Delivery service Glovo announced today it has raised €450 million (~$528 million USD) in Series F funding. The round was led by Lugard Road Capital and the Luxor Capital Group, with participation from returning investors Delivery Hero, Drake Enterprises, and GP Bullhound.
Barcelona, Spain-based Glovo says that this fundraise — its largest to date — will go towards expanding Glovo’s reach in the 20 markets in which the company already operates. In particular, the company will expand its Q-Commerce, aka ghost convenience store, division in these areas.
Customers order online from these convenience stores, which carry food and household items and deliver goods to customers in 30 minutes or less. Glovo launched its concept of the dark convenience store delivery in 2019 as a way to stand out from other delivery services, most of which were focused primarily on restaurant food at the time. Glovo said today it can provide delivery in 10 minutes or less in some urban areas, and that it anticipates “a permanent shift in consumer habits towards same-day and instant delivery.”
Recent funding in the realm of super-quick delivery suggests the same. In Europe, that includes Berlin-based Gorillas, which raised $290 million in March, Italy’s Everli, which just raised $100 million, and Rohlik, a Czech Republic-based company that recently nabbed $230 million. Activity (and investment) is equally big in the states, notably with Fridge No More’s $15.4 million fundraise and a whopping $1.5 billion for GoPuff last month.
Glovo plans to have 200 dark convenience stores running by the end of 2021. Currently, they are in Barcelona and Madrid in Spain as well as Lisbon, Portugal and Milan, Italy. Future stores are planned for Valencia, Spain; Porto, Portugal; Rome, Italy; and Bucharest, Romania.
As part of this q-commerce growth, Glovo will also build up its deals with major supermarkets. Right now, its roster of stores includes Carrefour, Continente, and Kaufland.