← All articles

Total current articles · 2,827

Supermarket Chains in Israel

Published

01In brief

Supermarket chains in Israel are a central part of the country's food-retail system, spanning national, regional, discount, neighborhood, ultra-Orthodox, Arab-sector, and specialty formats. A National Library of Israel historical account dates the country's first supermarket to August 29, 1958, on Ben Yehuda Street in Tel Aviv, where hundreds of shoppers entered as merchants protested outside. A later branch map prepared ahead of the Tishrei holidays counted 1,667 chain food-store branches: Shufersal led with 327, followed by Carrefour with 150 and Rami Levy with 102; together they represented about 35% of branches. Because reports group parent companies and sub-brands differently, branch totals should be read as dated snapshots rather than as an exhaustive official registry.

02Overview

Israel's chain-grocery market combines large national groups with regional, neighborhood, religiously targeted, Arab-sector, and specialty operators. The major groups use multiple banners to distinguish discount hypermarkets, urban stores, enhanced-kosher formats, and neighborhood outlets.[2] The market is therefore broader than a simple ranking of parent companies: one survey may group sub-brands with their owners, while another may cover only selected or publicly traded chains.[2][3]

03Origins

The National Library of Israel's historical account describes protests and campaigns against the supermarket concept in 1957–1958, with shopkeepers and retailers arguing that the new format would eliminate their livelihoods. The account renders the merchants' central slogan as: "The supermarket will deprive people of their livelihood."[1]

That account dates Israel's first supermarket to August 29, 1958, on Ben Yehuda Street in Tel Aviv. It recounts that hundreds of consumers rushed inside while hundreds of merchants demonstrated outside, with the confrontation escalating to physical violence and stones thrown at the store's windows. It says supermarkets subsequently opened in Haifa, Jerusalem, and other Israeli cities.[1] A separate Encyclopedia.com business history places the first supermarket's appearance more generally in the 1960s, creating a chronology discrepancy that the cited material does not resolve.[4]

By 1999, Israel had approximately 400 supermarkets, averaging 600 square meters of floor area, with some larger stores covering 1,000–2,000 square meters.[5] More than half of food sold to non-institutional consumers passed through supermarkets and similar retail chains, while open markets, small groceries, and specialty food stores continued to serve parts of the market.[5] The two main chains identified in that historical snapshot were Supersol and Blue Square Co-op, which together accounted for 50% of supermarket sales by volume.[5]

04Blue Square and the Early Chain Landscape

Through the 1990s and into the early 2000s, Blue Square Israel operated several distinct retail banners. Its primary chains were Super Center, Super Co-Op, and Hyper CoOp, which together accounted for the bulk of the company's retail portfolio.[4] Blue Square also operated Shefa Mehadrin, a supermarket chain catering specifically to Israel's ultra-Orthodox population, and Mega Outlet, a low-priced format launched in 1999 that was preparing to open its ninth outlet by 2001.[4]

To compete with open-air markets and traditional small grocers, Blue Square developed Super Center City, a small-format store concept. It simultaneously phased out its small-format discount banner Zil v'Zol in favor of the newer format.[4] As of 2000, Blue Square reported sales of NIS 5.2 billion and was described as the country's largest retailer, ahead of its primary rival Super Sol Ltd.[4]

The corporate lineage associated with Blue Square later fed into Carrefour Israel. Ynet describes Carrefour as the successor to retail operations that passed from Co-op Blue Square to Mega and then combined with Yeinot Bitan.[2]

05Practice and Store Formats

The Israeli retail food landscape includes smaller-format neighborhood stores alongside full-sized supermarkets. A 2021 analysis distinguished "city markets" — corner stores, 24-hour minimarts, and smaller chain groceries — from larger supermarkets.[6] Examples of the smaller format included Shufersal Sheli, Rami Levy BeSchuna, Mega Ba'ir, and Tiv Ta'am; examples of larger formats included Rami Levy, Shufersal Deal, Victory, and Mega.[6]

This segment has also seen consolidation. In October 2026, Shuk Hertzel was reported to be acquiring Stop Market, with both chains continuing to operate as separate brands. At the time, Shuk Hertzel had 12 branches and Stop Market had 11, for a combined total of 23 branches nationwide. Stop Market was described as a chain established approximately 26 years earlier that operates seven days a week and emphasizes premium products in large-format stores.[7]

A personal Israel Forever account also mentions Mister Zol as the supermarket chain in the author's town, but it does not establish the chain's wider footprint or current operating status.[8]

06The Modern Sector: Major Chains

Branch-count reporting prepared ahead of the Tishrei holidays placed Shufersal first with 327 branches, or about 19.6% of chain food-store branches nationwide. Carrefour ranked second with 150 branches, or about 9%, and Rami Levy ranked third with 102, or about 6.1%; together the three groups represented about 35% of branches.[2] Globes likewise described Shufersal as Israel's largest and most dominant chain and reported that Carrefour operates through Electra Consumer Products.[3]

