ARGOS Closes Irish Stores

Author
Discussion

Al Gorithum

Original Poster:

4,105 posts

214 months

Thursday 19th January 2023
quotequote all
https://www.msn.com/en-gb/news/uknews/argos-closes...

Not even sure that the entire business model is survivable.

gotoPzero

18,042 posts

195 months

Thursday 19th January 2023
quotequote all
I am amazed they lasted this long tbh.

Quhet

2,495 posts

152 months

Thursday 19th January 2023
quotequote all
Al Gorithum said:
Not even sure that the entire business model is survivable.
IMO they're pretty well placed here in the UK. They'll continue to close their standalone stores which are massively space inefficient (and largely empty now anyway) and operate as click and collect huibs in Sainsbury's stores. It's worked well for me whenever I've used them

iphonedyou

9,478 posts

163 months

Thursday 19th January 2023
quotequote all
Quhet said:
IMO they're pretty well placed here in the UK. They'll continue to close their standalone stores which are massively space inefficient (and largely empty now anyway) and operate as click and collect huibs in Sainsbury's stores. It's worked well for me whenever I've used them
I'd agree. Use it pretty regularly and it always works well.

deckster

9,631 posts

261 months

Thursday 19th January 2023
quotequote all
iphonedyou said:
Quhet said:
IMO they're pretty well placed here in the UK. They'll continue to close their standalone stores which are massively space inefficient (and largely empty now anyway) and operate as click and collect huibs in Sainsbury's stores. It's worked well for me whenever I've used them
I'd agree. Use it pretty regularly and it always works well.
This - they have a good little niche going on there. Cheap and can wait? Buy it from the dodgiest online place you can find. Want it tomorrow and don't mind paying a bit more? Amazon Prime, thank you very much.

Need something right here, right now, and willing to pay? Argos it and job done.

vikingaero

11,066 posts

175 months

Thursday 19th January 2023
quotequote all
Argos, now owned by Sainsburys have played a blinder in the UK. Firstly they embraced tech, and secondly their move into Sainsburys stores makes sense.

Tech - In ye olde Argos, each store would hold large amounts of stock - I remember going to olde Argos and the blue stock machine saying there were 130 BrandX coffee machines in stock. Now if they only sell 4 BrandX coffee machines per day, they will only hold 4 or 5 of them. Whatever is sold that day will be replenished overnight with their warehousing partner - DHL. This has massively reduced their inventory costs. The tech was similar to DPD using tracking for parcels, long before their competitors (who have mainly all caught up).Similarly they offer same day delivery for a cost which is popular with many local businesses. The other advantage of their same day delivery vans is that they can move stock between stores. So if South Townsville has run out of widgets, then unsold widgets can be collected from nearby North Townsville.

Argos at Sainsbrys - Argos have been closing a lot of stores on retail parks where there are Sainsburys close by. It makes sense to use excess floorspace, the customer doesn't mind because there is free parking, and there is the opportunity to cross-sell groceries whilst the customer is there.

Fundoreen

4,180 posts

89 months

Thursday 19th January 2023
quotequote all
Not been in an Argos in years but used them over xmas and it worked well. Not sure about the lack of a massive thick catalog to look though at home as thats how you used to get your ideas.

PurpleTurtle

7,479 posts

150 months

Thursday 19th January 2023
quotequote all
I travel to Ireland once a year to visit my wife's extended family, we normally travel in via Dublin, stay a few days, drive up to the north of Donegal, via Letterkenny, then return, In all our trips I've never seen an Argos - surprised that they are even there in the first place - let alone that they have 34 outlets, way too many.

My instant reaction is that it's no surprise at all, that business model relies on having stock on hand or rapid replenishment from warehouse. That's just not physically possible in a cost-effective way in a country like Ireland, much of which is rural and the pace of life is just that much slower than the UK,

Hopefully staff will find other employment, it must be worrying for anyone in retail at the moment.

bitchstewie

54,590 posts

216 months

Thursday 19th January 2023
quotequote all
It's a shame.

I know times change but anyone in their 40's will remember the magic of going into town after school and seeing a pallet of new Argos catalogues and seeing what new stuff was in the toy section smile

vikingaero

11,066 posts

175 months

Thursday 19th January 2023
quotequote all
Another point to note is that the culling of the catalogues has allowed them to stock what they want when it comes into stock, rather than wait for a catalogue revision or a stock update leaflet.

