M&S to sell branded products

Wed 04 Nov, 2009 06:20

LONDON (Reuters) - Marks & Spencer plans to sell a selected range of around 400 branded grocery and household products following a 16-month trial in some stores, it said on Wednesday.

The clothing, food and homewares group, which will publish interim results later on Wednesday, said the products would focus on brand-dominated categories where it has a low market share, like soft drinks, sweets, laundry and personal care.

No M&S products will be delisted or replaced, and prices will be matched against major supermarkets, the firm said.

Brands that will go on sale over the coming year include Kelloggs, Marmite, Heinz, Coca-Cola, Fairy and Pantene.

"Our customers are at the heart of this decision -- they lead increasingly busy lives so buying those essential, must-have branded products at M&S will help save them time," M&S Chairman Stuart Rose said in a statement.

M&S's upmarket food business has been hit hard in the recession as shoppers have switched to cheaper rivals, but it has improved its performance over recent quarters by stepping up promotions such as "Wise Buys" and introducing new products.

(Reporting by Mark Potter; Editing by David Cowell)