Transforming transactions in the experience economy
Paysafe's Chief Revenue Officer, Rob Gatto, reveals why building strong customer connections through exceptional experiences is key to business success.
It’s hard to ignore the steady rise of the experience economy, with businesses increasingly pivoting to sell moments in time, treasured memories that stay with us, rather than material goods.
Several factors have contributed to the growth of today’s experience-driven commerce. Social media has provided a visual platform for people to share their latest adventures – and receive the gratifying virtual approval of friends in the form of likes, emojis, and comments. Simultaneously, emerging technologies, such as artificial intelligence (AI) and virtual reality (VR), are enriching and amplifying the experiences that businesses create.
According to our latest consumer research report, Inside the Wallet, 37% of consumers increased their spending on experiences in 2024. What’s more, there’s evidence that experience shoppers – those who spend less on physical items and more on events, travel, dining and the like – are much happier.
This article explores the positive impact of an experience-fueled economy and how businesses can adapt by creating meaningful connections that leave lasting memories.
Why experiences make us happier
A study by the University of Texas found that consumers receive more happiness from their experiences than possessions. After analysing the post-purchase emotions of people who bought material items and comparing them to those who paid for experiences, researchers concluded that experience-seeking shoppers are more content.
The psychologists working on the study cited two reasons why experiences improve our well-being. First, experiences create enduring memories which we can fondly reflect on long after the event. Second, they encourage social connections because we’re more likely to speak about them with friends and colleagues. The interactions sparked by experiences, whether online or in-person, bring us joy.
The importance of turning transactions into experiences
Businesses can learn from these findings. By delighting customers with terrific experiences, you can connect with them on a deeper level, resulting in them building an affinity for your brand over your competitors.
This doesn’t only apply to service businesses offering literal experiences like event tickets. From small retailers selling clothing and accessories to international car manufacturers, every business can weave standout experiences into the customer journey.
Here are a few ideas for how you can go about this, no matter the industry you’re in.
- Deliver moments that delight: Customers remember instances where they have been pleasantly surprised. From out-of-the-blue loyalty rewards to an astonishingly smooth payment process, little moments of joy add to the overall experience.
- Foster community: Create a platform for customers to interact with each other and your brand. Whether a social media group or a purpose-built hub on your website, these spaces help people connect to your brand in a more communal, experience-driven way.
- Host interactive events: Events can provide customers with value beyond the items they buy. The best ones educate and entertain with powerful stories that leave lasting impressions.
Fueling experiences through payments
The most unforgettable experiences start with a payment – the moment a customer places their trust in your business and makes a purchase. The payment itself might happen in seconds, but the memories created by that brief transaction will endure.
Paysafe’s technology fuels experiences in a world where consumers want meaningful moments that bring them happiness. We see every transaction as an opportunity to spark fun, inspire achievement, and forge connections. By seizing that opportunity, we can help businesses build momentum and realize their ambitions.
From local businesses to global gaming brands, our seamless and secure payment solutions turn companies into runaway successes and transactions into revenue. With every payment experience a breeze, your customers are left reminiscing about your incredible products and services, not the checkout process that made it all possible.
