Innovations in Product Functionality: When and Why Are Explicit Comparisons Effective?

Abstract

The authors investigate the effects of explicit comparisons in differentiating innovations that offer new functionalities to the consumer. Although marketing communications commonly employ explicit comparisons in launching new product functionalities, the authors suggest that such comparisons are not always helpful. The authors show that an explicit comparison of a new functionality with an existing functionality is effective only when the new functionality is offered in a device or physical product that is atypical of the existing functionality. However, when the new functionality is offered in a product that is typical of the existing functionality, explicit comparisons tend to backfire because they merely facilitate the assimilation of the new functionality to the prior functionality. The results of three studies provide significant support for the predictions, and a fourth study demonstrates how the backfire effect might be avoided. The authors discuss implications for communication tactics, new product marketing, and consumer behavior theory.