Catalogue store group Argos is to launch a digital TV home shopping channel this summer.
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Argos managing director Sara Weller said: “Our most recent catalogue launch was the first to fully integrate our growing Twitter and Facebook communities, where customers can access our products, share ideas and discover lots of engaging content.
“Our ability to connect between channels means that the content we will be producing for Argos TV will also have wider applications online and in-store, adding to customer choice, value and convenience.”
Last week, Home Retail warned full-year profits would be between £250m and £255m, prompting analysts to slash their forecasts.
Like-for-like sales at Argos slid 4.6% in the last eight weeks of the retailer’s financial year to February 26. At stablemate chain Homebase, however, like-for-likes rose 3.8%.
Home Retail chief executive Terry Duddy observed: “There are clear signs of further pressures on consumer spending, particularly at Argos, proving to be more difficult and volatile than we anticipated.”
Arden analyst Nick Bubb fears that the retailer’s dividend may be cut by as much as half next year. He said: “Home Retail is a pure UK play on big-ticket spending and its Argos business model is under attack.”