Argos expands into online film and music sales

High street general retailer Argos has struck a deal with online retailer The Hut Group to launch an online entertainment shop.

The site, which launches at www.argosentertainment.co.uk today, will sell 125,000 titles on CDs and DVD and offer free delivery. Argos plans to promote the site via communications with its existing customer database.

The move will place Argos in the running to compete with supermarkets and online brands such as Play and Amazon to scoop up sales displaced by the collapse of high street entertainment retailers Woolworths and Zavvi.

The deal will also increase its competition with The Hut Group’s own entertainment sales following its acquisition of the Zavvi brand and customer database.

However, the group is well used to running white label sites for large national retail partners, including Asda and Tesco.

Meanwhile, WHSmith is to start trialling Pick n’ Mix confectionery at a few of its stores in a bid to see if it can pick-up the sales displaced by the disappearance of Woolworths, estimated to be worth £200-300m a year, according to reports.

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