Brand Rivalries and Consumer Behavior

It is important to understand both traditional rivalry strategies and praising competitors. Traditional rivalry strategies typically include direct comparisons, competitive pricing, as well as competitive advertising. This can lock in loyal customers, having them purchase solely from that brand. At the same time, however, it might make customers feel attacked if they like both brands.

Praising competitors is usually quite the opposite of this, often acknowledging strengths of rival brands. This can form a different bond with the consumer, where they feel an emotional and trustworthy connection. Rather than tearing down other brands, acknowledging their strengths builds brand credibility. It shows the brand as confident and mature.

There have been several studies conducted, testing consumer response to praising competitors. Surprisingly, it was found that brand-to-brand praise had positive results for the praiser. The praise made the brand seem “warmer” and led to higher sales and increased customer engagement (Zhou et al., 2024).

Thin-slicing is also an important concept to be aware of in marketing and advertising. Thin-slicing refers to the ability to make an accurate judgement based on limited information and in limited time (minutes or seconds)(Mcleod, 2024). For example, if a consumer sees a brand complimenting a competitor, they will very quickly associate that brand with maturity, humility, and emotional intelligence. This quick inference leads a customer to the assumption that they can trust the brand that is giving the praise.

While praising competitors is typically a great way to connect to consumers and create a trustworthy relationship, this is not always the case. There are times in which praising competitors may actually cause harm to the brand. An example of this is in a very competitive industry. Consumers may experience confusion if a brand is complimenting and praising a competing brand, coming off as ingenuine. Additionally, if the praising outshines their own product, it may backfire and lead to more sales for the competitor. It is a fine line that brands must master in order to create friendly competition, and form positive relationships with consumers and rivalry brands.

Works cited:

Mcleod, S. (2024). Thin-Slicing judgments in Psychology. Simply Psychology. https://www.simplypsychology.org/thin-slicing-psychology.html

Zhou, L., Du, K. M., & Cutright, K. M. (2024, July 10). How Brand-to-Brand praise influences consumer perceptions and choices. American Marketing Association. https://www.ama.org/2021/11/17/befriending-the-enemy-the-effects-of-observing-brand-to-brand-praise-on-consumer-evaluations-and-choices/