Fighter brand

[1] A related concept is the flanker brand, a term often found in the mobile phone industry and elsewhere.

[4] As customers trade down to lower-priced offers because of economic constraints, many managers at mid-tier and premium brands are faced with a classic strategic conundrum: should they tackle the threat head-on and reduce existing prices, knowing it will reduce profits and potentially commodify the brand, or should they maintain prices, hope for better times to return, and in the meantime lose customers who might never come back.

With both alternatives often equally unpalatable, many companies choose the third option of launching a fighter brand.

When the strategy works, a fighter brand not only defeats a low-priced competitor, but also opens up a new market.

The Celeron microprocessor is a case study of a successful fighter brand.