Glovo leaves Argentina: the company that owns Orders has already bought its operations

Damien Kantor

09/16/2020 - 15:12

• Clarín.com

• Economy

"We inform you that Glovo has made the decision to

in the coming weeks. The company will try to focus resources on other markets where Glovo has a leadership position."

This is the header of the WhatsApp message that the delivery platform communicated to its distributors the decision to abandon its operation in the country.

And it is known just in the same week that Falabella communicated his departure from the country.

Glovo's message ends by saying that all workers

", and that they will provide all the details in a personalized email.

Glovo app delivery person

Communications to the company's workers began to circulate this morning, in parallel with a statement from the German giant Delivery Heroe, which announced the purchase of all Glovo operations in Latin America for 230 million euros.

"The transaction will cover all Latin American countries in which Glovo operates, including Argentina, Peru, Ecuador, Panama, Costa Rica, Honduras, Guatemala and the Dominican Republic," said the company, which also owns Orders Ya.

"

" they clarified from Glovo, without giving further details.

Founded in 2015 in Barcelona, ​​Glovo has a presence in 650 cities in 22 countries.

In Argentina it has 70 direct employees and 3,000 distributors "who were offered to sign up for Orders Now."

In the market, they interpret that Glovo's exit implies

, which leads the business at the local level and competes with Rappi, a Colombian national.

As it turned out, Glovo distributors (almost all monotax contributors without a dependency relationship) would be offered to continue working for the other company of the same group.

Glovo's cessation of operations has other edges to be revealed.

For example, what will happen with the two own stores they have in Capital (Belgrano and Palermo) from which they sell and deliver their own basic products at home, which represents direct competition with warehouses, stores and supermarkets.

Known in the jargon as dark stores, they are located in high demand points, with a coverage radius for deliveries up to 6 kilometers away.

Last June, the company's strategy was to expand the format.

"In the future we plan to develop other darkstores", but they did not specify a date or place.

Now we will have to see how the story continues.