Retail Chains Face Wary Consumers

YERUSHALAYIM -

Retail chains are girding for a challenging fall season as Israeli consumers are reported to be increasingly cautious about making purchases in the current economic climate, according to Haaretz.

A study by Geocartography Knowledge Group commissioned by the Israel Consumer Council found that 65% of the survey’s 500 respondents compare prices before buying an item, and that 50% named price as the primary factor in making a purchase — up 20% over last year.

But retailers were noting another datum, that 38.5% of those surveyed said they use  internet, radio and newspaper ads to plan their grocery shopping.

The survey also confirmed that the traditional wisdom of the importance of location still applies. Some 41% of respondents said that they did their grocery shopping at a supermarket located within two kilometers of their home, while 53% said they did their grocery shopping up to three kilometers from their home.

The survey found 42.5% of religious Zionists and chareidim  preferred to shop within one kilometer of home.

Those who earned below average wage also appeared to travel less to shop, with 52% of them saying they buy their groceries at a store nearer than two kilometers away, and 37%, from a store nearer than a kilometer away.