Nostalgia is making a comeback. Whether it’s PBS announcing a Retro Channel, Gen-Z discovering Sex and The City, iPods selling out at Urban Outfitters, or a new and improved Tamagotchi being released, the power of nostalgia to breathe life into outdated products is apparent from media to consumer packaged goods. For me, hearing Utada Hikaru's “Automatic” in HBO’s Tokyo Vice was a sonic time machine transporting me back to 90’s Tokyo with PHS’s (Personal Handy-phone Systems), mixtapes, disposable cameras and smokey clubs when cigarettes were still socially acceptable inside.  It made me wonder about the power of nostalgia and how brands are strategically harnessing it to breathe new life into seemingly outdated products.

The Maze

Nostalgia by definition is “a wistful or excessively sentimental yearning for return to or of some past period”.  And Millenials and Gen-Z who have grown up or grown into a time when digital has created convenience, speed, affordability and access are now searching to balance that out with experiences and products that essentially have that counter-effect - a desire to go back to simpler, slower, less stimulated times. This has led to a resurgence of both industries and products - industries that through the various digital eras have had to file for bankruptcy like vinyl or film photography or products that have been cycled out like old gaming consoles, toys or even iPods. So, how did we even get here?

In the relentless and rapid march of technological advancement, industries have found themselves in obsolescence. As cassette tapes overtook vinyl in the mid 80’s, CD’s overtook cassette tapes by the early 90’s and then by mid-2016 streaming overtook CD’s and accounted for 51% of the industry’s total revenue. We’ve seen repeatedly consumer preferences shift towards convenience, speed, affordability and access.  It’s exhausting to name all the different digital eras we’ve witnessed from the Dot-Com Boom, to Mobile Revolution, to Social Media era, to the Streaming Age to the Era of Convenience and Big Data and now A.I. If you track the years of iconic brands filing for bankruptcy you can see the ebb and flow of how industries have been affected i.e. Polaroid filing for bankruptcy in 2001, Blockbuster in 2010, Borders Books in 2011, Kodak in 2012, Toys “R” Us in 2017.  But amidst all the commotion, outdated products have started to see a resurgence amongst Millenials and Gen-Z seeking refuge from the always-on, over-stimulation of today’s landscape.

Journey

The film photography industry has experienced a 5% year-on-year growth globally, with 60% of new film users being recent adopters (within 5 years).  Interestingly, the digital features that once rendered film outdated - the instant gratification of viewing pictures in real-time - are exactly what these newcomers reject. They appreciate the unique experience of not being able to see images instantly. This makes their process more thoughtful and deliberate, as they can't take hundreds of shots in a minute and adjust them on the spot.  For their audience, this nostalgic look and feel of film photography has also created a unique appeal enabling photographers to up their prices.

“It’s the part of not knowing what your shot looked like, until you get your scans back, that makes it special.” Luis Gonzalez, 21

‍

The vinyl industry has seen a 11.7% year-on-year growth from 2023, with strong interest from the younger generations, aged 13-25, seeking a unique and tangible experience. And due to the obsolescence in the 80’s forcing many manufacturing plants that serviced these analog and predecessor formats to close, coupled with a shortage of PVC (type of vinyl) - it has created a scarcity and novelty that is increasing it’s desirability. So, the sound that brings you back to “a sentimental past period” coupled with scarcity, novelty and the uniqueness of the sound has driven it’s desirability back into consumer relevance.

“This analog warmth is not about sonic perfection; it's about character. The occasional crackles and pops in vinyl playback aren't seen as imperfections but as elements that infuse the music with a raw, organic touch.” Stozz Audio

‍

The instant print camera industry sales are estimated to grow at 7.9% from 2021 to 2031 and seeing how Fujifilm expects a 15% year-on-year growth on it’s Instax division there seems to be a long-term confidence that this resurgence is here to stay. And while, instant photography actually tracks with the digital shift in consumer behavior - wanting convenience and speed - Polaroid as an example, failed to evolve and integrate the digital aspect until too late leading to their bankruptcy in 2001. With the resurgence, Fujifilm has blended the tangible and digital experience where you can both store your photos online, share on social as well as print - adding access to the convenience and speed, across all your channels.

“A lot of consumers indicate that they don’t even look at Instax as photography. It’s fun, it’s relaxed, it’s social communication.” Manny Almeida, Fujifilm

Maze Brighting

While nostalgia is proving an effective lever to revitalize entire industries, brands are simultaneously incorporating nostalgic references into their marketing efforts to connect with both old and new consumer bases.

Nostalgia of a simpler, less complicated, slower time:

Swiping has increased the speed, complexity and variety of dating. It’s overwhelming and exhausting and Bumble [April, 2024]  has recognized that feeling that digital accessibility, convenience and speed has perpetuated. Leaning into the look and feel of a simpler time it first wiped it’s entire social media feed and replaced it with messages of “exhaustion” recognizing how digital convenience has led to dating burnout. This nod to exhaustion is also a nod to a time when you didn’t have to swipe, text, talk and times were slower, more intentional, more fulfilling with each interaction.

Nostalgia of a less complicated time:

Life is complicated as you get older. And of course the nostalgia of your younger self, when you had little responsibility or awareness of “adulting” feels like a relief. When all you worried about was making friends, eating and playing. Nintendo did a savvy move by bringing back the NES Classic Edition in 2016 (originally released in 1985) and then the SNES in 2017 selling a remarkable 8.88 million Classic Edition consoles before pulling it from the shelves upon the release of the Switch. Now tying that to the ad - it created a “wistful yearning to a past period” that pulled on heart strings making you want to revisit childhood simplicity and memories with loved ones.  I may have shed a tear.

Whether it’s a resurgence of an industry, product or maybe even just feeling - nostalgia marketing is proving to be a strategic lever to connect with younger consumers and even re-connect with former consumer bases.  Shoppers are 52% more likely to make a purchase that makes them feel nostalgic. As the digital revolution continues and we enter new digital highways of A.I. agents, VR immersive experiences and Web3 I wonder what other industries, products and “feelings” will make a nostalgic comeback. What counterbalance will people seek against the overstimulation, convenience, speed, and accessibility that A.I. will bring?

End of Maze