Preparing for the school year: fashion, mobile, and electrical appliance sales surge
Globes presents an index examining the volume of credit card purchases in Israel. Phoenix Gamma data points to increases in all major sectors and a moderation in the tourism sector.
After several weeks of summer vacation during which Israelis increased their spending on vacations and entertainment, the last week marked a change in direction. Preparations for the start of the school year and end-of-summer sales pushed the fashion, computer, and electrical appliance sectors to record the highest increases in credit card purchase volumes, according to the Phoenix Gamma index, which examines credit card activity and consumer behavior in major retail sectors.
In fact, it was a week in which all major sectors recorded increases, with the three leading sectors seeing a 12% rise.
In the fashion and footwear sector, the number of transactions increased by about 10%, and the average transaction amount stood at 189 shekels. The growth is particularly notable online: sales of basic clothing and footwear grew by about 20% online, compared to 9% in physical stores; and in boutique fashion, a 26% increase was recorded online, compared to 16% in stores.
In the computer and mobile sector, there was an equal 6% increase in the number of transactions and the average purchase amount, which reached 596 shekels. In the electrical appliance sector, the average transaction amount stood at 1,538 shekels. However, compared to the same period last year, the purchase turnover in the electrical sector is still about 13% lower.
At the same time, the pace in the tourism sector has moderated. Purchase turnover rose by only about 2% compared to the previous week, even though the number of transactions jumped by about 11%. The reason is an 8% decrease in the average transaction amount, a figure that may reflect a shift to shorter and cheaper vacations as the end of summer approaches.
"The data this week reflects a change in the public's consumption focus. After seeing increased spending on vacations, tourism, and entertainment in recent weeks, this week's trend points to a shift in the public's focus and a concentration on preparing for the return to school, a trend expected to intensify as we get closer to September 1st," said Nadav Lachmani, CEO of Control from the Phoenix Gamma group.