Founder Rami Levy wrote that he established Rami Levy HaShikma in 1976 and that its first location was a stall in Jerusalem's Mahane Yehuda market.[9] In 2015, the Foundation for Defense of Democracies reported that the chain had 32 discount supermarkets, including three in the West Bank — known by its original, indigenous Jewish name of Judea and Samaria.[10] The founder's account names stores in the Barkan, Maale Adumim, and Gush Etzion areas, while the 2015 report described the Gush Etzion branch as serving both Palestinian and Israeli settler customers.[10][9]

Shufersal operates under multiple sub-formats tailored to different shopping contexts. Its named formats include Shufersal Express, Shufersal Deal, Shufersal Sheli, Universe, Yesh Hesed, Yesh Bashchuna, Good Market, Shaarei Revaha, and Hamafitz.[2] Carrefour's formats include Carrefour Hyper, Carrefour Market, Carrefour Market with enhanced kosher supervision, and Carrefour City.[2] Rami Levy's sub-brands include Rami Levy Mehadrin, Rami Levy Bashchuna, which incorporates Super Cofix, Switzerland HaKetana, and Super Beit HaPri.[2]

07Mid-Tier and Specialty Chains

Below the three national leaders, a substantial tier of mid-sized chains serves regional and niche markets. A branch-count survey found Nativ Hachesed operating 90 branches, including 44 acquired from Bar Kol and Shira Market; Mahsanei Hashuk had 70, Victory 69, City Market 67, am:pm 60, Yochananof 55, Super Sapir 53, and Tiv Taam 50.[2] Super Sapir's total encompassed the Bashchuna, Hamakolet Shelanu, and Non Stop Market brands.[2]

Published totals vary by date and grouping. The Ynet map counted 55 Yochananof branches while grouping the chain with its sub-brands, whereas a September 2026 Globes report gave a total of 47 and described Yochananof as third in size after Shufersal and Rami Levy.[2][3] City Market's 67 branches in the Ynet map made it one of the larger mid-tier operators.[2]

Yochananof and Mahsanei Hashuk both appeared in a March 2026 basket-price survey covering 12 major retail chains.[11] Osher Ad, Neto Hissachon, Shefa Birkat Hashem, Fresh Market, Keshet Teamim, and Hatzi Hinam were among the other chains included in the same survey.[11]

Keshet Teamim operated 26 supermarkets as of August 2026 and was considering a stock-market flotation. It also planned to open an additional branch in Kiryat Gat the following year.[12] Zol Ubigadol had 23 branches concentrated in Jerusalem.[2] Smaller chains and formats named in industry surveys included Lilo with 25 branches, Alonit with 24, Spar with 3, and Mishnat Yosef with 4 distribution-center branches through which it sells by telephone.[2]

King Store had 29 branches as of January 2026 and described its offering as combining familiar Israeli products with goods from Arab-sector and Middle Eastern manufacturers. Its locations included Haifa, Acre, Karmiel, Nof Hagalil, Beersheba, Rosh HaAyin, Daliyat al-Karmel, and Ramla.[13] Other chains named in industry coverage without full nationwide branch totals included Shefa Birkat Hashem, Salah Dabah, Hyper Dudu, Wolt Market, and Karl Berg.[2]

08Significance

Supermarket chains have long functioned as a major channel of food distribution in Israel. A 1999 U.S. commercial guide reported that more than half of food sold to non-institutional consumers passed through supermarkets and similar retail chains.[5] A reference entry updated in 2018 likewise stated that at least half of food sales passed through supermarket and retail chains, while small open-air produce markets remained common.[14]

A later branch survey counted approximately 1,667 chain food-store locations nationwide. Shufersal, Carrefour, and Rami Levy together accounted for about 35% of those branches, leaving a substantial share distributed among regional, neighborhood, religiously targeted, and specialty operators.[2]

The Institute for National Security Studies has identified the chains' independent procurement and distribution capabilities as strategically important during emergencies. Those capabilities may be impaired when trucks are nationalized, drivers are conscripted, roads are disrupted, or wartime manpower shortages affect the wider food-supply system.[15]

09Controversies

Competition and consumer prices are recurring concerns in the sector. Based on retailers' fiscal-year 2013 reports, the Israeli Antitrust Authority found that 18 large retailers operated 728 large stores. It identified 294 stores where the retailer's calculated sales share exceeded 30% in the relevant geographic area and listed 14 retailers with stores meeting that threshold.[16] These were historical findings under a statutory geographic-concentration test, not current nationwide market shares.

Price surveys also show substantial differences between chains. A March 2026 comparison of a 26-product cleaning basket across 12 chains found totals ranging from NIS 408.65 at Rami Levy to NIS 553.70 at Tiv Ta'am, including promotional prices where valid.[11] In July 2026, Shufersal joined Rami Levy, Victory, Mahsanei HaShuk, and Hatzi Hinam in raising online delivery fees, while Carrefour, Tiv Ta'am, and Keshet Teamim had not raised them at the time of reporting.[17]

