Ads that name competitors

Discussion in 'Growing and Managing a Business' started by hcted, Sep 12, 2010.

  1. hcted

    hcted
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    Have you noticed advertising is getting more 'at it' by giving the name of the competition company?

    Two examples are Coke and Pepsi, and Dish Network and DirectTV

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    [YOUTUBE]EX0fmBHiZy4[/YOUTUBE]​

    I just believe it is kind of tasteless. Obviously everyone has competitors, but by putting them in a commercial, against them is not right I think.
     
  2. DavidL

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    If it's not slanderous then it's ok. If it's the truth, then there is no law against telling the truth.

    As a consumer, I would want to know why x is better than y. Unless I read something like Australia's Choice Magazine (independent authority), I would not know until I buy the product, but I don't want to be wasting my money, where I could use that for paying bills etc.
     
  3. Fergal

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    The main reason companies don't name their competitors in ads is because they don't want to give them free publicity and advertising space. Combined with the fact that potential customers can view it as distasteful, using your competitor's name in an ad, can sometimes help them more than it helps you - not exactly ideal, when you are paying for the ad.

    The Pepsi ad above is very clever, it shows the competitor but doesn't actually name them and it has a good touch of humour as well. Naming "Pepsi" so often ensures that the primary message viewers will remember, is that Pepsi Max has zero calories. They communicate that "Diet Coke has calories, without explicitly saying it, which is also very clever.
     
  4. ProfitClinic

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    The long history of disparaging advertising continues because advertising people fail to learn from history, along with their clients (who often drive such advertising).

    There are really only two reasons for disparaging ads:

    1. To steal market share from the competing brand.

    2. To re-inforce positive feelings about your own brand in your existing consumers, typically in response to competitor campaigns targeting your own market share.

    If the ads are disparaging to the competitor (and I can't recall any that aren't), then the statistics show that they can easily backfire on the brand being promoted, with a boost to the disparaged brand.

    Part of the reason is that the other brand has loyal consumers who, for whatever reason, prefer that brand. It's usually related to taste, perceived results or other emotionally-driven factors.

    By challenging their personal choice of brand, you risk saying to them (subliminally), "look, stupid... can you see now why your choice is so dumb?"

    Not smart!

    @dotDavid: Choice magazine's comparative research is something of a joke. One classic example was their infamous comparison of weight-loss products. The research? "It's the Christmas break and we have to compare weight loss products... who wants to take one of these home for the holidays and try it?". Really empirical stuff. Objective and balanced, too. (Not!)

    I've seen many other "studies" done by Choice that ranked proven (clinically) safe, effective products as risky (confirmed by regulatory testing and certification) and seriously-dodgy products as the best. I don't think it's any kind of corrupt motivation... just questionable practices (and, therefore, dubious ethical standards). Incompetence and lack of adequate resources, perhaps.

    John
     
    #4 ProfitClinic, Sep 12, 2010
    Last edited: Sep 12, 2010

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