Demand delivery startup based in Gurgaon, Grofers has shut down operations in 9 cities – Bhubaneswar, Bhopal, Nashik, Rajkot, Mysuru, Ludhiana, Kochi, Visakhapatnam, Ludhiana and Coimbatore.Grofers had a team of 20-30 people employed in these cities. The employees working in this cities have been offered a transfer to other cities.
Kshitij Torka VP Marketing at Grofers confirmed the development said that “We did not see these cities grow at the pace we expected, so we are investing in areas where we are seeing great uptake.” He added “The smaller cities are not ready for hyperlocal business yet, once they are, we will reconsider our strategy,”
Grofers in currently operational in 17 cities – Vadodara, Indore, Delhi, Lucknow, Mumbai, Pune, Nagpur, Surat, Kolkata, Kanpur, Chennai, Chandigarh, Hyderabad, Bangalore, Ahmedabad, Agra and Indor.
— Akhil Agrawal (@agrawalakhil) January 3, 2016
Grofers raised about $120 Mn (INR 780 Cr) in November 2015 by Japan’s SoftBank Corp in one of the funding round, existing investors like SequoiaCapital, Tiger Global and Apoletto Managers where also seen participating in this round.