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  • 1. The yellow part … where the new growth is coming from now and in the future.
  • 2.
    • “ Argos’’ , one of the most successful, valued and reliable retailer in the United Kingdom.
    • Its well-known online catalogue enables customers to browse and select items to purchase. They can also pay for the items and collect them either from the store or have them delivered to their homes.
  • 3.
    • There is no need to create an account if you are only looking through their catalogue.
    • However, when it comes to purchasing items, an account is required. There are two ways for browsing the catalogue. Indeed, you can either type the item’s code or browse by category.
  • 4.  
  • 5.
    • You will then get a brief description of the specific item that will help you decide whether it is the item you are looking for, choose to complete the transaction if you wish to and eventually choose the mode of delivery. Whenever you buy something, you will find the opportunity to leave feedback about your experience. This is a very important part of your transaction as it enables you to post a positive, negative, or neutral rating, along with a short comment, that would help future buyers in making a decision whether to buy the item or not.
  • 6.  
  • 7.
    • When comparing Argos to a typical store that may have a few dozen products, one can notice that by having an online shop with a large selection of products you save shop space. You can in fact find a wide range of items that are no longer available for purchase either because they were taken off the market for poor selling ratings or replaced by a newer version.
  • 8.
    • Indeed, you will find items such as kitchen equipments, home furniture, garden furniture and accessories, health and personal care, Televisions & set top boxes, Musical instruments & karaoke, consoles and games accessories, cameras, printers, computers, monitors, laptops, jewelry, watches, CDs, DVDs, Books…and much more.
  • 9.
    • Argos has recently introduced a pre-owned games service that enables customers to buy pre-owned titles from the home retail giant and sell used games in exchange for in-store credit rather than cash. It accepts selected games for the PS3, Xbox 360 and DS, restricted to not more than one copy of each title per customer. However, import games or those in poor condition without a box and instruction booklet are not accepted. By enhancing its put-away and stockroom management and by launching line positioning, Argos benefits from greater efficiency, space utilization, cost savings and improved service levels.
  • 10.
    • The long tail strategy can be applied to Argos as its scale and diversity does not enable consumers to find all the items in-store.
    • Indeed, only a few of this huge variety of online products are available for pick-up in-store. Shelf space is very important and therefore the tendency consists in stocking only new hits.
    • As a virtual store, Argos can afford to have a huge warehouse in the middle of nowhere storing many more products than the little shop where you can find all the non-hits or niches that are inexpensive and that targets customers all over the world because of the free/reduced shipping service.
  • 11.
    • This strategy has in fact led Argos in realizing important profit following their selling of small volumes of hard-to-find items to many customers rather than selling large volumes of a reduced number of popular items. Sales have indeed reached £4.282 billion.
  • 12.
    • In January 2010, as part of its rebranding process, Argos introduced a new slogan, namely "Helping you live for less...”.
    • G reat value offers were hence added to the well-known Argos 16 day money back guarantee in order to enable customers to buy with confidence.
  • 13.  
  • 14.
    • According to Anderson, two big principles need to be considered when creating a thriving long-tail business:
    • making everything available & helping people finding it. This is basically what Argos does, combined with the possibility of shopping from your own home.
  • 15.
    • Here are seven ways that make a business successful, by applying the Long Tail concept:
    • 1. The Long Tail of income
    • In the head of the tail, besides its main sources of income, Argos also tries to look for every possible opportunity to add new sources of income, no matter how small these may be.
    • 2. The Long Tail of readings
    • The main point here is diversity rather than depth which can be perceived at  Argos as it indeed diversifies its items.
    • 3. The Long Tail of relationships
    • Argos got a lot of connections that enable it to remain powerful on the market as they often know things that other stores ignore. This phenomenon is known as
    • “ The Strength of Weak Ties” and is explored in Malcolm Gladwell’s.
  • 16.
    • 4. The Long Tail of knowledge
    • Argos has acquired deep knowledge in many fields that became part of its specialization ( the head of the tail ). This helps Argos in a way or another to understand what the available options are and hence quickly recognize emerging trends.
    • 5. The Long Tail of workflow
    • Argos has also some routines, known as its “best practices”, which are proven to work best for it and therefore spends most of the time applying them ( the head of the tail ). On the other hand, they also spend time experimenting doing things in different ways ( the long tail ). This gives Argos new ideas to improve its workflow.
  • 17.
    • 6. The Long Tail of tools
    • Many tools are used by Argos in order to do business. Some of these tools that were established as working best have helped the company in doing better than other stores and have hence been kept in place ( the head of the tail ).
    • 7. The Long Tail of experiences
    • There are some experiences such as working in the office that you come across almost daily and that somehow consume most of your time ( the head of the tail ). However, in addition to the daily experiences of Argos , time is also spent on doing something new ( the long tail ).
  • 18.
    • References:
    • http://www.argos.co.uk/static/Home.htm
    • http://www.zyra.org. uk / argos .htm
    • http://en. wikipedia .org/wiki/ Argos _(retailer
    • http://www.argosb2b.co.uk/
    • http://adroo.co.uk/uk/list/183/argos/
    • http://adroo.co.uk/uk/list/183/argos/
  • 19.
    • Prepared by:
    • Léa ASSAF and Darine GHATTAS
    • assafleaghattasdarine.blogspot.com