At a time when the cost of living is evident in all areas of life and interest rates are soaring every month, there is of course an impact on consumption, which is considered leisure consumption.
Among the effects on consumers' pockets are the field of malls and various entertainment venues, which has caused them to launch attractive promotions in order to attract customers. Mall managers across the country spoke about the impact, which has already begun, and tried to predict the near future.
According to Eran Amatzia, VP Marketing and Operations Management at Big Shopping Centers, "We still do not feel a catastrophe, which according to common sense should have been due to the increase in interest rates and everything that is happening in the market, which leaves less money available. Until a while ago, sales continued to rise as much as they should. In the past two months, a decline of 1-2% has been identified. It's not something dramatic and it's obvious.
"There's nothing that has a dramatic decline. The electronics and electrical sectors have been hit harder than others. Maybe it has something to do with the fact that everyone bought and bought during Corona. In fashion it's pretty much the same. There are no dramas in the restaurants either. People keep going out and eating out."
The economic situation is noticeable."
Naama Belitsky, CEO of Mevasseret Mall, notes that the economic situation is noticeable. "Whoever says it's not noticeable either doesn't see reality or refuses to see the current situation. People have less money, and beyond that, they're also more picky about what to spend the money on.
Dizengoff Center,
"The issue of luxury, such as eating out, becomes difficult for quite a few families. Buying is back to being a matter of need, to live, and less a matter of recreation or pampering. If you look back two or three months, there's a decline of 7% or more."
Dan Piltz, CEO and co-owner of Dizengoff Center, also talks about the effects. "In the first quarter of the year, there was an increase compared to last year. If you look at the months of April and May, these are figures similar to those of last year and not an increase.
"It should be noted that almost 2,000 square meters of commercial space are closed due to renovations. It's not a lot, but it's 5% of trading. Nike is adding floor and Adidas is adding floor, and the chin is at 100 percent capacity.
"In terms of redemptions, some businesses are a little bit more and some are a little less."
"Don't see a decline"
According to Uri Smith, CEO of TLV Mall, "From the perspective of a citizen and as CEO, I see that the national mood due to the rift and division, the security situation and the economic situation is definitely felt, and this is reflected in malls in general. We hear about business owners from various places who are struggling."
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