Spend on experiences rather than possessions
Experiences resist adaptation better than objects because they exist as memories that improve over time.
Key takeaways
- What it is: Experiences resist adaptation better than objects because they exist as memories that improve over time.
- Why it works: Objects are present and constant, which makes them easy to adapt to. Experiences become memories, and memory is reconstructive — positive events tend to be remembered more favorably than they were felt. Additionally, experiences are harder to compare and therefore less subject to the "keeping up with the Joneses" dynamic that corrodes satisfaction from material purchases.
- Evidence: Backed by observational / correlational evidence.
- Avoid: Treating "experiences" as vacations only — the principle applies equally to a dinner, a lesson, or an afternoon doing something new.
Why it works
Objects are present and constant, which makes them easy to adapt to. Experiences become memories, and memory is reconstructive — positive events tend to be remembered more favorably than they were felt. Additionally, experiences are harder to compare and therefore less subject to the "keeping up with the Joneses" dynamic that corrodes satisfaction from material purchases.
How to do it
- 1For a given budget, compare: would I rather own the object or have the experience?
- 2If the object will integrate into daily routine within weeks, weight the experience heavily.
- 3Prioritize shared or novel experiences, which resist adaptation longest.
What the evidence says
ObservationalThomas Gilovich and colleagues found across multiple studies that people reported greater lasting satisfaction from experiential purchases than material ones, even controlling for cost.
Honest caveat: The effect is robust in self-report studies but some research finds material goods win when they enable repeated experiences (a good bike, a kitchen) — the category boundary matters.
- — Van Boven & Gilovich (2003), "To Do or to Have? That Is the Question," Journal of Personality and Social Psychology
Common mistake
Treating "experiences" as vacations only — the principle applies equally to a dinner, a lesson, or an afternoon doing something new.
IX Coach helps you audit your spending against your actual wellbeing, identifying whether your material purchases are delivering the life satisfaction you predicted.
Practice this with IX Coach →