This is a pretty fun episode. It's also one I've seen a lot of times because it also contains audio commentary on the complete second season DVD, just like "Something Smells." This episode isn't as good as that one though. But it's still pretty good!
"Big Pink Loser" is similar to "Mermaid Man and Barnacle Boy II" in that it has two very distinct sections. Unlike the latter the episode though, "Big Pink Loser" does a much better job about not having these two distinct sections feel nearly unrelated and too abrupt. Patrick's dialogue at the end of the first section of the episode foreshadow what will happen in the second section, and it's a logical progression from Patrick learning from SpongeBob to get an award, to him purely copying SpongeBob. So I don't really have any complaints here.
Where I do have complaints, though, is that I don't find this episode particularly funny. It has funny moments, of course (Patrick jumping out of the water and choking, the iconic lid scene), but most of the jokes in this episode don't really get me rolling. I think this episode is much more about the characters rather than the humor, and there's nothing wrong with that, but it just doesn't work for me here.
Focusing on positive things again though, this episode is extremely wholesome and cute. I like the little character tidbits we get of SpongeBob with him building a house of cards (or snail of cards) with Gary and him being an overachiever with a bursting awards closet. Slight tangent, but I think it's so pure that SpongeBob has a legitimate friendship with his pet snail, like he hangs out with him the same way he'd hang out with a friend. I love that.
Anyway, back to the wholesomeness of the episode. SpongeBob is a pretty good friend here, trying to help Patrick earn a reward, which I love to see. The end of the first section of the episode is similarly wholesome, if a bit foreboding with Patrick's dialogue. And then of course the ending is really cute, and I love that Patrick got an award for doing nothing longer than anybody else. His reaction is just too adorable. Season 1 might be the king of making the characters cute, but season 2 is no slouch.
"Big Pink Loser" sits in the upper half of my "Good" tier. This episode is so dang wholesome, which keeps it in good graces with me, but I do have to admit that it's a bit slow for a significant portion. SpongeBob and Patrick's back and forth in the second segment of the episode is great, but it takes a while to get there, which sometimes can even leave me bored, which is not good for an episode's prospects.
Episode Tier: Good
Episode Score: 7.6/10