Zara Home Considers Future in Israel Amid Store Closures and New Shipping Fees
Translated & summarized from N12 by baba
Zara Israel is evaluating the future of most of its Zara Home stores following the closure of its Beer Sheva branch due to weakening sales. The company has also introduced a 14.90 shekel shipping fee for all online orders, removing the previous free shipping threshold. Additionally, Zara products in Israel are reportedly 35%-50% more expensive than in the Netherlands, with price differences reaching hundreds of shekels.
The story in 5 lines · by baba
- Zara Israel is reviewing the operational future of most of its Zara Home stores.
- The company recently closed its Zara Home branch in Beer Sheva due to declining sales.
- A new 14.90 shekel shipping fee applies to all online orders from Zara and its sister brands.
- The previous free shipping option for orders over 199 shekels has been eliminated.
- Zara products in Israel are 35%-50% more expensive than in the Netherlands, analysis shows.
Zara Israel is reportedly considering the future of most of its Zara Home sub-brand stores in the country, according to sources speaking to Channel 12 News. This comes shortly after the closure of the brand's branch in Beer Sheva's Azrieli Mall, which industry insiders attribute to declining sales in the home goods category. The company is now evaluating the continued operation of its stores located in the Ayalon Mall in Ramat Gan, Big G'alilot, and TLV in Tel Aviv.
In parallel, customers ordering from Zara, for both fashion and home goods, have encountered a new policy implemented at the beginning of October: shipping fees are now applied to all online orders. Previously, free shipping was available for orders exceeding 199 shekels. Now, all brands under the Gottex Group, including Zara, Pull&Bear, Massimo Dutti, Bershka, and Stradivarius, are charging 14.90 shekels per package, with the free shipping threshold eliminated.
Furthermore, an analysis by the Israeli shipping company Redbox Parcel reveals significant price discrepancies for Zara products in Israel compared to international markets, even before factoring in shipping costs. For several items examined, prices in Israel were found to be 35% to 50% higher than in the Netherlands, even after the addition of VAT. These price differences can amount to hundreds of shekels; for instance, a long plaid trench coat costs 799 shekels in Israel versus 571 shekels in the Netherlands, and a leather printed shoulder bag is priced at 799 shekels in Israel compared to 529 shekels in the Netherlands. Zara Israel did not provide a comment on these developments.
