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Small Luxuries: How Americans Are Spending to Feel Better

Economy
November 25, 2025 - 6 min read

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Small Luxuries, Big Feelings: How Americans Are Coping Through Affordable Indulgence

Economic uncertainty hasn’t stopped Americans from indulging — it has simply changed how they indulge. Our national study of 1,000 U.S. adults reveals a powerful cultural shift: people are embracing small luxuries as accessible sources of joy, stability, and emotional comfort.

From $8 skincare minis to collectible toys and trendy drinkware, these everyday treats offer a psychological lift during a time when larger purchases feel out of reach.

The Emotional Economy: Why Small Luxuries Matter Now

Americans are using small luxuries to regulate emotions, reward themselves, and feel grounded.

  • 46% buy small luxuries to treat themselves
  • 13% buy to lift their mood
  • 62% say these items help maintain a sense of normalcy
  • More than half report feeling happy or excited after purchasing one

This is not a gendered trend, this is the Treat-Yourself Economy, where consumers of all ages use small, affordable indulgences to create joy and emotional stability in their daily lives.

Small luxuries aren’t frivolous. They’re emotional tools.

Generational Differences: Who Buys What — And Why

Gen Z: Trend-Driven Self-Expression

  • 69% purchased a small luxury recently
  • Strong influence from TikTok, Instagram, YouTube
  • Purchases double as identity, aesthetics, and community

Millennials: Highest Frequency Buyers

  • 33% buy small luxuries multiple times a month
  • Use indulgence to offset stress and burnout

Gen X: Emotional Anchors

  • 40% say small luxuries help maintain normalcy
  • Purchase items that provide comfort and balance

Across younger generations, 50% purchase small luxuries frequently.

From Scroll to Cart: Social Media’s Power Over Small Luxury Purchases

Social platforms are shaping what Americans buy — and how often.

  • 40%+ purchased a small luxury after seeing it on social media
  • TikTok leads with 20%, followed by Instagram (17%) and YouTube (17%)
  • 62% have posted their small luxury purchases online, amplifying the trend

“Treat yourself” has become a social ritual — not a private one.

What Counts as a Small Luxury?

Consumers are expanding the definition of indulgence.

1. Collectibles (33%)

Jellycat, Sonny Angel, Labubu figurines, kawaii objects, art toys

Why: They spark nostalgia, identity, and joy

2. Designer Water Bottles (37%)

Owala, Stanley, Hydro Flask

Why: Functional items that signal aesthetic taste and lifestyle

3. Premium Skincare Minis & Beauty

Why: Affordable rituals that create moments of self-care

These categories prove one thing: Luxury is no longer about price — it’s about how something makes you feel.

Why Small Luxuries Matter in an Uncertain Economy

This study reveals a broader cultural shift:

  • People are stressed — but still crave joy
  • Small treats offer emotional balance
  • Identity and self-expression matter, even on a budget
  • Gen Z and Millennials lead the trend, but all ages participate
  • Social media accelerates desire, discovery, and validation

Consumers aren’t giving up indulgence, they’re personalizing it.

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