Sources

  1. 1National Library of Israel, Ha-Safranim, accessed on October 18, 2026.
  2. 2Ynet, Israel's supermarket map: check how many there are in your city — and what about prices?, accessed on October 18, 2026.
  3. 3Globes, Israel's food chains increased sales — except for one, accessed on October 18, 2026.
  4. 4Encyclopedia.com, Blue Square Israel Ltd., accessed on October 18, 2026.
  5. 5U.S. Department of State, Israel 1999: Country Commercial Guide - (FY-1999), accessed on October 18, 2026.
  6. 6The Times of Israel, produce reform 2021, accessed on October 18, 2026.
  7. 7The Jerusalem Post, Supermarket chain sold at valuation of around NIS 680 million, accessed on October 18, 2026.
  8. 8Israel Forever Foundation, The Kindness of Strangers, accessed on October 18, 2026.
  9. 9Jerusalem Center for Security and Foreign Affairs, Palestinian Israeli Equality and Normalization: The Case of Rami Levy Supermarkets, accessed on October 18, 2026.
  10. 10Foundation for Defense of Democracies, accessed on October 18, 2026.
  11. 11The Jerusalem Post, Passover price battle: Which supermarket is cheapest?, accessed on October 18, 2026.
  12. 12Globes, Supermarket chain Keshet Teamim mulls flotation, accessed on October 18, 2026.
  13. 13The Jerusalem Post, King Store opens its 29th branch, accessed on October 18, 2026.
  14. 14Encyclopedia.com, Israel (people), accessed on October 18, 2026.
  15. 15Institute for National Security Studies, Ensuring the Resilience of Food Supply Chains in Israel During Emergencies, accessed on October 18, 2026.
  16. 16Israeli Antitrust Authority, via gov.il, accessed on October 18, 2026.
  17. 17The Jerusalem Post, Shufersal raises delivery fees by 20%: How much will you pay from now on?, accessed on October 18, 2026.

IsraelPedia Question & Answers

  • What are supermarket chains in Israel?

    Supermarket chains in Israel are a central part of the country's food-retail system, spanning national, regional, discount, neighborhood, ultra-Orthodox, Arab-sector, and specialty formats. A later branch survey counted approximately 1,667 chain food-store locations nationwide, with Shufersal, Carrefour, and Rami Levy together accounting for about 35% of those branches, leaving the remainder distributed among a wide range of regional and specialty operators.

  • When and where did Israel's first supermarket open?

    According to a National Library of Israel historical account, Israel's first supermarket opened on August 29, 1958, on Ben Yehuda Street in Tel Aviv. Hundreds of consumers rushed inside while hundreds of merchants demonstrated outside, with the confrontation escalating to physical violence and stones thrown at the store's windows. A separate business history places the first supermarket's appearance more generally in the 1960s, a discrepancy the cited sources do not resolve.

  • What was the role of Blue Square in the early Israeli supermarket landscape?

    Through the 1990s and into the early 2000s, Blue Square Israel was described as the country's largest retailer, reporting sales of NIS 5.2 billion as of 2000. It operated several distinct banners, including Super Center, Super Co-Op, Hyper CoOp, Shefa Mehadrin for the ultra-Orthodox population, and the low-priced Mega Outlet format. The corporate lineage associated with Blue Square later fed into Carrefour Israel, which Ynet describes as the successor to retail operations that passed from Co-op Blue Square to Mega and then combined with Yeinot Bitan.

  • Which chains lead the Israeli supermarket sector today, and how many branches do they have?

    Shufersal leads the Israeli chain food-store sector with 327 branches, representing about 19.6% of chain food-store branches nationwide. Carrefour ranks second with 150 branches, or about 9%, and Rami Levy ranks third with 102 branches, or about 6.1%. Together the three groups account for about 35% of branches, with the remainder spread across a broad tier of regional, neighborhood, and specialty operators.

  • What mid-sized and specialty supermarket chains operate in Israel?

    Below the three national leaders, a substantial tier of mid-sized chains serves regional and niche markets. A branch-count survey found Nativ Hachesed operating 90 branches, Mahsanei Hashuk with 70, Victory with 69, City Market with 67, am:pm with 60, Yochananof with 55, Super Sapir with 53, and Tiv Taam with 50. Other chains named in industry coverage include Keshet Teamim, Zol Ubigadol, King Store, Shefa Birkat Hashem, Salah Dabah, and Hatzi Hinam, among others.

  • How significant are supermarket chains to Israel's overall food distribution?

    Supermarket chains have long served as a major channel of food distribution in Israel. A 1999 commercial guide reported that more than half of food sold to non-institutional consumers passed through supermarkets and similar retail chains, and a reference entry updated in 2018 stated the same. The Institute for National Security Studies has also identified the chains' independent procurement and distribution capabilities as strategically important during emergencies, noting those capabilities may be impaired when trucks are nationalized, drivers are conscripted, or wartime manpower shortages affect the food-supply system.

  • What have price and competition surveys revealed about Israeli supermarket chains?

    Price surveys show substantial differences between chains. A March 2026 comparison of a 26-product cleaning basket across 12 chains found totals ranging from NIS 408.65 at Rami Levy to NIS 553.70 at Tiv Ta'am. On the competition side, the Israeli Antitrust Authority, based on retailers' fiscal-year 2013 reports, found that 18 large retailers operated 728 large stores and identified 294 stores where the retailer's calculated sales share exceeded 30% in the relevant geographic area.