Stays. A statement shared this morning by Gorillas announced a change in strategy towards long-term profitability. They will focus on their most powerful markets, Germany, France, the United Kingdom, the Netherlands and the United States, and they will lay off 300 company workers. A first statement, first shared by The confidential, added that Gorillas was leaving Spain. the company of quickdelivery, or super-fast deliveries, has confirmed to hypertextual that, for now, remain and that they hope to continue with local investments.
Magdalena Szuszkiewicz, general manager of Gorillas for Spain, has spoken with this medium about the plans of the startups that bring your purchase to your home in 15 minutes in Spain, Denmark, Belgium and Italy, where strategic solutions that will mark the future are being studied of your operations. “We are analyzing the best options for these markets with support from local co-investment and strategic partners”, explains Szuszkiewicz.
Gorillas is in right now in negotiations with actors who can be the lifeline of the company. The idea is that they are partners with experience in the market with the opportunity for synergies. “We have conversations with retailers, which would be supermarkets in different formats, both traditional and online. On the other hand, applications or digital startups specialized in mobility or delivery. Strategically, it will be a great opportunity for them to enter quick commerce”, says the General Manager.
Also, Gorillas is talking to pure investment funds and local investors. In the case of receiving money in this way, the operation of the startup would continue as it is now. However, Magdalena Szuszkiewicz prioritizes an agreement with partners that can strengthen the business of the fast delivery in Spain. And he wants to do it as soon as possible: “We want to move it very quickly, the sooner we have the steps defined, the faster we can focus on continuing with our strategic plan. In the coming weeks I would like to have more clarity. It won’t be months, it will be in the next few weeks, a month or two at most.”
The strategy in Spain is the same as in the other three countries where Gorillas is less established. In Denmark, Belgium and Italy they are also looking for a partner or investor, although in the case of Spain they can play with an advantage. Since the superfast delivery company arrived in the country in June last year, the boom in this sector has been joined by other like Getir and GoPuff. But for now they will not enter more. In Madrid, the opening of new establishments of this type has been prohibited for at least a year, until the government establishes a regulation to establish how this delivery model should work. “It is an opportunity to work with us because we already have the infrastructure to work,” says Szuszkiewicz.
The end of the ‘quick delivery’ boom?
Gorillas was one of the first to fill the streets of Barcelona, Madrid, Valencia and Alicante with advertising for the service that takes you home from the supermarket in 15 minutes. Later, others like Getir arrived and that is how the boom of these startups began. In addition to advertising, the strategy came hand in hand with great discounts and promotions. Some wondered at the time how long this fairy tale would take to end. It could be sooner than later.
Food is more expensive and consumption is reduced. Magdalena Szuszkiewicz, general manager of Gorillas for Spain adds for hypertextual that the stock markets are falling every week and that there is less and less capital. “I’m sure all the startups that haven’t made it to profitability are having these conversations,” she says, regarding strategy changes.
Gorillas has a clear path to reach profitability in Spain in December 2024. This year, in the first four months, they have grown by 100% in orders and 120% in revenue. These are good figures, but not enough to compete with established markets such as Germany, France and the United States. What will happen if the startup does not achieve an investment or an agreement with local partners? “In these conditions anything can happen”acknowledges Szuszkiewicz.
For now, Gorillas stays in Spain but today’s was the first test that shows how the balloon of the fast delivery in Spain. The one that came stomping and that, a year later, begins to falter. Right now, the only way they don’t die is to team up with another company. Ally with others, or die.