Israel

Other pet food is set to register current value growth in Israel in 2024. Along with the prices of dog and cat food, prices of other pet food rose sharply in the latter part of the review period. The rise in prices started in the pet specialist…

Full-service restaurants did not avoid the significant wave of price rises seen throughout the consumer foodservice industry at the end of the review period. Restaurants again saw significant price rises in 2023, as the price of dairy continued to…

There was a price increase for raw milk in the Israeli market in 2023. After prices rose for consumers in supermarkets, suppliers also increased prices for restaurants. In May 2023, Tnuva announced a 4.6% price hike for dairy products that are not…

Overall, the tissue and hygiene market in Israel navigated security and political uncertainties in 2023, which affected both consumers’ spending and away-from-home tissue related to consumer foodservice and travel. At the same time, the market…

Retail adult incontinence saw significant current value growth in Israel in 2023. The price increases in retail adult incontinence products at the end of 2022 and in 2023 had a moderating effect on the category’s dynamic volume growth, as, in the…

Men’s grooming saw double-digit current value growth in Israel in 2023. There are many articles published relating to hair care and personal grooming, but traditionally these have mostly been geared towards women. However, as men's grooming has…

Nappies/diapers/pants saw current value growth in Israel in 2023. The Israeli Government attempted to reduce the prices of many goods, including nappies/diapers/pants, by passing the Import Reform in May 2022. As a result of the reform, products that…

Small local grocers remained dominated by unnamed “others” in Israel in 2023, with only two players noted by name – Nizat Haduvdevan Kanfei Nesharim Ltd and Anise Teva Ltd. However, Anise Teva health food stores has been involved in the controversy…

Sales of home products in Israel in 2023 were being supported by the surge in demand for housing. Indeed, according to local news reports, the last quarter of 2023 saw home prices rise, which demonstrates a surge in demand for housing. In turn, this…

General merchandise stores struggled in Israel in 2023, due to decreased footfall in the areas where these stores are located. This is due to the ongoing geopolitical unrest in the country, with many consumers re-embracing e-commerce platforms as…

With the rising cost of living and the increased prices of products, limited-service restaurants continued to raise prices in 2023. In July, Pizza Hut and Domino's Pizza announced price hikes - Pizza Hut by an average of NIS5 per family pie and…

As was the case for most areas of consumer appliances, microwaves saw prices rise in 2022 and 2023. As well as the inflationary pressures faced by most categories, the increase in prices seen in microwaves was partly driven by the introduction of…

Rising awareness of healthier ingredients and overall health and wellbeing continued to influence consumers’ purchasing decisions in 2022. In particular, there were an increasing number of players highlighting locally produced snacks that utilise…

The ultra-Orthodox community expressed annoyance with the tax placed on sweetened soft drinks on 1 January 2022. With a tax on plasticware also in place, this community believed that these measures were weighted against lower socioeconomic groups,…

In 2023, the Israeli supermarket chain, Shufersal, launched its own line of RTD coffee. The private label coffee contains fresh milk, like Tnuva’s launch of Ice Coffee in a cup, and the retailer advertises that it uses 100% Arabica beans. Shufersal…

The tax on all sweetened beverages was removed at the end of March 2023, with the Ministry of Health requiring retailers to lower prices within three days of the tax being removed. The removal of the tax led to the lowering of prices in the…

In 2023, prices have continued to rise in the packaged food and beverages market, and this has impacted coffee as well. This has largely been due to the high rate of inflation, with rising costs of transportation, energy and raw materials, and…

In 2022, Israel’s hosiery sales were boosted by a protracted winter, which ended much later than usual, and retail stores adapting to the weather and continuing to push their winter products with bigger discounts. On the other hand, 2023 saw…

Seasonal sales in 2023, were impacted by unfavourable weather conditions, leading to limited and delayed consumer purchases of apparel accessories. 2023 saw unfavourable weather, with an extremely hot winter 2022/2023 leading consumers to delay…

In early 2023, the Israeli government is set to mandate Discount Bank to divest its credit card business, Visa Cal, aiming to enhance competition within the credit card market. This move will introduce a new player to the credit market, fostering a…

The increasing prevalence of charge cards issued by non-bank entities in 2023 is significantly impacting the usage of charge cards. The convenience and security offered by digital wallets pose a threat to credit card usage. The rapid growth of…

Rx/reimbursement adult incontinence saw growth in Israel in 2023. The National Insurance Institute of Israel encourages the elderly to remain at home in their communities. For this reason, it grants long-term care benefits to those who choose to stay…

Although the average unit price of vacuum cleaners increased in 2022 and 2023 driven by the introduction of new, more sophisticated models, there was also an increase in competition that led to the availability of less expensive middle range options.…

Prices increased by 10-15% for most brands in late 2022. In anticipation of this, in the first and second quarters of 2022, distributors placed large orders ahead of the price increases. At the same time, consumer demand slumped, which meant a…

Overall, the consumer appliances market in Israel was navigating political uncertainties in 2023, while embracing change through regulatory reforms and an emphasis on energy efficient technologies. After the big surge in sales with the COVID-19…

