The document summarizes the author's observations of various shops in Israeli markets called "shuks". It describes some shops as being more successful than others despite similarities. The author believes the most successful shops have a feeling of abundance and draw customers in with engaging displays and product knowledge. The document suggests opportunities for less successful shops, such as renovating their space, focusing on specialty products, and offering samples to attract new customers.

1. Observation Lab
Israel Popular “Shuk” Shops
INSIGHTS and HIDDEN OPPORTUNITIES.
What types of things had you missed before? What
were your biggest surprises? Are there opportunities
hidden in plain sight?

2. Not your regular shop
• Embedded in the culture
• Shuk is:
– Noisy
– Dirty
– Smelly
– Crowded
– Payment with Cash Only
– Relatively Cheap
• Always full of buyers
• What attract people to buy in the Shuk

3. Mahane Yehuda
It is an icon of Jerusalem continuously
working more than 100 years. It has
developed from a yard in which peasants
brought the fruit of the land once a week
in the Ottoman period to a trendy place
retaining its characteristic flavor but
introducing new shops and restaurants.
So is there a secret?

4. Procedure
• I found pictures (not good taking them) of
Shops I use to buy at least once a month
• Basic products
• Shops located in the same space more than 10
years
• Competition of more than 5 similar shops at
1Km radius
• Visit and observe.

5. Two different shops, ~100 meters distance, same
type of merchandise, same very small and dark
shop at least 60 years old, high ceiling, stone
flour, fluorescent lighting. Both shops full of
people, one salesperson every 10 -15
customers, attended by the owners, all male
personnel.
One shop much more successful.

6. More Successful and my choice Less Successful
I tried to understood what kept me going to one shop
over the other. After some time, I concluded thata
there is a feeling of abundance in the most successful
shop that do not exist in the second.
I Was surprised by the strength of the feeling.

7. The spices shop
Same story, one much more successful than the
other, both old, well located with similar
characteristics.
I tried to ask the same question as before, what
kept me going to one shop over the other. And
whether there is and what is the opportunity for
the less successful one.

8. The spices shop
Very Successful also my choice Less Successful
Renovated, bright, sells new gadgets related to Old fashion and dark sells only spices
spices such as grinders and knives, air and legumes. Old loyal customers
conditioning, fit the new with the old. Do not fit the renewed street with
The smells drive you in, very few merchandise new shops.
outside most inside . I wanted to get in, it was Lots of merchandise outside the
like getting drunk. Also the owner knows a lot inside is closed in containers. No
about the different spices and their traditional strong smell
medicinal uses which interests me.

9. The Florist
Shop with the same owners for more
than 50 years. Sells flowers and
greenery. On Friday –The peak day it
sells pre-prepared flower bouquets.
One person to tend tens of customers
Renovated and bright shop, but most
of the merchandise is outside.
Great location near a big grocery and a
big bread. Everyone that pass buy a
bouquet. Loyal clients for years
Old owner. It is a nice shop with fast
service and good quality merchandise.
Have no delivery, no arrangements, no
special orders. This makes the shop to
sell only on Friday instead of all day.

10. The Delicatessen
The Halva
The shop is an institution, it is tiny and barely
can storage merchandise, great variety of one
product.
Factory owner. It is a brand in the Shuk
Fresh, and abundant.
Try to sell other products that are not its specialty
Which seems not such a good idea.
The shop may increase a lot its sells by introducing
new merchandise related with their main business
such as other specialty sweets of the area.

11. The delicatessen
A new shop in the Shuk, it advertises
Heavily, it is bright, new, focus in middle east
not sweet delicatessen.
Family run, salesperson with “uniform”
doesn’t seem to “fit” the shuk environment.
I have a problem with this shop as I seem to
like them since they are clean and ordered
but most of the public don’t. I would
introduce some organized free tasting of
products other than the olives which each
one can taste.