FedEx Gambles by Going Negative Against UPS

It’s a calculated risk in any marketing venture or political campaign. “Going negative” can backfire and spawn an undesired sympathy vote for your competitor. Yet, FedEx has chosen to go negative against one of its main competitors United Parcel Service. FedEx’s www.brownbailout.com accuses UPS of seeking federal bailout dollars. The problem is that it’s not that simple.

The NY Times points out the obstacles facing FedEx in making a negative campaign stick against its chief rival. It very well may come back to haunt FedEx and tarnish the company which is known for efficiency and the timely delivery of products.

A negative campaign works only in those situations where the facts can be substantiated with overwhelming evidence. The focus of the negativity must also incite the audience. If the supposed wrongdoing or incompetence isn’t clear, going negative can backfire. In this case, UPS isn’t asking for federal bailout money per se. The issue involves federal labor laws which are too complex to spur a negative reaction from the public. It’s simply not an issue that’s going to effect a public response on the affective or gut level. In my opinion, it doesn’t work. If asked, I would have advised FedEx to stay away from the issue. The potential downside for FedEx far outweighs the limited gain it may receive from running such a campaign.

So, what’s an example of an effective negative campaign? Surely, the Lee Atwater produced 1988 Willie Horton attack ad on Michael Dukakis. Was it accurate? You bet. Did it affect the public at a gut level? You bet. Was it fair? That’s a different question. It was effective and painted Dukakis as soft on crime and criminals. It worked and the Dukakis campaign never recovered from it.

The 1984 “Where’s the Beef” Wendy’s ad worked. It was negative but humorous. It was a gentle, not-so-subtle poke at the burger chain’s rivals. The negative message was softened by the funny context in which it was placed.

In sum, before running a negative campaign against a competitor you’d better make sure you have all the facts and those facts incite the desired reaction from your target audience. Otherwise, it could be a campaign your company dies regretting. Negative campaigning can’t be used very often. The public generally doesn’t like the tactic. Be careful and be prudent in choosing such a course of action.