A Getir scooter in London.
In current weeks, New Yorkers have began to discover couriers in purple and yellow zipping round their metropolis on mopeds.
These couriers, who can be discovered in Chicago and Boston, are transporting groceries for rapid-delivery app Getir.
Founded six years in the past in Istanbul, Turkey, Getir goals to ship on a regular basis necessities from its grocery shops to folks’s entrance doorways in below 10 minutes.
This 12 months, it expanded across Europe, the place it competes with the likes of Gorillas and Zapp. Next 12 months, it is going to be much more centered on the United States, the place it should face a complete new degree of competitors.
“One U.S. is equal to all [of] Europe,” Getir CEO and co-founder Nazim Salur instructed CNBC in an interview, including that he thinks it is one of the best place in the world for start-ups to function.
“A good basketball player in the end wants to play in the NBA and the NBA is in the U.S.,” Salur mentioned. “We played basketball in Turkey and then the EuroLeague. And now it’s time to show our skills and try to make it in the NBA.”
Getir plans to expand into “many more” U.S. cities in 2022, Salur mentioned. The entrepreneur declined to give a selected quantity, however it should “definitely be” greater than 10, he mentioned.
“To give you an idea, we opened London 10 months ago, and today we’re in 16 cities in the U.K.,” he mentioned, including that the U.Ok. market is 5 instances smaller than the U.S.
Stiff competitors in the U.S.
Getir, which has virtually 30,000 workers worldwide, will face stiff competitors from a lot bigger corporations in the United States.
Food supply agency DoorDash, which has a valuation 5 instances that of Getir, has launched its personal rapid-delivery service, whereas Uber can also be working experiments. Amazon, the world’s greatest e-commerce firm, might additionally transfer into the area.
“There are other companies who are coming into our area,” Salur mentioned. “Some existing bigger players, such as DoorDash.”
There’s additionally a brand new era of rapid-delivery corporations attempting to get a slice of the pie.
Several New York rapid-delivery startups, together with Jokr and Buyk, have sprung up not too long ago, however Salur claims they do not pose any speedy risk to Getir.
“They are very new and we’re much more experienced,” he mentioned. “The competition there is not going to bother us.”
Backed by deep pockets
Getir has raised over $1 billion for its enlargement efforts, with buyers most not too long ago valuing the enterprise at greater than $7.7 billion.
The firm plans to elevate extra capital in 2022, Salur mentioned, including that he raises cash in a special approach from a few of his rivals.
“Others raise in panic most of the time and the investors make the rules,” Salur mentioned. “When we raise it is mostly on our terms.”
Reluctant to dilute his stake in the corporate any greater than essential, Salur mentioned Getir will not tackle more money than it wants to.
While Getir has been backed by massive title buyers reminiscent of New York hedge fund Tiger Global and Silicon Valley enterprise agency Sequoia, not everyone seems to be prepared to make bets on rapid-delivery corporations.
Christian Angermayer, who commonly invests in startups alongside Palantir co-founder Peter Thiel, instructed CNBC that he is not bullish on rapid-delivery companies.
“It’s very challenging to get the unit economics to work in this sector, and just a few will survive,” he mentioned. “I regard the current valuation of those companies extremely exaggerated and hyped.”
Salur plans to take the corporate public in New York finally. He mentioned this might occur as early as subsequent 12 months or 2023.
“We would IPO when the right time is there but then we want to stay at the helm of the company in the long term if the situation permits us of course,” Salur mentioned.