IR Operations and Logistics

Argos and Tu shoppers will be able to pick up their orders in a Sainsbury’s Local by end 2017

Sainsbury’s [IRDX RSBR] this week announced customers will be able to pick up their Argos and Tu orders from 100 of its convenience stores by the end of the year.

The supermarket announced the launch of the Argos Click & Collect service in 100 Sainsbury’s Local stores in a move that it says furthers its strategy of serving customers whenever and wherever they want to shop.

Customers will be able to order Argos products and Tu clothing online and collect their purchases closer to where they live or work. The launch follows a successful three month trial in six Sainsbury’s Local stores.

Sainsbury’s froup chief executive Mike Coupe, said: “As customer shopping habits change, people increasingly want flexibility, speed and choice. More customers than ever are ordering online and choosing to collect from a store, which makes their lives easier and frees up their valuable time. Offering the Argos Click & Collect service in Sainsbury’s Local stores makes it even more convenient for our customers to buy our products.”

He added: “Argos’ leading digital capability is an important differentiator for Sainsbury’s and is key to our future strategy. Over half of all Argos sales originate online and around 80% of customers then opt to collect their purchases from one of our stores, that day or the next.”

Sainsbury’s says the acquisition of Home Retail Group in September last year has helped it speed up it strategy towards becoming a multi-product, multichannel retailer, serving customers quickly and conveniently whenever and wherever they want to shop.

Less than a year on from the acquisition, Sainsbury’s has opened its 100th Argos digital store in a Sainsbury’s supermarket in Barnstaple, North Devon. It says its plan to open 250 Argos digital stores in Sainsbury’s supermarkets is on track for March 2019, six months ahead of the schedule that it originally set out in the run up to last Christmas.

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Sainsbury’s is a British supermarket chain with a significant share of the UK market. (more…)

Image credits:
  • Image courtesy of Sainsbury's

One thought on “Argos and Tu shoppers will be able to pick up their orders in a Sainsbury’s Local by end 2017

  1. The demand for in-store click and collect services has been fast advancing with at least 72% of online shoppers regularly using the click and collect option from retailers, which means that the recent push on providing a flawless collection system in store is all the more important. To meet this extraordinary growth all retailers are moving towards expanding their offerings, and sharing services to improve fulfilment accessibility and delivery.

    The recent click and collect move from Sainsbury’s that allows customers to amalgamate their orders from Tu and Argos (following their merger last year), is just one example of the one-stop click and collect approach retailers are developing. This strategy allows them to instil customers with more confidence and improved convenience through offering them a more reliable service, free parking facilities, store associates that can offer recommendations etc, whilst also increasing the likelihood of up-selling other goods once they are in store. In contrast online retailers such as Amazon, often require customers to pick up packages from lockers or local newsagents, which are less convenient and also hinders any impulse, or convenience buying from the same brand.

    When looking at Sainsbury’s as an example of this, supermarkets are in fact perfectly placed to revolutionise the click and collect service. The simple benefit of having a physical presence is more crucial than they may realise. And as consumer expectations for the click and collect service rise, supermarkets could consider other click and collect methods such as drive thru’s for example.

    Although it may seem an unlikely pairing, the drive thru’ model can actually very easily be adjusted for retailers. Imagine, the customer drives up to a screen and scans their personal QR code; this can then alert a store associate via a headset to immediately search for the item. By the time the customer has arrived at the collection point, the order should have been picked and be ready and waiting. The great thing about this model is that it can support both those customers who want the fast in-and-out and those also looking for a more engaging experience.

    Tom Downes, CEO, Quail Digital

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