Food-delivery app Glovo will exit the Ghanaian market this week

By our African Marketing Confederation News Team | 2024

Company cites profitability issues as it leaves less than three years after it invested US$3.7-million in its Ghana operations.

Glovo, the delivery app that operates in a number of African countries, is closing its operations in Ghana by this coming Friday (10 May). 

Photo: Glovo

The aim, it says, is to better focus on the other 20-plus markets in which it operates. These include an ongoing African presence in Kenya, Morocco, Nigeria, Tunisia, Uganda and Côte d’Ivoire. 

Glovo’s decision comes less than three years after it invested US$3.7-million to expand its services in the region. 

The African food-delivery market is proving to be a tough nut to crack for many operators. Jumia, for example, closed its businesses in seven African countries in 2023 – among them Nigeria, Kenya, Uganda and Morocco. Bolt Food left South Africa and Nigeria at the end of last year, but has remained in Ghana. 

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,” Regional General Manager for Glovo Africa, Dima Rasnovsky, said in a statement. 

“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. 

“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 the Glovo app every day.” 

When Glovo first entered Ghana in 2021, the company’s co-founder, Sacha Michaud, remarked: “The Ghanaian market is a promising market for Glovo and we will continue to invest to reach all regions of the country and provide convenience to people.” 

Trendtype, the London-based emerging markets consultancy, predicts that Glovo may consider further exits from African countries in 2024. The most likely would be Nigeria (foreign exchange difficulties and operational challenges for food-delivery businesses) and Uganda (small quick-service restaurant market). 

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Rozanne