Lego Expands in Israel with 11th Store Amid Fierce Price Competition
Lego opened its 11th store in Israel at Petah Tikva's Ofer HaGadol Mall, drawing massive crowds. Yet, fierce competition from KSP, Shufersal, and parallel importers reveals significant price gaps of up to 80 NIS on popular sets.
The iconic toy brand Lego continues to spark enthusiasm in Israel, extending far beyond children. Last Thursday, a new LEGO Store opened at the Ofer HaGadol Mall in Petah Tikva, drawing over a thousand children and teenagers to the opening event. However, alongside the launch celebrations, retail chain KSP offered promotions and discounts on the brand's products, highlighting significant price gaps between the official stores and competing retailers.
Price Gaps and Market Competition
For instance, KSP recently offered customers purchasing Lego products totaling 299 NIS or more an additional Lego set as a gift, alongside free home delivery. This promotion concluded yesterday, following previous discounts across dozens of sets.
Price comparisons published by Channel 12 in late September revealed clear disparities. A Lego rose bouquet set was sold at the official store for 249 NIS, compared to just 169 NIS at KSP and Oshersad—an 80 NIS gap for the exact same product. A Pokémon set sold for 249 NIS at the official store versus 199 NIS at KSP, while a Lionel Messi model cost 120 NIS at the Lego store compared to 99 NIS at KSP and 80 NIS at Ivory.
Expansion and Global Success
The new store in Petah Tikva is the 11th LEGO Store in Israel, operated by the TOR Group led by entrepreneur Eran Tor. Spanning approximately 200 square meters, it offers exclusive models, interactive play stations, and custom minifigure building alongside standard construction sets, aiming to provide an experiential shopping journey.
Globally, Lego's success is staggering. In 2025, Lego recorded record revenues of approximately 83.5 billion Danish kroner, a 12% increase from the previous year. Net profit reached about 16.7 billion kroner, with products sold in over 120 countries. The brand's local market in Israel has evolved dramatically since July 2022, when the first official store opened in Tel Aviv, breaking decades of exclusive distribution by Ilanit and sparking intense competition that now includes Shufersal and parallel importers.
