EXPRESS: The Role of Heritage Connection in Consumer Valuation

Abstract

Owners value heritage goods, items that connect them to a shared past, whether through their alma mater or their family history. This research considers the impact of heritage on owners who wish to sell such goods. In five studies, we demonstrate that sellers have a lower willingness-to-accept (WTA) for heritage goods when selling to buyers with a shared heritage connection relative to buyers without this connection (i.e., a heritage discount). This heritage discount cannot be explained by in-group favoritism, sentimental value, or appropriateness of buyer usage and persists even when sellers perceive that the buyer has a higher willingness-to-pay (WTP). We provide process evidence that the effect of the buyer’s identity on the seller’s WTA is driven by concerns about heritage loss. Our findings contribute to literatures on sharing, sentimental goods, psychological ownership, and the endowment effect, and have marketing implications for consumer goods (e.g., collectibles) that derive product value by connecting consumers to meaningful history and traditions.