I had to buy 25 seats of duvet sets once and Argos only had 2 or 3 of each design in stock, so I had to buy a real mixture of stuff.

FourWheelDrift

89,452 posts

290 months

Thursday 19th January 2023
quotequote all

Randy Winkman

17,304 posts

195 months

Thursday 19th January 2023
quotequote all
I had wondered what the point of them was but this TV documentary from 3 months ago was pretty positive. Especially about their delivery times versus Amazon Prime.

I remember a huge store that was always packed in Bromley (SE London) years ago. That's now closed and again adds to the image. But for the first time a few weeks ago I did click and collect from their part of Sainsbury in Bromley and was pleased to see it worked well. They had what I wanted in the store and it wasn't just a pick up counter as I had expected but a small scale version of a complete Argos store.

ARHarh

4,171 posts

113 months

Thursday 19th January 2023
quotequote all
Randy Winkman said:
I had wondered what the point of them was but this TV documentary from 3 months ago was pretty positive. Especially about their delivery times versus Amazon Prime.

I remember a huge store that was always packed in Bromley (SE London) years ago. That's now closed and again adds to the image. But for the first time a few weeks ago I did click and collect from their part of Sainsbury in Bromley and was pleased to see it worked well. They had what I wanted in the store and it wasn't just a pick up counter as I had expected but a small scale version of a complete Argos store.
Same experience for myself. Not used Argos store since they closed in town some time back. Wanted a new sim free phone. Argos were OK on price and 6 miles away, Currys same price but 22 miles away. Ordered for pickup from Argos in Sainsbury. Got an email and popped straight over to pick it up. Free parking and just like the old Argos store but no seats.

XCP

17,124 posts

234 months

Thursday 19th January 2023
quotequote all
Click and collect for Habitat in Sainsburies/Argos too.

valiant

11,188 posts

166 months

Thursday 19th January 2023
quotequote all
Fundoreen said:
Not been in an Argos in years but used them over xmas and it worked well. Not sure about the lack of a massive thick catalog to look though at home as thats how you used to get your ideas.
They generally do very well and have adapted a lot better than most retailers to the internet age and often prove a better bet than Amazon.

Can’t remember where I read it but around 90% of their trade is via the internet so the catalogue may prove to be a needlessly expensive outlay for the returns it generated. I agree though, looking through the catalogue whilst on the throne was a quality way to sort out the family’s Christmas prezzies.

Ean218

1,996 posts

256 months

Thursday 19th January 2023
quotequote all
Considering they started as Green Shield Stamp shops they have done amazingly well to pivot as things change around them.

They are now in a very strong position against Amazon Prime.

ARHarh

4,171 posts

113 months

Thursday 19th January 2023
quotequote all
Dragging myself back to the early 70's. Argos started from the remnants of the Green shield stamp empire. Far too many hours spent as a child sticking them stamps in a book so you parents could swap them for a toaster or something. The excitement of the catalogue coming out was too much to cope with as a 9 year old lad.

For all those old enough to remember https://retromash.com/argos/

Dave Hedgehog

14,671 posts

210 months

Thursday 19th January 2023
quotequote all
FourWheelDrift said:
i worked in argos one christmas as a kid

i have used them maybe half a dozen times in the last 18 months, their 1 hour home delivery service is very good

rpguk

4,482 posts

290 months

Thursday 19th January 2023
quotequote all
Not a huge surprise, a relatively small part of the business that doesn't have the opportunity to leverage Sainsburys as they do in the UK. Added to which the Brexit overheads make it even less viable.

Hopefully they continue to thrive in the UK, I find them competitive on price and can trust their stock will be genuine with at least some QC/vetting carried out with their suppliers. Usually available to collect right away 5 mins down the road too and can be in and out in a minute. thumbup

Al Gorithum

Original Poster:

4,105 posts

214 months

Thursday 19th January 2023
quotequote all
I have to admit to being wrong. My only experience of Argos is being dragged around the miserable shops. The Mrs does the shopping so I had no idea about the Sainsbury's acquisition and transition to the modern age.

Good luck to them!