Experiential Spending Increases

Spending on items like meals out in restaurants and bars rose more than 9 percent this year, according to commerce data obtained by the New York Times.

Spending at retailers dropped around 0.8 percent during the same period. Retail analyst Richard Jaffe of investment firm Stifel Nicolaus told the paper that for some, “it’s becoming more and more about the experience – whether it’s going to a festival or sharing a car ride or going to a new city.

“The religion of consumption has proven to be unfulfilling,” he said. “The ‘pile it high and watch it fly’ mentality at department stores no longer works.”

And for millennials, experiences are even more important. A Harris poll conducted on behalf of Eventbrite earlier this year of nearly 2,100 adults concluded that “more than 3 in 4 millennials (78%) would choose to spend money on a desirable experience or event over buying something desirable.”