ratcheting up the pressure in the capital-intensive space. 1520, which delivered groceries in New York and Chicago, reportedly just went out of business, while earlier this week DoorDash announced is entry via its DashMart online convenience brand, beginning in New York City's Chelsea neighborhood.

The quick-commerce retail space, which Coresight projected will generate between $20 billion to $25 billion in U.S. retail sales this year, will likely see further consolidation. In addition, grocery chains are starting to roll out their own 30-minute convenience services with Instacart. DoorDash is also positioning to offer rapid delivery for retailers using its DashMart dark store model.