Client Newswrap: Summer sales, strawberries and cream sausages and Y-fronts

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Welcome to this week’s Client Newswrap, bringing you the latest from the world of retailers and brand owners.

Brands

Heinz is hoping its promotional campaign with 10 £10,000 prizes will help persuade pubs to stock its Tomato Ketchup.

The inventor of Y-front underwear, Jockey, has launched a new range for women as part of its 75th anniversary celebrations.

Microsoft has filed a $750,000 lawsuit against three individuals for a “click fraud” scheme, which the firm said involved clicking adverts of rival websites to exhaust their budgets. The alleged fraud is said to have cost advertisers some $1.6m.

Kraft Foods is running a mobile phone campaign linked to a sponsorship deal with Vue cinemas to promote Oreo cookies.

Procter & Gamble has bought US male grooming brand Zirh. The luxury brand is currently available in the UK at Harvey Nichols and Harrods.

UK demand for chocolate remains consistent despite the credit crunch, helping Cadbury to a remain on track for sales growth between 4% and 6% for the year.

Retailers

WHSmith and Tesco have apologised after promoting a book about Josef Fritzl, the Austrian who kept his daughter in a cellar, as a Fathers’ Day present.

Tesco is looking to raise £458m by selling 12 stores and two distribution centres and leasing them back from the landlords on 30-year inflation-linked leases.

A number of fashion retailers, including Selfridges, Liberty and Gap as well as designer labels such as Gucci and Louis Vuitton, have already started their summer sales in London.

John Lewis has posted a 0.4 increase in weekly sales, while sister firm Waitrose has said sales are 4.3% higher than forecast and almost 7% higher than last year – helped by the success of its Essentials range. Waitrose has also started selling a strawberries and cream-flavour sausage to coincide with Wimbledon.

B&Q has said the late Easter and warm weather have doubled trading profit to £58m for the three months to 2 May. The DIY retailer is also going to run training courses for men who are being forced to do more jobs at home due to the credit crunch.

Shop Direct Group is rebranding Littlewoods Direct as Very to target a younger audience. Shop Direct is the UK’s largest home shopping business.

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