2. What Is Advertising War ?
Comparative advertising or advertising
war is an advertisement in which a
particular product, or service, specifically
mentions a competitor by name for the
express purpose of showing why the
competitor is inferior to the product
naming it.
Comparative advertising is a widely used
form of commercial advertising in many
countries.
3. Definition
In the United States, the Federal Trade
Commission (FTC) defined comparative
advertising as “advertisement that
compares alternative brands on
objectively measurable attributes or price,
and identifies the alternative brand by
name, illustration or other distinctive
information.”
4. History
The earliest case concerning comparative
advertising dates back to 1910 in United
States – Saxlehner v Wagner.
Pepsi vs. Coca Cola in 1985.
The use of comparative advertising has
been well established in political
campaigns.
While comparative advertisements had
increased since1960, the relative amount
of comparative advertising is still small.
5. Objectives Of Comparative
Advertising
Increase consumer’s information
Influence or convince consumer
Focus on the superiority of the
advertisers product over the
competitors
Acceptance of brand
Bring out negative aspects of the
competitor’s product
Degrade competitor’s product
6. EXAMPLE:
To degrade the competitor’s brand on the basis of
value proposition the competitive brand is offering
7. Why Advertising Wars?
Liberalisation and globalisation of
economy, and dismantling of “License-
permit” system.
In a competitive environment, every
representation of a product or service, is
not about “what we are” but “ what
others are not”.
These practices raise questions about
truthfulness and fairness of representation
of products and services.
8. Advertising Wars in India
The “Advertising Standards Council of India
(ASCI)” specifies that comparative
advertisement is permissible if:-
The aspects of the products compared are
clear
The comparisons do not confer artificial
advantages on the advertiser
It is factual and substantial
The consumer is unlikely to be mislead
There is no unfair denigration of the
competing product.
17. Advantages of Advertising War
Functional
Advantages
• Enables advertisers to
objectively demonstrate
the merits of their
products
• Promotes the
transparency of the
market
• Improves competition
For Consumer
• An inevitable part
of the consumer
decision-making
process, particularly
at the evaluation
stage.
• Helps in keeping
down prices and
improving products
18. Risk Of Comparative Advertising
There is a danger that once undertakings
address the merits and inadequacies
of competing goods or services, they may
be tempted to denigrate them or derive
unfair advantages from such inaccurate
comparisons.
Consumer confusion and deception.
Incomplete comparisons
19. Conclusion
• While it is true that comparative advertising is a
two-sided tool, with both potential and dangers (if
misused),it can develop into a powerful tool for the
marketer as well as for consumers if handled with
restraint and good judgement.
• Avoiding any negative references to competitive
products and showing both products
in a fair and equal manner will ensure that dual
mission of comparative advertising
is accomplished – that of educating the consumer
and selling the product.
