Buying Experiences Over Products

Health, career, and balance – the three values that the millennial generation find most important. This generation focuses on staying healthy and fit, finding a career that fulfills their purpose and creating a life balance to live in the moment and live their best lives.

A study conducted by the Harris Group shows that the majority of millennials value experiences over purchasing stuff (Source: EventBrite). They found that 3 in 4 millennials would rather spend money on an unforgettable experience such as an event or travelling rather than a tangible product that they find desirable. They believe that happiness comes from spending time with family and friends and capturing moments that shape their identity.

Accumulating less stuff and enjoying more experiences is even more emphasized when we look at an increasingly popular trend of minimalism – a lifestyle that is being adopted by many millennials. Minimalism is a lifestyle that encompasses creating experiences rather than accumulating worldly possessions. It’s about only obtaining things that are important to you and getting rid of the clutter to add value to your life.

What does this mean for businesses targeting millennials? For some, this would be no problem as their business already provides an experience for their customers (ex. Travel agencies). But for those who are selling tangible products or services it may be a little trickier. For these businesses, you will need to analyze your offering and determine how it can provide value to the millennials. You need to hone down on the experience or lifestyle your product provides that millennials will find valuable and can connect with.