Analysis of the major benefits and risks of nostalgia that influence the purchase behavior of the four generations of customers

Details

Supervisors

Bartier, Anne-Laure ; Lejeune, Christophe

Faculty

Louvain School of Management

Degree label

Master [120] en sciences de gestion

Abstract

For several years now, political, economic and social crises have succeeded one another all over the globe. We only need to think of a few of them to understand how anxious an important number of customers are towards the future and the lack of marks they bear to tackle this ever-changing world. Now, more than ever, customers turn their back on the actual society and its values of mass consumption and innovation and instead advocate values from the past. « They hope a return to simpler times by buying products that evoke past joys » (Bartier, 2012, p 3). Since the end of the 20th Century, an increasing number of brands have started to capitalize on this quest of the past by relying on a new marketing technique: nostalgia marketing. Nostalgia marketing has proven to be a very successful strategy for companies, as it carries many benefits, both for the companies and the customers. However, marketers should be aware that nostalgia also comprises several risks. But how can companies attract customers towards their nostalgic brands by taking the benefits and risks of nostalgia for the customers into account? Which ones of these benefits and risks of nostalgia are the most relevant ones for marketers, in the way that they truly influence the consumption choices of the customers? Are there other reasons why customers purchase nostalgic brands and products? And why do customers reject nostalgic brands and products? The following thesis will try to answer all these questions. Therefore, we will first proceed to an extensive literature review to identify the benefits and risks of nostalgia for the customers. In the practical part of this thesis, we will then realize a qualitative analysis to determine which ones of these benefits and risks influence the purchase behavior of the customers the most. Finally, we will draw some clear recommendations on how companies can capitalize on the results of our research to attract customers more efficiently towards their nostalgic brand.