Emotional Consumer Engagement in the Loneliness Economy: The Role of AI Companions, Virtual Influencers and Nostalgia

The study explores the role of AI companions, virtual influencers, and nostalgia in shaping Emotional Consumer Engagement (ECE) within the loneliness economy, with Nostalgic Sentiment (NS) as a mediating factor. The growing issue of loneliness has led to the rise of digital technologies aimed at offering emotional support, such as AI companions and virtual influencers. These technologies provide companionship yet raise concerns about emotional dependence and vulnerability. The research adopts a deductive approach, using primary data from 170 respondents, collected through convenient sampling and analyzed using Structural Equation Modeling (SEM). Findings show that AI companions, virtual influencers, and nostalgia positively influence ECE, with nostalgic sentiment playing a significant mediating role. The study is grounded in Parasocial Interaction Theory, which explains one-way relationships where consumers feel emotional connections with AI and virtual influencers. Additionally, Conservation of Resources Theory helps explain how nostalgia, as a coping mechanism, can alleviate feelings of loneliness, while Social Identity Theory highlights how collective nostalgia fosters group identification and belonging. The study underscores the power of nostalgia-driven content in fostering emotional bonds and increasing consumer engagement, while raising ethical concerns regarding the commodification of emotional experiences. Managers can leverage nostalgic content to enhance consumer engagement, though they must carefully consider the ethical implications of exploiting emotional vulnerabilities.