Rapid delivery service provider Getir is making strategic moves to close five of its dark stores in Amsterdam due to ongoing zoning disputes. The Turkish-origin company is also part of a broader global reorganization aimed at enhancing efficiency.
Getir’s decision comes in the wake of discussions with the municipality of Amsterdam regarding zoning plans for its distribution centers, known as “dark stores.” While the company had sought to resolve these discussions, the closure of these stores is seen as a means of securing the company’s future. The dark stores slated for closure include locations on Karperstraat, Baarsjesweg, Overtoom, Eerste Jacob van Campenstraat, and Jan Rebelstraat.
These closures are part of Getir’s larger reorganization strategy, which also includes employee layoffs. The company plans to cut around 2,000 jobs, constituting more than 10% of its workforce, as reported by Reuters. However, it remains unclear whether this will impact employees in the Netherlands.
The Covid-19 pandemic had initially propelled the growth of flash delivery companies like Getir, driven by increased demand during lockdowns. Despite this growth, profitability remained elusive for many of these companies. The combination of high inflation and investor caution due to rising interest rates has prompted such companies to reconsider and restructure their operations.
In the context of Amsterdam, the establishment of dark stores has been a point of contention for over a year and a half. Concerns about nuisances for residents stemming from courier deliveries and collections led the city to halt the opening of new rapid delivery services or dark stores for a year starting in January 2022. Additionally, several dark stores situated in residential zones were ordered to close due to zoning plan discrepancies.
In a positive light, Getir remains committed to its operations in Amsterdam, highlighting the placement of over a million orders in the city. The company will continue to serve its customers with the 15 remaining operational dark stores spread across Amsterdam.
While Getir is scaling back in Amsterdam, it will continue to operate in other Dutch cities with more favorable conditions. The cities of Amstelveen, The Hague, Haarlem, Rotterdam, and Utrecht are among the locations where Getir will continue to provide its rapid delivery services.
The strategic move to close the Amsterdam dark stores underscores Getir’s commitment to navigating the complexities of local regulations and adapting its operations to changing market dynamics while maintaining a focus on customer service.