Sainsbury's is accelerating plans to integrate 250 Argos outlets into its stores after its acquisition of the catalogue retailer and Habitat for £1.4bn last year.
Argos CEO John Rogers has said that the retailer will maintain its High Street presence despite the expansion into supermarkets, as well as calling for 'radical reform' to business rates, in order to help physical retailers compete with online sellers.
"We would ask government to radically reform business rates. It's a very anachronistic tax in this very digital world," Rogers told the BBC. "That doesn't mean to say we can't compete with Amazon. It's not just about the Argos sales that we've seen go up, but Argos customers come into our stores and they also pick up a pint of milk and a sandwich."
As well as aiming to include an Argos outlet in every Sainsbury's store, the company also plans to transform 60 standalone Argos stores into a digital format that would allow customers to place orders from a iPad rather than a catalogue.