Glovo to invest 3.5m euros in operations in Ghana

Glovo, a leading global on- demand delivery company, is to invest 3.5 million euros in its operations in Ghana next year.

Co-founder of Glovo, Sacha Michaud who disclosed this at press conference in Accra on Tuesday, said the company was investing 1.7 million euros in the company this year.

“The Ghanaian market is a promising market for Glovo and we will continue to invest to reach all the regions of the country and bring convenience to people,” he said.

Glovo, a technology delivery company established in 2015, with headquarters in Barcelona, Spain, entered the Ghanaian market in March this year.

Mr Michaud said Glovo entered the Ghanaian market to help provide the convenience for people to order products online and be delivered to them at the comfort of their homes.

“Ghana’s adoption of digital technology and good macroeconomic prospects attracted Glovo into the country,” he said.

Mr Michaud said Ghana’s growing population and increasing internet penetration were good for business.

Ghana, he said, was among, the seven countries Glovo was operating in Africa and mentioned other markets include Kenya, Nigeria, and South Africa.

Mr Michaud said Glovo Ghana was working with about 400 partners in Accra such as pharmacies, groceries, electronics and restaurants.

“About 90 per cent of our partners are Small and Medium-scale Enterprises,” he said, adding that the company had more than 500 fleet Week-on-Week.

Mr Michaud said the order growth of Glovo Ghana services ranged between 30 and 45 per cent month-to-month since March this year.

“The value of our orders month-on-month stand at half a million euros and it is envisaged to grow between 1 and 1.5 million euros next year,” he said.

Mr Michaud mentioned difficulty in getting good quality riders with access to a bike and smartphone, poor infrastructure such as good road, high cost of internet as some of the challenges facing the company.

The General Manager of Glovo Ghana, Pearlyn Budu said it was encouraging that some of the couriers of the company were women.

She said Glovo Ghana had many partners such as food vendors, shops, pharmacies supplying them with products for serve the company’s growing clientele.

Ms Budu said Glovo Ghana had seen exponential growth since the company entered Ghana in March this year.

“We are here for a long haul and the support we have received from the government is commendable,” she said.

The General Manager of Glovo Ghana said the company was planning to expand to Ashanti Region next month.

“We are planning to enter the other regional capitals next year and will do three regions within a year beginning from next year,” she said.

Madam Budu said the company was planning to source its delivery and paper bags locally to help retain the monies used for import local and help boost local production.

The General Manager said Glovo Ghana   was collaborating with the Ghana Police Service to organized road safety training for motor riders in the country.

She said the company was helping address the unemployment situation in the country and creating employment for the youth.

BY KINGSLEY ASARE

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