420 million shekels a year: The economic blow heading for many Israelis
A new report by CofaceBDi reveals growth in industry revenues ahead of the school year. How much will the average basket cost, what share do discount stores hold, and how does the low dollar exchange rate affect things? | All the data
The return of children to school desks is boosting household expenses, and the school supplies market is showing growth. According to a study conducted by the CofaceBDi group for credit risk management and business insights, the market's revenue volume is expected to grow this year by about 3% and reach approximately 420 million shekels.
Data shows that stores specializing in office supplies (such as Kravitz, Office Depot, YOLO, Hanan Stationery, and Grafos) will hold the leading market share of about 39% of revenues, amounting to about 154 million shekels. At the same time, discount stores (such as Max Stock, Zol Stock, Jumbo from the Fox group, HaStock, and Boom) continue to strengthen and are expected to capture about 35% of the market, compared to about 31% last year.
Daniela Raz-Weinreb, VP of Data and Product at CofaceBDi, explained that the low dollar exchange rate led to a decrease in import costs and made it possible to offer a wide range of attractive promotions. According to her, chains are trying to differentiate themselves through designs inspired by trends like K-pop and street art, alongside the strengthening of the drinking bottle and lunch box category due to environmental awareness and long hours spent in educational settings.
How much will this pleasure cost you? The average basket, including a backpack, stationery, notebooks, a bottle, and a lunch box, is estimated this year at about 480 shekels. The price range in the market is wide and usually varies between 250 and 750 shekels, depending on quality and brand — with a branded backpack potentially costing 300 shekels or more, and a trolley that attaches to a backpack ranging from 60 to 100 shekels.
In addition to office supply and discount stores, other players operate in the market, including toy stores (such as Idan 2000, Kfar HaSha'ashuim, HaPirate HaAdom, and Toys R Us), bookstores, food retail chains, and overseas shopping sites including Amazon and AliExpress.
