Retail strategy - the turnaround challenge at Argos

A great interview with the CEO of Argos in the Guardian today which is packed full with useful business studies material.

Well worth printing out to use as a discussion stimulus. Key points which could be considered include:

- The dated format and layout of the Argos store (importance of continued investment and innovation)

- Effect on the recession on consumer spending - why have Argos customers been so badly affected by the downturn?

- Market positioning and segmentation - Argos’s customer base is described as “working class” (socio-economic groupings) and “mass market”

- Argos is the market leader in many product categories (e.g. jewellry, furniture, toys) - so why are sales falling?

- The cost of upgrading each store (£100,000) - what factors affect the return on investment?

- How can Argos improve customer service?