U.S.-based online food delivery service Postmates Inc will close its fledgling operations in Mexico in order to focus more on the U.S. market, the company said on Tuesday.
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Postmates
has offered meal deliveries in Mexico City since late 2017 but failed to notch the same level of growth achieved in the United States. According to the company’s website, the company’s service is available in more than 4,200 cities , covering 80% of U.S. households.
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“This wasn’t an easy decision for us as we’ve already dedicated two years to establishing ourselves and growing this market,” the company said in a statement to clients seen by Reuters . “Looking toward the future, we believe focusing on our sustained growth in major U.S. markets is what we should do,” the statement added.
The Mexican food delivery market is dominated by U.S. giant Uber Eats , Colombia’s Rappi , and Spain’s SinDelantal . China’s DiDi also recently launched its competing service in Mexico.
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