Even with tighter budgets and the threat of tariffs impacting the cost of goods, a new study reveals that 55% of Australians still prioritise experiences over material possessions. Dining out and travel top the spending wish lists for 30% of Aussies, demonstrating the enduring power of the experience economy. Full-service media agency, Mediahub’s second annual Scout consumer study, “The Paradox of Purchase Decisions,” surveyed 1,000 Australians and uncovered a complex consumer landscape.
While cost-of-living pressures remain a primary concern for 50% of respondents, this is down by 13% year-on-year, while overall feelings of contentment have risen by 9% year-on-year. Anxiety levels have also decreased by 10%, with 21% reporting anxiety in 2025 compared to 31% in 2024. This suggests a growing resilience and adaptation to ongoing financial challenges.
“Global issues like tariffs and geopolitical tensions have put consumer spending under scrutiny,” says Linda Fagerlund, Chief Strategy Officer at Mediahub. “Amidst the negativity, consumers are shifting their mindset. Australians are tightening their belts, but they’re also reframing what brings happiness. Contentment now centres on connection, quality time, and feeling in control. This is the paradox of purchase decisions – brands need to speak to both the head and the heart.”
The study highlights several key paradoxes shaping consumer behaviour:
Brand reputation grows as price sensitivity weakens: Delays towards purchasing big-ticket items have doubled year-on-year. However, while smaller, everyday trade-offs are now habitual behaviour based on price, larger purchase decisions demand a stronger emotional connection to the brand (+15% more than everyday spending). Premium or high involvement brands need to emphasise long-term value and aspirational narratives.
The mental load gap: A significant gender gap emerged, with men feeling more optimistic and women reporting higher anxiety levels. This underscores the mental load carried by women and the opportunity for brands to offer empathetic, practical support and build community.
Experiences over essentials: Despite financial constraints and 36% saying they are actively making trade-offs on travel and holidays, over half of Australians still say they prioritise experiences.
“These paradoxes are crucial for brands seeking to connect with customers,” adds Fagerlund. “Despite economic pressures, consumers are seeking a balance – practicality combined with a renewed desire for meaningful experiences.”
To receive the full report, register here: https://tinyurl.com/paradoxofpurchase
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