- Russian tech giant Yandex has launched a service in London that delivers groceries to people’s doorsteps in 15 minutes.
- The service, called Yango Daily, will compete with a multitude of fast grocery delivery apps, from Istanbul-based Getir to Berlin’s Gorilla.
- Such companies have attracted hundreds of millions of dollars from venture capitalists this year.
LONDON — Russian technology giant Yandex is jumping into London’s hot grocery delivery market, with a service that sends essential items to people’s doors in as little as 15 minutes.
Yandex on Thursday said it has opened four dark stores in the UK capital – mini warehouses designed to fulfill online grocery orders. Yandex said the company’s service, called Yango Daily, has the potential to reach 1.4 million customers.
Yango Deli will increasingly compete with the hordes of grocery delivery services – from Istanbul-based Getir to Berlin’s Gorilla – that have swarmed the city over the past year.
Such companies have attracted hundreds of millions of dollars from venture capitalists this year amid rising demand for online food and grocery delivery during the coronavirus pandemic.
They have provoked backlash from older rivals in Europe, such as Deliveroo and Delivery Hero, which are investing heavily in grocery shopping. Deliveroo partnered with British retailer Morrisons to launch a 10-minute grocery delivery facility called Hop, while Delivery Hero is reportedly close to a deal to take a stake in Gorilla.
With Yandex reaching the spot, the competition in London is set to go even further. The company was already spending aggressively on grocery delivery with the launch of its local Yandex.Lavka brand and Yango Daily in France and Israel.
“The UK, and London in particular, is an exciting new market for Yango Daily, as the city adapts to the dark store model in particular,” Yevgeny Chernikov, UK general manager of Yango Daily, said in a statement.
“The densely populated capital is filled with busy professionals, young students and many others who appreciate the convenience of a fast, stress-free shopping experience.”