Mass market electronics retailer Dixons has signed a five-year concession deal with upmarket Knightsbridge department store Harrods.
Under the agreement, Dixons will run an electronics department on the third floor of the luxury store selling audio visual products as well as computers and related accessories. News of the agreement has come as a surprise to some industry analysts who don't believe the Dixons brand is not well-heeled enough.
However, Sebastian James, operations director for Dixons Retail Plc, said the agreement was recognition of the company's place in the market.
He said: "We are delighted that Harrods has recognised our market leadership and the compelling offer our team and our new service brand KNOWHOW can give customers.
"We look forward to working closely with Harrods and to providing its customers with the very best in terms of both product range and service."
According to a report by the Guardian, the new department is expected to open in early 2012.
