Retailers love Tu B'Av - except in one sector
Globes presents an index examining the volume of credit card purchases in Israel. Phoenix Gamma data points to increases in most consumer sectors thanks to the holiday of love, except for the food sector.
This year, too, Tu B'Av did not disappoint retailers: in the week that included the day known as "Valentine's Day," increases were recorded in almost all prominent consumer sectors in Israel.
The categories that saw the sharpest surge are related to the date itself - jewelry, fashion, cosmetics, and flowers, and the strongest day was Thursday - according to data from the Phoenix Gamma index, which examines credit card activity and consumer behavior in the retail sectors in Israel.
The most significant surge was recorded in the revenue turnover of the jewelry sector - which rose by 70% compared to the previous week, mainly thanks to purchases in physical stores. The average purchase amount in these stores stood at 1,498 shekels, compared to only 804 shekels online. In contrast, in the flower sector, which recorded an increase of about 30%, online was responsible for the main growth - with a 60% jump in purchase volumes. The average purchase amount in the sector stood at 211 shekels.
The fashion and footwear sector, which had recorded declines for several consecutive weeks, is recording a 23% increase in purchase volumes this week compared to the previous week, stemming mainly from a 25% increase in the number of transactions. It is possible that the influence of end-of-season sales is evident here.
The only sector that recorded a decline in purchase volumes this week compared to the previous week is the food sector (-5%). A possible explanation, according to Phoenix Gamma, is that consumers shifted part of their weekly expenditure budget from home food to entertainment and restaurants for the occasion of Tu B'Av (the restaurant sector rose by 12%).
"July was a very strong shopping month in Israeli retail and showed increases in most sectors," notes Nadav Lachmani, CEO of Control from the Phoenix Gamma group. "Tu B'Av continued to establish its status as one of the most prominent consumer dates in Israel, and we saw this well in a number of sectors. Despite the economic and security challenges, it has been proven again that when Israelis have a reason to celebrate, they go out to buy and spend time."
