In an age where AI can generate endless digital content in seconds, a counterintuitive trend is reshaping marketing: people are craving real, tangible, in-person experiences more than ever before. And smart brands are capitalising on it.
The experience economy, projected to reach US$2.1tn by 2032, isn’t just growing – it’s fundamentally changing how consumers spend their money and where they place their trust. For advertisers and agencies navigating fragmentation, signal loss and rising performance pressure, the experience economy is no longer a lifestyle trend. It’s a reallocation of consumer attention and spending, and a clear signal about where brand investment can still create differentiated impact.
The great spending shift: from things to moments
The numbers tell a compelling story. While traveller spending on goods increased 12% between 2019 and 2023, spending on experiences surged 65% over the same period. Among millennials and gen Z, the trend is even more pronounced: 78% of millennials now prefer spending on experiences rather than material goods, with 66% of 18- to 34-year-olds reporting that live experiences give them greater fulfilment than buying an equivalent item. Perhaps no demographic exemplifies the experience economy more than gen Z. They don’t just attend events – they amplify them.
This isn’t a passing fad. In an era of abundant AI-driven digital content, scarce, sensory and unpredictable in-person experiences become more desirable. When anyone can generate a beautiful image or compelling video with a few prompts, the value shifts to what can’t be replicated digitally: human connection, shared moments and the unpredictability of real life.
The business case: from exposure to engagement
Traditional advertising tells people about your brand. Experiential marketing lets them feel your brand. And that distinction matters when 80% of consumers say they’re unlikely to engage with a company that doesn’t provide personalised experiences.
The ROI of real connection
For marketers justifying event sponsorship budgets, the business case is increasingly clear:
- 88% of marketers identify events as key revenue drivers
- 94% using event-led growth strategies report consistent revenue from events
- 84% say events help them stand out from competitors in crowded markets
- 83% consider events crucial for customer loyalty – the metric that predicts long-term profitability
When measured holistically (accounting for content generated, relationships formed, leads qualified, brand lift and long-term loyalty gains), event sponsorship creates compounding value that extends well beyond the initial activation window.
The bottom line: invest where attention is moving
Consumer spending is shifting from material goods to experiences. Satisfaction is shifting from momentary transactions to lasting memories.
For marketers, the question isn’t whether to invest in event sponsorship; it’s which events align with your brand values and offer the quality audiences that justify investment.
As we look at upcoming opportunities like the News24 Business Awards, News24 On the Record summit and the Go! Festival of Hiking / Weg! Stapfees, we’re not just seeing events – we’re seeing platforms where brands can create the kind of meaningful, memorable experiences that the booming experience economy rewards.
In an experience economy, the brands that show up – truly present, genuinely engaged – will be the ones consumers remember, trust and choose tomorrow.
