Food delivery giant DoorDash announced Wednesday it will shut down services in four international markets as part of a strategic refocus on more profitable regions.
The California-based company will cease operations in Qatar, Singapore, Japan and Uzbekistan following an extensive evaluation of market conditions in each country. Company executives say they want to concentrate resources on areas where DoorDash can achieve dominant market position and sustainable expansion.
“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,” stated Miki Kuusi, who leads DoorDash’s international operations.
The delivery service entered some of these markets well behind established competitors. DoorDash launched in Japan in 2021, arriving five years after competitor Uber Eats had already established operations. In Qatar, DoorDash’s subsidiary Deliveroo – acquired by the company last year – only started service in 2022, nearly ten years after Dubai-based Talabat began dominating that market.
The company also struggled against well-established competitors including GrabFood and Foodpanda in Singapore, while facing competition from Russia-based Yandex Eats in Uzbekistan.
Company officials said the market exits won’t affect DoorDash’s financial projections. Stock prices jumped 5% during midday trading following the announcement.
While DoorDash leads the delivery market in the United States, it has struggled to match Uber Eats’ international presence. The company purchased Finnish delivery service Wolt in 2021 and acquired Deliveroo to strengthen its European operations.
