You're at a basement bar where faded bandanas and beer caps adorn the walls. At the bar counter, a strong bike with a dented bumper shows off, and it appears that the dust from the hot highway hasn't had a chance to settle. Can you identify the atmosphere? A brand that has invested a great deal of money and established a whole marketing plan for it can "program" nostalgia or something similar. But things aren't always like this. Landor, a longtime employee of one of the biggest branding firms, will make sure everything is done correctly.
Studies reveal that nostalgia makes it simpler for customers to part with their money, making nostalgia a very cost-effective marketing strategy. Furthermore, during economic downturns, nostalgic feelings tend to increase, which makes the millennial generation—the primary target audience for all marketers—particularly vulnerable to this phenomenon. Nostalgia marketing is growing in popularity as multinational companies like Microsoft and Spotify create films that transport viewers back to simpler times, and Netflix releases shows from the 1980s one after another.
What benefits may branding get from such a nostalgic wave? Do any brands that exclusively appeal to nostalgia exist, and is this the most effective strategy to enhance a brand's value? At Landor Milan, we frequently assist businesses with significant historical legacies in preserving and strengthening them. While not all of these firms place their hopes on nostalgia to recover, those that do fall into two categories: historical brands and nostalgic brands. Five primary distinctions have been noted, along with their advantages.
Myth or reality: what is history?
Reputable brands may trace their roots back at least a generation.
Despite their relative youth, nostalgic businesses have a way of appealing to the tastes and norms of bygone eras.
Actually, not every company that adopts an old-school look is an established one. Take the Detroit-based design firm Shinola, for instance. Founded in 2011, the firm has transformed the name of a century-old local shoe store into a millennial favorite brand by offering handcrafted items and minimalist accessories with a nostalgic, vintage twist. That cannot be said of the Hermès brand, which has stuck to its identity and aesthetic since it first emerged in 1837 as a handcraft factory producing horse equipment.
British restaurant business Frankie & Benny's, which offers American-Italian food, is another example of a brand with a mythology but no true narrative. Their mythical history begins in 1924 with an immigrant youngster named Frankie and his American pal Benny. However, the corporation really built its first restaurant in 1995. The black and white photos that adorn the restaurant's décor, which is designed in the 1950s style, induce a sort of pseudo-nostalgia. This strategy is undoubtedly effective since Frankie & Benny's currently boasts 250 locations.
Examine Pasticceria Marchesi, an Italian culinary brand. The second-oldest patisserie in Milan was established in 1824. Prada created a second site in 2014 that sells identical merchandise after acquiring 80% of the original store. In every consumer engagement, a genuine brand with a backstory does not have to demonstrate it. Fashion influencers typically become excited when they visit the recently opened patisserie, which boasts an attractive, sophisticated, and visually appealing interior.
Duration: one or numerous?
Many historical events have an impact on brands that have a history.
When people think of nostalgic brands, they often picture a bygone era.
The emotion of longing for a bygone era is known as nostalgia. The popularity of fashion labels from the 1980s and 1990s may have originated in consumers' recollections of those years. However, it might also be something that buyers have never felt, like the glamor of the 1950s or the air of medieval chivalry—what Entrepreneur magazine terms "false nostalgia."
Example: when we think of a tight-knit Harley-Davidson gang, we immediately think of the poetic, defiant, and rebellious 1970s. However, the Italian company with roots in Ducati (which was formed in 1926) has used regular MotoGP racing to prove its superiority, highlighting its many victories and famous drivers and firmly establishing its reputation as an excellent brand in the eyes of consumers.
Benefit Cosmetics, which was founded in 1976, exudes a sense of nostalgia for the grace and sensual femininity of bygone eras and is characterized by a pin-up aesthetic that is prevalent across all media. In contrast, Max Factor (launched in 1909) enjoys the support of the whole Hollywood Museum and has worked with beauty legends like Madonna and Marilyn Monroe.
Which is more innovative, content or access?
Brands have a long history of innovating in their product or service (content) to keep up with the latest trends.
Brands with nostalgic appeal refresh content access, suggesting that their goods or services are flawless from the start.
Redefining themselves, their goods, and their messages repeatedly is a common practice for brands with a long history. They want to capture the most true representation of their timeless, true essence. Though they are updating access rather than the content itself, nostalgic companies are capable of being just as creative and imaginative. Remember how Pokémon Go changed the gameplay and how you interacted with the characters but didn't alter the characters themselves?
