John Lewis looks to animate Christmas sales with ad campaign

LONDON, Nov 8 (Reuters) - John Lewis, Britain'sNo.1 department store group, is confident of outperformingrivals this Christmas, the employee-owned firm said on Friday asit launched a festive advertising campaign.

"We want John Lewis, as we have in the last few years, toliterally own Christmas," the firm's managing director AndyStreet told reporters.

The 149-year-old firm, whose worker co-ownership businessmodel has been lauded by Prime Minister David Cameron, has beenwinning share from high-street rivals in recent years due to itsstrong online offering, modern stores and a more affluentcustomer base.

Last Christmas it reported record sales, while rivals, suchas Marks & Spencer (M&S) endured poor trading in a toughmarket.

Street said John Lewis' new loyalty card, launched on Oct.30, had already signed up 200,000 customers.

The firm is spending 7 million pounds ($11.3 million) onChristmas advertising this year and is using hand-drawnanimation for the first time in its TV campaign.

The animation, created by agency Adam&Eve/DDB, tells a storyof "The Bear and the Hare" and is set to a cover of rock bandKeane's 2004 hit "Somewhere Only We Know" sung by Lily Allen.

It will go live on John Lewis' social media channels onFriday and launch on television on Saturday during the X Factormusic show. In a first for broadcaster ITV, John Lewishas booked an entire advert break.

John Lewis' Christmas ads have generally proved a hit withthe British public in recent years.

Last year's ad featuring two snowmen used a cover byGabrielle Aplin of Frankie Goes to Hollywood's "Power of Love".The song became a No. 1 hit single for the second time.

M&S, Britain's biggest clothing retailer, launched itsChristmas campaign, staring model Rosie Huntington-Whitley, onWednesday.