Britain’s bigger retailer Tesco is to start selling iPods as part of its expansion into the lucrative digital goods market, it announced today.

Other digital products by brands such as Apple and Sony will go on sale by the end of the week at around 200 stores across the country.

The move will put the supermarket in competition with electronics-only shops, as well as online retailers.

The UK’s lucrative MP3 market grew by 400 per cent last year and is expected to double in 2005, the retailer said.

Matthew Finch, electronics buyer for Tesco, said: “By stocking a wide range of the best known brands at their local Tesco store and providing easy-to-understand information and instructions, we expect new customers to be attracted to the digital trend, many for the first time.”

Shoppers will also be able to download music online at the store’s website.

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