Sales through drugstores/parapharmacies and chemists/pharmacies witnessed strong growth as a result of the pandemic in 2020, as they were considered to be essential stores and were permitted to remain open during the lockdown periods. Many consumers therefore stocked up on essential medication and health-related items to prepare themselves in case of exposure to the virus.
Optical goods stores and beauty specialist retailers were two of the hardest hit channels in 2020 due to being classified as non-essential, resulting in double-digit value sales declines. Even as non-essential businesses reopened, many consumers either remained wary of visiting these stores for fear of exposure to the virus, or saw no need to purchase colour cosmetics and beauty products due to major events such as weddings being cancelled, ongoing remote working or lack of socialising opportunities.
Super-Pharm (Israel) retained its overall strong leadership of health and beauty specialist retailers in 2021 due to its dominance of the largest value sales channel, drugstores/parapharmacies. Amongst other strengths, the company’s commanding position is bolstered by its high number of outlets in prime, convenient locations that make it easier for busy consumers to shop, its strong distribution network, and its strong customer club which promotes customer loyalty.
Health and beauty specialist retailers is predicted to record a stable performance in value sales growth terms (at constant 2021 prices) as Israel continues to reopen and consumers regain their confidence in visiting physical stores for various health or beauty needs. The channel witnessed a substantial number of sales shift to e-commerce, with consumer health e-commerce in particular set for further dynamic growth.
In value sales terms (at constant 2021 prices), beauty specialist retailers will struggle to fully recover from the significant declines of 2020, and therefore sales figures are predicted to remain lower than pre-pandemic levels. While consumers will pay increasing attention to their appearance due to greater mobility outside of the home, and the gradual return to the office and socialising, which is likely to drive sales though beauty specialist chains such as Laline and Sabon, stronger growth will be limited by the further share gain of online sales, with the channel set to be outperformed by beauty and personal care e-commerce over the forecast period.
While Super-Pharm (Israel) Ltd is likely to retain its convincing leadership of health and beauty specialist retailers over the forecast period due to its expansive network of drugstores/parapharmacies and attractive offers and promotions, it is also set to come under further pressure from smaller players that regained some lost share in 2021, and competitors such as Shufersal Ltd with its Be chain. While Be has less negotiating power with suppliers compared to the leader, Shufersal is likely to intensify competition not by promoting low prices but by emphasising the engaging shopping experience Be offers to consumers.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
This report comes in PDF with additional info in Excel included.
Understand the latest market trends and future growth opportunities for the Health and Beauty Specialist Retailers industry in Israel with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Health and Beauty Specialist Retailers industry in Israel, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
This is the aggregation of chemists/pharmacies, drugstores/parapharmacies, beauty specialist retailers, optical goods stores and other healthcare specialist retailers.See All of Our Definitions
This report originates from Passport, our Health and Beauty Specialist Retailers research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extraction Free!