The interviewer is curious and would like to know if you are visiting any of their close competitors to discuss similar roles. You are never under obligation to disclose who you are interviewing with, and you are usually best not to name any names. Be direct without giving away too much. Let the interviewer know that you are active in your search but are being very discerning regarding your applications, and final decision. You also do not want it to appear that you are putting all of your eggs into this one basket. Think of this as a first date question - you want to show your interest, but also keep some mystery!
"I have been interviewing for a couple of similar positions; however, I am furthest in the interview process with your organization. I am very pleased with the impressions your management and HR team members have left on me so far."
"I am interviewing with two other organizations for similar roles. One position, I am in the third interview stage, and the other was a pre-screen call with an in-person interview tomorrow. It is important to me that I find work soon; however, I will hold out for the right opportunity."
"I have been approached by Company ABC, and one other, to discuss similar management roles. I am most familiar with your company, and this is my preferred role. Do you have a timeline in mind for this decision?"
"The marketing world is a tight one so, for that reason, I am choosing to keep the details of my search confidential. Three other local marketing firms have approached me, and look forward to receiving an offer soon."
"There are many seasonal retail positions available right now. With that said, your position is of great interest because it is a full-time opportunity. Also, I shop here all the time and would love to be a permanent part of your organization."
"I am not in a position to disclose which of your competitors are engaging me at the moment but I can tell you that I am in early to mid-interview stages with two others. Your company is my first choice, and luckily we are furthest along in the interview process."
"Your school is my first choice due to the leadership team, and the location. I have applied to other schools in the district as well, but I certainly hope to be your first choice as well!"
"I have been interviewing for a couple of short-haul positions; however, I am furthest in the interview process with your organization. I am very pleased with the impressions your management and HR team members have left on me so far."