Argos Superstores

There are many new argos superstores opening all over the UK. In the early days, argos opened their stores in the high street, and ususally these stores cost more to run and maintain due to the high purchase costs. Buying stores in premium locations costs more cash, and in the high street, in city centres is the most costly place, hence the high running costs.

Argos soon realised that out of town stores were much cheaper to build. The advantage of this is that you can build much bigger stores, and the age of the superstore began. These stores offer much bigger floor space, so you can store many more items than the traditional small high street store ever will. The benefits to the customers are huge as well. You get more choice and reduced prices because the overheads are smaller. Argos sells more items at lower prices, and customers save more money on these items. A two way winning deal if ever there was one.

Another advantage of these superstores is that by being positioned out of town allows for more parking spaces for customers, which is usually free, unlike the high street stores were you may well have to pay for parking time. This may put off potential custom, so the suburban argos stores tend to be much more profitable. The size of these stores is also an advantage to customers because the layout is much cleaner and less crowded. People can shop in a pleasant environment without feeling crowded or under pressure. There is also the benefit of aing your item in stock. The extra floor space and storage space means more products can be stored on site, which helps argos to reduce the distribution costs, and this is then passed on to the customers in reduced prices.

More and more argos superstores are opening each week because it is a winning formula. Eventually there will be a saturation point, as there is only so man stores that can be opened within close proximity of one another without directly competing with each other. However, it may be some time before this happens, and so argos will continue to grow its business until it is no longer viable to do so.