Home Retail Group's Argos announced a plan to open digital stores within existing branches of its Sainsbury's supermarkets. The U.K-based retailer will conduct the trial in 10 stores and will sell up to 60,000 products.
The 1,000 to 5,000 sq. ft. spaces will sell non-grocery items and shoppers will be given a choice of 20,000 products which can be bought instantly or reserved, while 40,000 more are available for home delivery, reported The Telegraph.
The new stores are slated to open this summer, although locations have not been revealed.
"Our new distribution model allows us to provide customers in any Argos location with a choice of around 20,000 lines within hours, regardless of the size or stocking capacity of the store," John Walden, CEO of Home Retail Group, told The Telegraph.
Argos has been looking to change the traditional store experience, recently adding free WiFi to more than 40 of its stores, and boasts a 60-second collection for online orders.
In addition, Argos currently has a partnership with eBay (NASDAQ:EBAY) that allows shoppers to order items from a range of eBay sellers for pick up at 650 Argos stores.
Partnering with Sainsbury's will provide the supermarket's customers greater convenience.
"They will bring something new and different to our customers, and fit well with our strategy of making our supermarkets more convenient. As well as looking at carefully selected partners, we continue to roll out ranges of our own brand clothing and general merchandise in our supermarkets to give customers even more choice and value," Mike Coupe, CEO of Sainsbury's, told The Telegraph.
The supermarket has been under pressure to grow its share of the market as competition from discounters Aldi and Lidl continues to grow.
-See this The Telegraph article
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