Definition : Indirect competition

Indirect competition refers to the rivalry between businesses that offer different products or services but still compete for the same consumer base. Unlike direct competition, where companies offer similar products or services, indirect competition occurs when businesses indirectly compete for the attention and spending of customers. This can happen when companies offer substitute products or services that fulfill a similar need or desire, or when they target the same demographic or market segment. Indirect competition can also arise from changes in consumer preferences or technological advancements that make one product or service more appealing than another. Ultimately, indirect competition highlights the importance of understanding the broader market landscape and adapting to changing consumer demands in order to stay competitive.

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