Comparative Advertising

A A A

DEFINITION

A marketing strategy in which a company shows how its product or service is superior to that of its competitors by comparing the benefits and costs within the advertisement itself. A comparative advertising campaign may involve printing a side-by-side comparison of the features of a company's products next to those of its competitor.

INVESTOPEDIA EXPLAINS

Comparative advertising is not used solely for the promotion of a product or service. It has become a common technique used in political advertisements, with one candidate listing how he or she would not have made the same specific decisions as the incumbent if elected. This type of advertising is popular with companies releasing new products, as the focus of the ad will be how the new product is better than products already on the market.




RELATED TERMS
  1. Parasitic Advertising

    A type of marketing that promotes one product at the cost of lost sales for ...
  2. Product Life Cycle

    The period of time over which an item is developed, brought to market and eventually ...
  3. Consumer Reports

    An evaluation of a new product, or a comparison between products, that is released ...
  4. Word-Of-Mouth Marketing - WOM Marketing ...

    When a consumer's interest for a company's product or service is reflected in ...
  5. Marketing Campaign

    Specific activities designed to promote a product, service or business. A marketing ...
  6. Promotion

    1.In terms of a career, a promotion refers to the advancement of an employee's ...
  7. Marketing

    The activities of a company associated with buying and selling a product or ...
  8. Viral Marketing

    Internet advertising or marketing that spreads exponentially whenever a new ...
  9. Big Data

    The growth in the volume of structured and unstructured data, the speed at which ...
  10. Social Media Marketing (SMM)

    The use of social media websites and social networks to market a company’s products ...
Related Articles
  1. How To Target Ideal Customers
    Professionals

    How To Target Ideal Customers

  2. Advertising, Crocodiles And Moats
    Professionals

    Advertising, Crocodiles And Moats

  3. Don't Be Misled By Investment Advertising
    Home & Auto

    Don't Be Misled By Investment Advertising

  4. The Lucrative World Of Third-Party Marketing
    Professionals

    The Lucrative World Of Third-Party Marketing

  5. 10 Breakout Ideas For Small Businesses ...
    Entrepreneurship

    10 Breakout Ideas For Small Businesses ...

  6. The Power Of Branding
    Entrepreneurship

    The Power Of Branding

  7. How Doing Your 'Share' Has Enriched ...
    Investing News

    How Doing Your 'Share' Has Enriched ...

  8. What's At Stake As Google Takes On Amazon? ...
    Investing News

    What's At Stake As Google Takes On Amazon? ...

  9. Don't Believe The Hype About A Yahoo ...
    Stock Analysis

    Don't Believe The Hype About A Yahoo ...

  10. Unbundling
    Investing Basics

    Unbundling

comments powered by Disqus
Hot Definitions
  1. Cash and Carry Transaction

    A type of transaction in the futures market in which the cash or spot price of a commodity is below the futures contract price. Cash and carry transactions are considered arbitrage transactions.
  2. Amplitude

    The difference in price from the midpoint of a trough to the midpoint of a peak of a security. Amplitude is positive when calculating a bullish retracement (when calculating from trough to peak) and negative when calculating a bearish retracement (when calculating from peak to trough).
  3. Ascending Triangle

    A bullish chart pattern used in technical analysis that is easily recognizable by the distinct shape created by two trendlines. In an ascending triangle, one trendline is drawn horizontally at a level that has historically prevented the price from heading higher, while the second trendline connects a series of increasing troughs.
  4. National Best Bid and Offer - NBBO

    A term applying to the SEC requirement that brokers must guarantee customers the best available ask price when they buy securities and the best available bid price when they sell securities.
  5. Maintenance Margin

    The minimum amount of equity that must be maintained in a margin account. In the context of the NYSE and FINRA, after an investor has bought securities on margin, the minimum required level of margin is 25% of the total market value of the securities in the margin account.
  6. Leased Bank Guarantee

    A bank guarantee that is leased to a third party for a specific fee. The issuing bank will conduct due diligence on the creditworthiness of the customer looking to secure a bank guarantee, then lease a guarantee to that customer for a set amount of money and over a set period of time, typically less than two years.
Trading Center