DoorDash exits 4 markets, including Japan, to focus on growth elsewhere
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DoorDash said Wednesday that it’s ending operations in Qatar, Singapore, Japan and Uzbekistan.
The San Francisco-based delivery company said the decision comes after a monthslong review of country-specific conditions. DoorDash said it wants to focus its investments on places were it can build sustainable scale and long-term market leadership.
“Our priority is supporting our teams and partners through an orderly transition as we focus on the geographies where we can offer the best products and build for long-term success,” said Miki Kuusi, the head of DoorDash’s international division, in a statement.
DoorDash was a latecomer to some of the affected markets. The company began operations in Japan in 2021, five years after its rival Uber Eats. Deliveroo, a U.K. delivery company that was acquired by DoorDash last year, has only been operating in Qatar since 2022. That’s almost a decade after Dubai-based Talabat began making deliveries in Qatar.
DoorDash also faces stiff competition from entrenched rivals like GrabFood and Foodpanda in Singapore and Russia-based Yandex Eats in Uzbekistan.
DoorDash said it doesn’t expect the actions to impact its financial guidance. The company’s shares rose 5% in midday trading.
DoorDash is the dominant delivery provider in the U.S., but it has been playing catch-up to Uber Eats internationally. In addition to its purchase of Deliveroo, DoorDash acquired Finnish delivery service Wolt in 2021 to help it expand into Europe.