Travel may be the cure to buyers remorse.
Millennials are constantly putting travel and experiences ahead of goods, much to the dismay of some major markets.
Headlines stating that “Millennials are Killing ‘X’ Industry” are all over the news as it becomes apparent that the younger generation is not interested in investing the way their parents did.
Millennials often put off buying homes, having kids, and other major life choices and investments in favor of experiences. We also allegedly don’t buy smaller goods like napkins, cereal, and dining out.
TheHustle.co recently released a report that stated that argued for the investment in experiences as a way to alleviate and reduce buyers remorse.
A study from Ecological Economics showed that some 82% of buyers experienced buyers remorse.
Buyers remorse occurs when you impulse buy and when you purchase material goods. Your “Approach system” overrides your “avoidance system” and you end up with a funky sunglasses you never wear or that garlic press in the kitchen collecting dust. The avoidance system tells you to avoid risks and negative consequences while your approach system tells you to do whatever makes you happy at that moment.
In a 2011 paper, Cornell University psychologists Emily Rosenzweig and Tom Gilovich took a look at how buyers remorse affects different purchases. Material purchases are more likely to cause buyers remorse because material purchases are more interchangeable. Almost any product on the market has multiple variations.
When you invest in experiences you are less likely to compare other experiences you could have but focus on the memories and joy that it brought you. In our culture and society today it is more likely people will regret missing out on experience as FOMO (fear of missing out) has gained popularity. Experiences that we purchase are less likely to be regrettable buys.
Travel is the one thing you can invest in that you know you won’t regret. Its an experience that is unique to you and your perspective. Often travel experiences don’t leave with you regret but leave you wanting more and waiting for your next vacation.