The cost of living has continued to rise in 2023. Israel's rate of inflation reached 5.3% in January 2023, the highest since 2008. Housing prices rose 20.3% in 2022. Electricity prices rose by 8.6% in August 2022 and, as the price of coal continued…

Prime energy drink entered the Israeli market in 2023. Due to its popularity on TikTok, the drink has been very popular from the start. The strong role of social media in the brand’s expansion – and, indeed, its development, in which the YouTube…

The staple foods market was characterised by strong price rises in 2023. Following increases in the prices of dairy, all major players announced price increases in the packaged food market. The price of supervised breads increased for the second time…

In 2023, Israel experienced a notable surge in debit card usage as more individuals opted to pay with credit cards instead of cash. The number of debit cards in circulation increased remarkably. Furthermore, the volume of transactions using debit…

The wound care category is seeing strong growth for the third consecutive year in Israel, with normal lifestyles driving everyday demand for these products. Sticking plasters/adhesive bandages has seen a strong uptick in sales in 2023 after a…

The health and wellness trend has accelerated in Israel since the COVID-19 pandemic, with more people interested in adopting healthier regimes. This led to an increase in demand for vitamins, which continues to drive growth in the sales of vitamins.…

Smart wearables is set to be the most dynamic performer within wearable electronics in volume growth terms in 2023. Mainly represented by smartwatches, the category has continued to benefit from increasing appreciation for the convenience,…

Consumer electronics in Israel is set to record another solid performance in volume terms in 2023, with growth expected to be up marginally from 2022. Together with a rapidly expanding population and sustained growth in the number of households in…

Appliances and electronics specialists in Israel continued on a pattern of normalisation in 2023, aligning with the global trends of correction after the surge in sales seen during the pandemic lockdowns, as consumers focused on creating the optimal…

The tax on all sweetened beverages was withdrawn at the end of March 2023 and the Ministry of Health required retailers to lower prices within three days of the tax being removed. The removal of the tax, which was marketed as lowering the cost of…

Childrenswear has faced various headwinds. The several increases in interest rates and high inflation, which averaged at around 4.3% in 2022 and 2023, compounded by the political turmoil revolving around the government’s contentious judicial reforms,…

In November 2022, Unilever increased the prices of cereal for retailers. These increases went into effect over the succeeding three months. In May 2023, Osem announced a price rise for its products, including cereals, by an average of 4.7%. In May…

In 2023, the Bank of Israel implemented a significant benchmark interest rate hike. This resulted in a sharp increase in mortgage payments, impacting individuals who hold mortgages and loans. The aggressive interest rate hikes have escalated mortgage…

The government has removed customs taxes for certain imported cheeses, such as soft cheeses with a fat percentage over 5%. Previously, these cheeses were taxed at ILS8.04-13.21 per kg. The customs tax is mainly set to be removed in two stages. Half…

The return to relatively normal patterns of eating out at restaurants, combined with more stressful on-the-go lifestyles, is leading to an increase in digestive health issues in 2023. In retail volume terms, there is a modest increase in sales of…

Sales of imaging devices in Israel have continued to fall sharply in 2023, with the digital cameras and digital camcorders categories both poised to register double-digit declines in volume terms. Demand for these product types has been shrinking for…

Premium beauty and personal care saw double-digit current value growth in Israel in 2023. Overall, the premium trend slowed at the end of the review period, as the disposable income of local consumers declined and there was a growing willingness to…

Apparel and footwear specialists in Israel are those notably affected by macroeconomic factors in 2023, with a notable rise in import costs and concurrent increases in essential family expenditures such as housing, food, and gas. Additionally,…

The tax on all sweetened beverages was removed at the end of March 2023, as a result of opposition from the ultra-Orthodox community. The Ministry of Health required retailers to lower prices within three days of the tax being removed, with the…

Edible oil prices continue to rise as a result of both local and domestic pressures and high inflation, which drives up the cost of amenities essential for manufacturing, such as water and electricity. Recent droughts and poor sunflower seed harvests…

Dietary supplements is a sizeable product area in Israel, only second behind analgesics, and it is expected to register strong current value growth in 2023, and the highest rate during the review period. The COVID-19 pandemic has accelerated the…

The return to normal lifestyles out of the home is driving retail volume and current value sales of analgesics in 2023. Adults and children alike are more exposed to common colds and viruses requiring pain relief. Children in school are no longer…

With the World Health Organisation declaring the pandemic to be over in early 2023 and with COVID-19 restrictions no longer in place the outlook for travel in Israel is much brighter. This has led to a surge in inbound arrivals and outbound…

Airlines have rebounded strongly in 2023 with sales seeing a full recovery in current value terms while passenger numbers are expected to come close to pre-pandemic levels by the end of the year. With the pandemic declared over by the World Health…

While volume sales of televisions in Israel have continued to increase in 2023, growth looks set to be slightly lower than that recorded in 2022. This is partly explained by maturity, comparatively long replacement cycles and the fact that many…