Marks & Spencer held a Christmas “penny bazaar” yesterday to boost shopper numbers.

Millions of collectible items, including mugs and cufflinks celebrating the store’s 125th anniversary, were on sale for a penny. The retailer’s figures in the run-up to Christmas will be measured against the volatile period this time last year when it held two “spectaculars” — goods on sale at 20 per cent off — as it tried desperately to shift stock after the collapse of Lehman Brothers sent shockwaves through the economy.

The penny bazaar brought more than a million customers into the stores yesterday — double the figure for a normal Friday. Last year’s sales were criticised by some analysts, who believed it undermined M&S’s ability to then charge full price, as well as hitting its profit margins.

Sir Stuart Rose, chairman of M&S, said: “We’ve had a great start to our Christmas Penny Bazaar, with over half a million 1p products sold in the first hour alone. Thanks to M&S, millions of people will be getting a little something extra in their Christmas stockings this year — and all the profits are going to local charities.”

Separately, M&S yesterday defended its price-comparison adverts, which name its premium rival, Waitrose. A spokeswoman said that they had improved customer perceptions.

Waitrose yesterday unveiled its best weekly sales figures for three years and suggested that M&S’s “knocking copy” had helped its performance.

Overall, the company’s sales rose 17.8 per cent in the week to November 7, with its value range, “essential Waitrose”, performing strongly. The M&S ads highlight products where its own “Wise Buys” range matches or betters the price of essential.

Richard Hodgson, Waitrose’s commercial director, said that essential had put on 24 per cent by volume. “The range has been hugely successful ... Maybe we should be thanking the M&S marketing department,” he wrote in a note to Waitrose staff.

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