Glovo, a popular delivery service provider, has announced its decision to cease operations in Ghana effective May 10.
The announcement conveyed through a notice to one of its clients, indicates that Glovo's official customer app will become inaccessible for orders from that date onwards.
This decision comes two years after the company's investment of €3.5 million ($3.7 million) to expand its services in the region.
Regional General Manager Glovo Africa, Dima Rasnovsky, said the development stems from the reassessment of the company’s investment priorities.
“Following a reassessment of the company’s investment priorities, Glovo has decided to cease operations in Ghana by May 10, 2024. Glovo will focus on growing and strengthening its position in other African countries. We thank our teams, partners and riders in the country for the dedication to growing Glovo in Ghana over the last years,” he said.
“While we recognise the potential of the Ghana market, building a stronger position in the market and achieving profitability would require substantial investment over an extended period of time.
“This is why we have decided to redirect our resources towards the other 23 countries where Glovo operates, enabling us better serve the millions of customers who use Glovo app everyday.”
Glovo said it is dedicated to providing the local team with severance pay that exceeds the legislative minimum.
Additionally, all couriers, partners, and customers will receive comprehensive communication from Glovo regarding the closure to ensure they are informed about the situation.
Glovo's operations
Glovo operates in 23 countries across Europe, Central Asia, and Africa, with Africa being a key region for the company. It has a strong presence in countries such as Ivory Coast, Kenya, Morocco, Nigeria, Tunisia, and Uganda.
The company noted that it remains committed to its operations in the remaining countries where it currently operates and believes that this decision will strengthen the platform’s position in the other markets.
Glovo operates in 23 countries across Europe, Central Asia, and Africa, with Africa being a key region for the company. It has a strong presence in countries such as Ivory Coast, Kenya, Morocco, Nigeria, Tunisia, and Uganda.
The company noted that it remains committed to its operations in the remaining countries where it currently operates and believes that this decision will strengthen the platform’s position in the other markets.