Praise and encouragement are different concepts. Praise is more like an evaluation or a judgement and it can have a negative effect on people. On the other hand, encouragement is to inspire with spirit and hope, it is bringing out more motivation and the other person's succesful sides. In other words, it is telling people to do more what we enjoy receiving and do less the things that they are not succesful. The examples in the below picture help us more to understand the difference between these two concepts and the results of using each one of them.
I also found a very good and meaningful statement about encouragement and praise which describes the importance of motivation by using the encouragement after a failure.