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Glovo invests EUR7 mln in development of network of micro fulfillment centers

KYIV. Oct 13 (Interfax-Ukraine) – The Glovo courier delivery service is investing EUR7 million in the development of a network of micro fulfillment centers.

According to the company’s website, there are already 14 micro fulfillment centers operating in Ukraine in Kyiv, Kharkiv, Dnipro, Odesa and Lviv. By the end of 2021, the company plans to launch seven more Glovo Express locations in the largest cities of Ukraine.

The main goal of the company is to provide 80% or more coverage of cities with micro fulfillment centers – today the Glovo Express locations launched in the capital cover about 60% of the city’s area.

In order to expand the network of micro fulfillment centers, the company’s investments in Ukraine amount to about EUR7 million, including for the renovation and rental of premises.

"We are distributing investments into several stages. The first is the launch of 21 Glovo Express locations to work out a working model. At the second stage, we plan to increase the number of micro fulfillment centers, and the final one is sufficient coverage in cities to implement delivery in 15 minutes," Dmytro Rasnovsky, the general manager of Glovo in Eastern Europe and Central Asia, said.

According to the company’s statistics, the greatest demand for orders from the Glovo Express bubble now falls on the evening, and the check of the goods basket averages UAH 230.

"The number of orders from our micro fulfillment centers is growing every week by 30%, and two locations are already receiving consistently from 150 orders per day," Rasnovsky said.

Glovo is based in Barcelona and operates in more than 650 cities in 22 countries on three continents: Europe, Central and South America, and sub-Saharan Africa. More than 2.5 million consumers use Glovo every month all over the world, orders are delivered by more than 51,000 couriers, and the number of associated partners reaches 25,000.

As reported, in June 2021, Glovo announced the opening of the company’s first technology hub in Eastern Europe in Kyiv.

In Ukraine, the Glovo service began operating in October 2018; it is represented in 29 cities.