It's counterintuitive to think that the stuff you can keep forever doesn't keep you as happy, for as long, as a one-off experience does. However, because stuff is always there, we just get used to it, the initial novelty wears off. But an experience can be retold and this reminiscing helps to enhance and prolong the actual activity. Even experiences that aren't so pleasant at the time can turn out to be good once you get to joke about it with friends afterwards or see it as a character-building exercise.
Another reason is that shared experiences connect us more to other people than stuff does. You're much more likely to feel connected to someone you've done the Tongariro Crossing with than someone who also happens to own an Apple TV.
And even if someone wasn't with you when you had a particular experience, you're much more likely to bond over a snowboarding experience than you are over owing the same type of car.
People also have a bad habit of comparing their stuff (houses, cars, clothes, etc). Research has shown that people are much less prone to compare experiences than they are in comparing their stuff. The tendency of keeping up with the Joneses tends to be more pronounced for stuff than for experiential purchases.
After reading the above research I feel a bit more confident about giving my kids an experience for a birthday or Christmas present than more stuff. I will be thinking more and more about how I can sell it to my kids that an experience is worth way more than a new Minecraft character.
A registered psychologist with a masters in applied psychology, Wanganui mother-of-two Kristen Hamling is studying for a PhD in wellbeing at Auckland University of Technology.