How nostalgic brand positioning shapes brand equity: differences between emerging and developed markets

Martin Heinberg,Constantine S Katsikeas,Markus Taube,H Erkan Ozkaya

doi:10.1007/s11747-019-00637-x

Abstract

Extant research has established the effects of nostalgic brand positioning on brand equity, but studies have only examined individual nostalgic brand relationship dimensions separately. Combining these strands, we offer a holistic perspective of the mediating processes and identify contextual and firm-related moderators that affect the individual linkages. We draw on construal level theory and develop a multilevel model in which emotional attachment, brand local iconness, and brand authenticity explain how nostalgic brand positioning creates brand equity. We posit that country differences between emerging and developed markets and brand innovativeness moderate these mediating effects. The results from large consumer samples suggest that emotional attachment and brand local iconness play a weaker role in mediating the connection of nostalgic brand positioning and brand equity in emerging markets. However, this disadvantage in creating brand equity through nostalgic brand positioning in emerging markets can be attenuated with increasing levels of brand innovativeness.

Highlights

Extant research has established the effects of nostalgic brand positioning on brand equity, but studies have only examined individual nostalgic brand relationship dimensions separately
Our results reveal that mediation through emotional attachment and mediation through brand local iconness of nostalgic brand positioning on brand equity are weaker in emerging markets
While most research has focused on consumers’ predispositions for nostalgia (Ford et al 2018), little work has taken a holistic perspective on the different channels through which nostalgic brand positioning leads to brand equity or asked if these different channels are subject to certain moderating effects, such as the country setting or brand innovativeness

Summary

Introduction

Extant research has established the effects of nostalgic brand positioning on brand equity, but studies have only examined individual nostalgic brand relationship dimensions separately. The results from large consumer samples suggest that emotional attachment and brand local iconness play a weaker role in mediating the connection of nostalgic brand positioning and brand equity in emerging markets. This disadvantage in creating brand equity through nostalgic brand positioning in emerging markets can be attenuated with increasing levels of brand innovativeness. Nostalgic positioned products have been connected to emotional brand attachment (i.e., social distance), brand localness (i.e., spatial distance), or brand authenticity (i.e., temporal distance) Treating these nostalgic brand relationship dimensions separately results in myopic observations of brand-related nostalgia, regarding the conditions under which managers should stress certain relationship dimensions over others

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