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Fast Delivery: Flink Takes Over in France

“Fast Trade”, the sector of fast home delivery of purchases, continues to fade. The French subsidiary of the transport company Flink, which employs several hundred employees, was declared in receivership by the Commercial Court of Paris on Monday. The German parent company “decided to exit the French market,” management said.

In doing so, he is clearing the way for his Turkish rival Getir, whose French subsidiary was also recently declared receivership but is now the only fast trading player to have declared its desire to continue operating in France.

For Flink, “the reasons are mostly normative,” explained Flink France general manager Guillaume Luskan, who insisted on highlighting “all the progress made towards profitability in France.”

“Dark shops”, warehouses, not shops

Thanks to Covid-19 restrictions, Quick Commerce offers delivery of everyday goods like those sold in a store in a few minutes. He is heavily criticized by elected officials who denounce the emergence of “warehouse cities”, the inconvenience to local residents, and even the development of a “lazy economy”.

In March, the sector suffered a major setback when the government ruled that “dark warehouses” – rooms that store groceries for delivery – were warehouses and not businesses, paving the way for city halls to regulate the activity. Indeed, these premises may be forcibly closed if the local urban development plan (PIU) prohibits this type of activity at their address.

Flink operates 19 “dark shops” in 9 French cities, and “about two-thirds of this activity comes from stores,” Luskan said. “Our model works from the moment we are close to our customers,” and with the new rules, “it’s no longer possible,” lamented the general manager, who clarified that “the goal is to find a buyer.”

“We were in the process of building a solid model”

At the end of April, the British economic daily Financial Times, citing sources familiar with the situation, confirmed that negotiations were underway for the Getir group to take over its German competitor Flink. Asked by AFP at the time, Gethir declined to comment.

Flink France said this Monday that it “was focused on preparing the bankruptcy proceedings file.” “We were in the process of building a sustainable model,” with Carrefour in particular as an “investor and key partner,” laments Luskan. Flink, founded in France for two years, bought its French competitor Cajoo in May 2022, which it took over.

Source: Le Parisien

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