Like other sectors in Israeli society, such as the Russians and haredi (ultra-orthodox), the Israeli Arab sector is unique when it comes to shopping decisions, consumer habits, and purchasing conduct. The Arab market has a culture, customs, traditions, and rules that must be learned and given special attention. Some peak seasons include Ramadan and the Id el-Adha (Feast of the Sacrifice) for Muslims, and Christmas and New Year’s for Christians, and for followers of both religions, the current back-to-school period.
It is worthwhile for both Israeli and international companies to look at this market and consider its huge unexploited potential. The Israeli Arab market is mostly young: 500,000 children aged 3-18 are returning to school, and account for 41% of all consumers in the Arab market. 19% of these children are going to kindergarten, 50% to primary school, 23.4% to junior high, and 15% to high school.
This is a mass of consumers that constitute a first-class business potential for companies and brands in a number of fields: backpacks, jeans, sneakers, branded exercise books and notepads, sports clothing, and cold cuts. A top fad this year is an Arab Barbie, called “Fulla”, complete with fashion and school accessories.
One of the characteristics of this target market is brand consumption. Some Israeli advertisers and brand marketers have already spotted the potential in the special Arab back-to-school market and are conducting massive marketing campaigns to penetrate their brands effectively. Backpack makers such as Outdoor, Kal Gav Ltd., and Modan have special products. Blue Square Israel Ltd.’s (NYSE: BSI; TASE: BSI) Mega supermarket chain and Hamachsan Hamerkazi Kfar Hashaashuim Ltd. have launched a joint back-to-school campaign. So too have Tnuva Food Industries Ltd. and deli foods Maadaney Mizra Ltd., and Soglowek Ltd., as well as Levi Strauss & Co.
A growing number of Israeli Arab pupils are aware of consumer brands as they are part of cosmopolitan consumer society. Arab children also want to go to school in Puma, Diadora, or Adidas sneakers and to belong to the high class on par with their peers. A marketing manager who says that brand consumption in the Arab sector is not “our school” is welcome to visit schools in Nazareth or Umm al-Fahm to see the marketing marvel for himself.
The author is the CEO of New Brand Strategic Consulting and Public Relations, which specializes in the Arab market and consumer.
Published by Globes [online], Israel business news - www.globes.co.il - on August 30, 2007
© Copyright of Globes Publisher Itonut (1983) Ltd. 2007