The annual ShoppingIL initiative, spearheaded by Google Israel, showcases 3,000 domestic businesses spanning diverse sectors. Reflecting a surge in local entrepreneurship, 16% of participating ventures were established since the outbreak of the war, while approximately one-third manufacture their goods directly in Israel.

About half of the merchants participating in this year's event are micro-businesses employing fewer than five workers. Concurrently, 3% of participating businesses are at risk of closure and fighting for survival.

This year’s lineup spans retail brands, electrical chains, fashion outlets, food manufacturers, and automotive importers. Among the participants, the Histadrut’s "Beyachad Bishvilcha" (Together For You) members' club is offering discounts on home products, athletic brands, coffee machines, and more, with prices starting at NIS 22.

While Google's event fires the opening salvo for the shopping season, a succession of global sales events is set to follow: Singles' Day on November 11, followed by Black Friday and Cyber Monday later in the month.

Despite the commercial excitement, consumer sentiment remains starkly subdued. A survey by the Histadrut Consumer Authority, conducted via the Geocartography Institute, found that 48% of Israelis expect to forgo planned purchases due to financial pressure. Furthermore, 44% of respondents noted that their current financial situation will force them to limit their spending to essential items only.

Google.
Google. (credit: REUTERS)

In terms of budgets, 63% of respondents plan to spend no more than NIS 1,000. Apparel and footwear lead shopping lists at 68%, followed by electronics at 48%, and home decor items at 43%. However, consumer skepticism remains high: Half of those polled reported that they do not trust the advertised discounts, a sentiment that directly shapes buying habits. Additionally, 60% of respondents reported receiving lower-quality products than expected in past sales - a 7% increase over last year's figures.

The survey also highlighted the impact of local manufacturing and import taxes. A majority of 62% indicated that a product's country of origin influences their purchasing decision. Meanwhile, 39% noted that maintaining the current $75 VAT tax exemption cap limits their ability to increase spending, with most expressing support for raising the tax-free limit to $150.

Barak Regev, Managing Director of Google Israel: "This year’s event is much more than a shopping celebration. It is a symbol of resilience and our commitment to the local economy and Israeli entrepreneurs. All of us at Google have been committed for 13 years to continuing to provide them with the most advanced technological tools."

Adv. Yaron Levinson, CEO of the Histadrut Consumer Authority: "The survey findings show that even during a period associated with giant sales and significant discounts, the public continues to feel the effects of the cost of living. Consumers are looking to save, but at the same time have become more cautious, calculated, and suspicious."

He added: "We call on the public to conduct price comparisons before purchasing, check shipping costs and return policies, and not rely solely on the discount percentage shown in advertisements. Smart consumerism starts with prior research and can save consumers hundreds of shekels, even during sale periods."