Israel’s supermarkets are turning into all-purpose retail hubs
For decades, fresh produce was the first thing shoppers saw in supermarkets, but that pattern is fading fast in Israel. Discount chains such as Osher Ad, Universe, Shufersal Deal, and in some cases neighborhood branches of Yochananof, Victory, Rami Levy, and others now use the entrance area to display large volumes of non-food goods, from robot vacuums and washing machines to air conditioners, TVs, bicycles, scooters, and iPhones. The strategy is meant to pull customers in with headline deals and turn supermarkets into traffic-generating showrooms.
The most dramatic example came this week at Rami Levy Stock in Pardes Hanna, where about 1,000 cars were parked for an event showcasing 10 BAIC models, including family cars, pickups, and commercial vehicles, in electric and hybrid versions. Final prices had not been set when the article was written, but if the pilot works, more deliveries could reach Rami Levy stores. Victory says it will soon sell apartments as well. The chain plans to market selected projects at discounts of more than NIS 100,000 per home, after already receiving more than 1,000 inquiries. Shoppers will be able to view 3D renderings and floor plans in-store, sign up by paying NIS 10,000, and continue the purchase process outside the supermarket. The deposit will not be refunded if the deal falls through.
Industry experts say the broader non-food push is not new, but it is accelerating. Historically, chains sold electronics under private labels or low-end brands, yet now major names such as Samsung, Toshiba, Dyson, Dreame, Xiaomi, TCL, and Weber are appearing in supermarkets through parallel imports or direct sourcing. Carrefour says it is building a broader HOME format, with 250 to 500 square meter stores offering everything from appliances and electronics to textiles, furniture, and household goods. Michael Lobushitz said the company wants to raise non-food from about 5 percent of sales across most Israeli chains to 15 to 20 percent in Carrefour Israel, while in Carrefour’s global network the category can reach 25 to 50 percent of turnover, and 50 percent in its huge Dubai store.
The article says the trend has already changed pricing and competition. Osher Ad sold 5,000 iPhone 17 units in 24 hours in November 2025, while Victory sold 3,000, helping push Israeli iPhone 17 prices down by about 20 to 25 percent during the launch period. Non-food now accounts for about 12 percent of Osher Ad’s turnover and roughly 5 percent at Victory and other chains, compared with much higher shares abroad. The shift boosts supermarket traffic and margins, but it also pressures specialty stores, weakens Eilat’s price advantage, and raises concerns about service, warranty, safety, and overbuying. Consumer advocates warn that the aggressive promotions can trigger impulsive spending, even as the chains present themselves as fighters against the cost of living.