Have both, would like insight on which to upgrade
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The Last Word hands down, but in saying that, isn't there a better gun you could have put up as a comparison?! The Red Death is useless if you have Suros or even Shadow Price. Taking it into the Raid is also useless due to it still being a pulse rifle. The red death was the first gun I took into the raid on normal and mid raid I switched to a Legendary Scout which gave me more damage output per shot. It's only good as a first exotic weapon if you're a level 21.
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Last word
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What do you prefer, distance or close quarters? Last word is great in a lot of pvp situations since most occur in close quarters. Red death is great for pve and distance matches.
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The last death and red word are my favorites
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Red Death is better for ranged combat, and it also has the perk that restores health with kills. The Last Word is good for close quarters combat. It's really just a matter of opinion.