Waitrose had slammed the ‘Fresh to Sainsbury’s’ ads, complaining that they did not compare like with like or variety with variety. The ads featured a selection of fruit and veg, with one execution for its 45p peaches reading: ‘Why pay 79p each at Waitrose?’
Waitrose complained to the Advertising Standards Authority in June. However, the ASA has decided that the complaint will not be processed for formal adjudication, adding that Sainsbury’s campaign was largely correct.
Nonetheless, the ASA has told Sainsbury that where it is featuring a promotional price it must also make its standard price clearly visible in the body copy of the ad, rather than in smaller print at the bottom.
Waitrose marketing director Christian Cull said: “The ASA has recognised that there is grounds for the complaint and has asked Sainsbury to make it more explicit when comparing promotional and non-promotional pricing.”
Waitrose stood by its claims that fresh produce prices fluctuated widely throughout the year and that ‘true value’ reflects more than price. Sainsbury rebutted the charges that it may have compared promotional with non-promotional prices, saying it was legally obliged to ensure all comparisons were like-for-like.
The ASA will publish an outline of the decision on Wednesday (August 17), although it will not name Waitrose as the complainant.
US retail giant Wal-Mart is trying to stop an employment discrimination case proceeding to trial. Its lawyers are trying to overturn the decision of a federal judge, who granted action status to a motion that Wal-Mart systematically discriminated against its female workers. The suit could cover up to 1.6 million women who have worked for the retailer since December 1998.
Beleaguered Italian dairy giant Parmalat is suing JP Morgan and UniCredito for $4.4bn. Administrator Enrico Bondi has filed for damages, claiming that the banks underwrote half the E9.5bn bond issues in the few years before the group’s collapse and ignored signs that it was in trouble. Both banks deny any wrongdoing. Meanwhile, a US judge has ruled to allow Parmalat to proceed with its suit against the Bank of America Corporation.
New York City’s deal to give Cadbury Schweppes the right to call its soft drink Snapple ‘the official beverage of New York’ is generating less money for the city than expected. When mayor Michael Bloomberg agreed the deal in 2003, it was expected to create $106m. But recent estimations put it at $60m.
Russia could become Europe’s biggest grocery market by 2020, IGD has predicted. It said the market could be worth E375bn - up 180% from existing levels. Russia is currently Europe’s fifth largest grocery market after Germany, France, the UK and Italy.
Australian manufacturer The Smith’s Snackfood Company has acquired Sakata Rice Snacks Australia for an undisclosed sum. Smith’s, which is part of PepsiCo International, has also acquired worldwide rights to Sakata’s products, excluding Japan.
US bid to stop trial
PARMALAt Files suit
NY Deal deflates
Russia on the up