Millennials still value travel experiences over tech
While the beauty of nature and exciting travels seems lost on many, Millennials appear to still have their priorities in order. CreditLoad.com surveyednearly 1,000 people on which purchases they value most, and experiences ranked higher than material things for nearly everyone. Here's some other findings:
47.1% of respondents are willing to sacrifice major lifestyle luxuries in order to afford a vacation... one respondent reportedly gave up eating out for an entire year in order to afford a trip to Mexico
Baby Boomers are the most loose with their wallets when it comes to enjoying a holiday- average amount spend came out to $1,469.37
On average, Americans regret costly purchases (like tech gear) 30% of the time and find more value in experiences like vacations.
Daniel Wesley CreditLoan Founder says: "At a time when people increasingly favor spending money on experiences rather than material possessions, and the prices of certain big-ticket items like televisions and international airfare are falling, what do most Americans think is worth splurging on anymore?
While the price on some purchases may be going down, smartphones are now getting more expensive after years of lower prices. With the cost of some devices eclipsing $1,000, do people ever regret having the newest Samsung or Apple device after shelling out heaps of cash to upgrade from their old phones?"
To find out, CreditLoad.com surveyed 998 Americans on which purchases mattered most to each generation, if millennials spent as much on experiences as they seemed to value them, and which purchases people generally regretted buying the most.
Whether you’ve researched a product well enough to make an informed decision or purchased something on a whim, it’s entirely possible to feel buyer’s remorse almost immediately afterward. Nearly half of Americans regretted buying their homes after the paperwork was signed – but what about smaller, everyday purchases?
Gen Xers spent the most on TVs, but baby boomers were the most likely to feel regret over buying them. And when it came to the newest trend in wearable technology, Gen Xers weren’t alone in second-guessing their buying decision. More than 54 percent of baby boomers and 43 percent of millennials joined the 48 percent of Gen Xers experiencing regret over purchasing smartwatches. Despite the rave reviews Amazon received for a recent Alexa ad, smart speakers were also among the most regretted tech buys across the generations.
According to CreditLoad.com's survey, the “experiences over things” sentiment doesn’t necessarily apply only to millennials. Americans were less likely to feel remorse on experiential purchases, especially when it came to family celebrations like birthdays. Roughly 12 percent of millennials and baby boomers had regret about money spent on a family occasion.
Overall, Americans of all ages felt less regret about money spent on experiences than tech. Still, nearly 19 percent of millennials felt remorse about spending on experiences, compared to roughly 32 percent who regretted spending on tech.
Voting With Their Wallets Studies suggest millennials above any other generation value experiences like vacations, concerts, and sporting events over material possessions. According to our research, millennials reported valuing these experiences higher than Americans in other age groups but admitted to spending the least on both technology and experiential purchases overall.
"Our survey also revealed men and women of every generation placed a lower valuation than experiences on technology purchases (including tablets, TVs, and smartwatches) but spent more, on average, than they felt those products were worth. While the average estimated values on technology purchases ranged from $284 to $292, Americans were willing to spend $70 more than they thought those products were worth in some cases. Millennials especially spent more on smartwatches and smart speakers than any other generation", says Daniel Wesley.
Unlike technology, Americans actually valued experiences higher than the amount of money they spent on them most recently. With their estimated worth ranging from $637 to $658 across all generations, respondents told us they only spent, on average, between $593 and $597 on vacations, celebrations, or events like concerts. For vacations specifically, millennials put the highest value on their leisurely adventures, while Gen Xers were willing to spend the most to get away. In either case, understanding how to maximize your spending (and earn rewards) with the right travel credit cards could help lower out-of-pocket expenses that come with jet-setting.