Economy10:03 · 13m ago

15 Years After Israel's Cottage Cheese Protest, Only Consumers Failed to Learn the Lesson

WallaCenter
Translated & summarized from Walla by baba
The story · English

Fifteen years ago, in June 2011, a consumer protest against the high price of cottage cheese erupted in Israel, sparked by a Facebook post urging Israelis to boycott the product. The movement quickly gained momentum, culminating in mass demonstrations on Tel Aviv's Rothschild Boulevard, where activists and young people protested against the high cost of living under the slogan "B is for Home." The protest leaders became overnight heroes, drawing support from politicians and famous singers who performed for free at the rallies.

The protest alarmed major players in the food industry, including producers, importers, and retailers, as well as traditional media and political establishments, who were unsettled by the digital platforms enabling the consumer movement. In response, Prime Minister Benjamin Netanyahu established the Trachtenberg Committee in August 2011, which submitted recommendations in September. Despite promises, only some measures were implemented, and many faded over time.

The cottage cheese price remained stable for nearly 12 years, even as the cost of living rose sharply, especially after February 2022 due to increased raw material prices following Russia's invasion of Ukraine. The food industry learned to justify price hikes with rising costs, but price drops never translated into lower consumer prices. Media outlets reduced coverage of economic consumer issues, and political actors began deploying bots and fake profiles to influence public discourse.

However, the one group that failed to learn from the protest was the consumers themselves. Subsequent boycotts of expensive products failed to gain traction, and the cottage cheese boycott eventually collapsed about two years ago. Factors such as increased food consumption during COVID-19 lockdowns, a culture of home dining and upgraded hospitality, and supermarket marketing tactics contributed to consumers continuing to pay high prices without effective resistance.

Despite advances in consumer savvy in other areas like travel and insurance, Israeli shoppers remain vulnerable to supermarket pricing strategies and promotions. The article concludes that while Israelis may be savvy in some consumer domains, when it comes to food prices, they remain "a nation of suckers," continuing to pay high prices without sustained collective action.

Read the original at Walla
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