August 22, 2011

Retailers Expect Huge Gains on Rosh Hashanah

New York…Signs of the coming Rosh Hashanah holiday are beginning to appear in many retail storage rooms as holiday SKU’s began arriving. Although shoppers are not expected to begin stocking shelves for the holiday for another month, retailers expect a banner season this year, largely because of the calendar. The retailers say that the “three-day” holiday (beginning on Wednesday night September 29th and extending through the Shabbos on October 1st) will result on a much larger basket for the holidays. The “three-day” events will be repeated in October with Succoth and later with Shemini-Atzeret/Simchat Torah. In general, say kosher food officials, there will not be much new except that they expect a 10%-15% increase over last year. Retailers say that there will be some new ko0sher foods and wines on the shelves.
Israelis Changing Habits on Foods Result in Price Decreases and More Spending on Food
Jerusalem…by Idele Ross, KT Israel Bureau Chief…The social protests in Israel demanding relief for the middle class from the spiraling cost of living have had an impact on the consumer market in a relatively short time. While the Trachtenberg committee continues to study the situation and weigh options, a number of Israeli food manufacturers have lowered prices of basic food products. Yediot Achronot newspaper commissioned the HaSuper online grocery service to compare prices for 47 popular products beginning with June 1st, when the protests started, through mid-August. Included on the list were dairy products, cereals, disposable diapers and baby formula. The service found that 15 of the products (some 32%) cost less in August; 24 of the products were priced lower by some supermarket chains and unchanged in others.

Another noticeable change is that people are spending less on entertainment and more on food and communications according to CAL, the credit card company. CEO Israel David said it's too early to call this a trend but he said it was unusual.