Starbucks has changed over its 50 years from being a single city (Seattle) merchant of coffee and equipment to a global supplier of innovative techniques. The company has a distinctive coffee heritage, beautiful coffee roasters and merchandise, its community and events, a music label, and a mobile application. Starbucks' image and products are always changing, yet they never lose sight of the company's history.
Conversely, Hard Rock Cafes have successfully incorporated their distinct aesthetic and nostalgic vibe into the brand, all the while expanding accessibility—that is, the quantity and scope of additional locations across the globe.
Though its iconic looks have remained the same for decades, Levi's brand touchpoints and marketing are still relevant and contemporary. Like many other legendary fashion firms, Gucci reinvents itself with every new creative director and seeks fresh and creative methods to convey the brand's essence.
What does the past mean for a brand—proof product?
Historical brands point to their past as proof of their superior goods.
Reminiscent brands allow you to touch the past through the brand itself, and the past serves as the product.
Because well-established brands are always evolving, they leverage their past to demonstrate their experience. This builds consumer trust and preserves brand identity, particularly when introducing new events, businesses, or products. Brands with nostalgic appeal highlight the past and act as a window into bygone eras through their merchandise.
The Campari Group's new endeavor, the Campari Academy, a training facility for mixologists and bartenders, has credibility because of its history. The brand's strong business culture and autonomous, pioneering spirit are always renewed by the inspiration of the Campari history.
Tassoni, an Italian beverage brand, has a unique connection to the past. Following its 1970s popularity, the company faded into oblivion. In the 1990s, it made a comeback and found success once again. As an ideological rival to Coca-Cola, Tassoni is now seen as an outdated brand that embodies local traditions and is associated with nostalgia. Plus, not a single transformation has taken place. According to Tassoni's CEO, the legendary ad has been running every summer since the 1970s, and, like the drink's secret recipe and packaging, it cannot be changed because customers enjoy it so much.
One such product that promotes a bygone period is Moleskine. Though it didn't launch until 1997, the brand has always alluded to a bygone era—namely, Hemingway's notebooks or the 19th-century literary cafes—in its marketing and advertising. Moleskine is notable for its comparatively high price because of its connection to a bygone culture and the feeling of limitless inspiration that it evokes. On the other hand, Faber-Castell is another stationery brand that primarily sells high-quality stationery, with the brand's history being brought up solely to emphasize how great it is.
Longevity: for a single use or forever?
Companies catering to a bygone era are wisely capitalizing on the fleeting nature of nostalgia.
Historical brands are resilient and prepared to adapt through innovation.
Nostalgia is a feeling. Images, flavors, and locations from the past can reawaken it, and it flourishes in times of upheaval. However, this phase of life eventually fades away. This won't happen very often; it's more of a special occasion. Companies either ride this trend or stick to tried-and-true ways of product differentiation.
The last day of business for the American grocery chain Sears, which opened in 1893, was March 2019. After hearing the news, many took to social media to reminisce about their childhoods spent shopping at the store. Why, though, did the store have to close if it was so beloved? Nostalgia clearly isn't a sufficient condition for sustained viewership. British department store chain John Lewis & Partners has been around for a long time and brings back fond memories for many customers, but to keep up with the times, the business is always improving its customer service and marketing.
Pokémon Go is another incredibly popular illustration of how nostalgia is fleeting—it has brought back childhood memories for millions of its players. After the company made a profit of more than $1.8 billion in 2016, the euphoria surrounding it peaked, and the nostalgia eventually subsided. Consider the popularity of a classic game like Minecraft, which was played by over 112 million people each month, even ten years ago.
Use nostalgia carefully since it's a strong instrument.
Through nostalgia, a company or campaign may quickly elicit strong emotions by knowing its target demographic and utilizing the correct time. Beyond that, though, it may make a brand outdated, target audiences exclusively at a certain generation, reduce chances for change, and alter a company's standing in response to shifting public opinion.
There are specific industries where nostalgia isn't used very often. As a result, it may compete with an automaker that is anticipated to lead the way in innovation.
Since nostalgia is the fastest but least reliable route to client trust, it needs to be paired with practical competitive advantages and cutting-edge solutions. However, creating a brand with a narrative calls for careful preparation ahead of time in addition to a goal to gradually gain people's confidence and continuously improve.
Both genuine heritage and nostalgia have advantages and disadvantages in branding. You must pick your strategy wisely, regardless of whether your business needs a makeover or you want to establish a nostalgia trend. Moreover, establish an objective.