The Rise of experience-based businesses
In today’s fast-changing economy, consumer behavior is shifting dramatically.
More people are prioritizing experiences over possessions, fueling the growth of experience-based businesses. Industries like travel, events and wellness are thriving as individuals seek meaningful connections, personal growth and memorable moments rather than just material goods. This trend is reshaping markets globally and creating opportunities for entrepreneurs who can deliver unique experiences.
Why experience-based businesses are growing
One of the biggest drivers of this shift is the changing mindset of consumers, particularly millennials and Gen Z. These generations value experiences that allow them to connect socially, explore new cultures and invest in their personal well-being. Instead of spending money on luxury items, many prefer to put their resources into travel adventures, wellness retreats or immersive events.
Technology also plays a significant role. Social media platforms like Instagram, TikTok and YouTube have made experiences more visible and aspirational. A picture of a sunset at the beach, a yoga retreat in the mountains or a live music festival carries emotional weight and is easily shared, encouraging others to seek similar experiences.
Travel industry: Beyond traditional tourism
The travel sector is one of the most obvious beneficiaries of this trend. However, it’s not just about traditional sightseeing anymore. Travelers increasingly want immersive, personalized and sustainable journeys.
For example:
- Cultural immersion trips where visitors learn local cooking, music or crafts.
- Adventure travel such as hiking, safaris or diving.
- Eco-tourism that emphasizes sustainability and supports local communities.
Airbnb’s growth into “Airbnb Experiences” is a testament to this trend, as travelers want more than a hotel stay, they want to cook with locals, go on guided tours or try wellness activities in their destination. For entrepreneurs, this presents an opportunity to build niche travel services that focus on authenticity and personalization.
Events industry: Creating memorable moments
The events industry has also been transformed by the demand for experiences. Whether it’s concerts, conferences, weddings or festivals, people want events that are immersive and unforgettable.
Businesses in this sector are moving away from one-size-fits-all formats to highly curated experiences. For example, hybrid events that combine digital and physical attendance are now common, offering flexibility and wider reach. Music festivals often integrate food, art and wellness activities to provide a 360-degree experience. Corporate events are shifting towards team-building activities and creative workshops instead of traditional sit-down meetings.
The event business is increasingly about storytelling, personalization and engagement. This creates opportunities for event planners, digital production teams and service providers who can help design unique experiences.
Wellness Industry: Investing in mind and body
The wellness industry has exploded as people focus more on health, mindfulness, and personal growth. From yoga studios and meditation retreats to spa tourism and fitness bootcamps, wellness is no longer a luxury but a priority.
According to the Global Wellness Institute, the wellness economy is worth trillions of dollars, driven by growing awareness of mental health and holistic well-being. Businesses are thriving by offering wellness tourism packages, corporate wellness programs and digital wellness apps that fit into busy lifestyles.
Consumers are willing to pay for services that improve their physical health, mental clarity and emotional balance. Entrepreneurs who combine wellness with travel and events for instance, yoga retreats in exotic destinations are tapping into one of the fastest-growing markets globally.
The role of technology in experience-based businesses
Technology has made experiences more accessible and scalable. Online booking platforms, virtual reality tours, wellness apps and digital event platforms allow businesses to reach a wider audience and deliver personalized services.
- Virtual events and retreats became popular during the COVID-19 pandemic, showing that experiences can also be digital.
- Mobile apps make it easier to book wellness classes, travel packages or event tickets instantly.
- Data analytics helps businesses understand consumer preferences and tailor their offerings.
This digital backbone supports the rise of experience-based businesses, ensuring they can meet modern consumer expectations.
Opportunities for entrepreneurs
The demand for experiences is creating entrepreneurial opportunities across multiple industries. Key areas include:
- Niche Travel Startups – Personalized tours, cultural immersion trips, eco-tourism packages.
- Event Experiences – Creative event planning, hybrid events, themed festivals, and destination weddings.
- Wellness Ventures – Yoga studios, meditation retreats, spa tourism, fitness apps or healthy lifestyle coaching.
- Tech-Enabled Services – Apps and platforms that connect consumers with unique experiences.
Entrepreneurs who focus on storytelling, personalization and emotional value will have a competitive edge in this growing market.
Challenges facing experience-based businesses
Despite the growth, challenges remain. These businesses are highly sensitive to global events like pandemics, economic downturns or travel restrictions. They also require heavy investment in customer trust, safety and sustainability.
Additionally, competition is rising, making differentiation crucial. Businesses that can build strong brands, leverage digital marketing and maintain high service quality are more likely to succeed.
The future of experience-based businesses
The rise of experience-based businesses is not a passing trend, it reflects a fundamental shift in consumer behavior. As people prioritize memories over material possessions, sectors like travel, events and wellness will continue to grow.
The future will likely see greater integration between these industries. For example, wellness tourism festivals, eco-friendly travel retreats and digital-first event platforms may become standard. Entrepreneurs and companies that innovate, adapt to changing demands and use technology effectively will thrive in this new economy.
The global business landscape is changing as consumers move from products to experiences. For entrepreneurs and businesses, this is an opportunity to innovate, personalize and tap into one of the fastest-growing markets worldwide.
In a world where experiences are the new luxury, those who can deliver authentic, meaningful and shareable moments will define the future of business.
Author: Moureen Koech
Moureen Koech is a passionate Digital Journalist, an adept Agribusiness Writer with a keen eye for news and an impactful story-teller,whose stories provide key value to Agripreneurs and stakeholders in the Agricultural sector
