The experience economy runs on FOMO. What if you don’t have the cash on hand to pay for climbing ticket prices? Gen Z and Millennials often use credit for travel, dining, and live shows. The data is startling.
But as an investor, you have to ask:
Why the significant shift in spending away from things and towards experiences? To me, it seems like a reprioritization of what we value. People spend more and more time in zoom meetings, scrolling social media, and otherwise online. We crave shared experiences. We crave bass shaking our chests or the revving of an engine. We crave insane light shows.
It’s almost a spiritual experience.
So we see Gen Z’s & Millennial’s priorities shift from spending on “things” to “feelings.” The data suggests consumers will leverage future earnings to get that sense of belonging now.
Is it risky?
Financially, perhaps.
But for the experience economy, it’s rocket fuel.
For more on the experience economy, look here: