Glovo, a food delivery giant in Africa, has announced that it will be exiting the Ghanaian market on May 10, 2024, citing profitability challenges and a reassessment of investment priorities.
According to Business Insider Africa, the decision to pull out of Ghana came three years after the company’s investment of $3.7 million to deepen and expand its services in the West African country.
Regional General Manager of Glovo Africa, Dima Rasnovsky, said the recent development is a result of the company reassessing its investment priorities.
The Glovo team said it would provide severance packages to its local team and riders that exceed the legislative minimum.
In addition, all couriers, partners, and customers will be effectively communicated about the new decision to ensure they are informed about the situation.
Despite the planned exit from the Ghana market, Glovo stated that it remains committed to providing top-notch service to the countries it currently operates and believes that its decision to pull out of the Ghanaian market will strengthen its position in other markets.