Despite caution, most Canadians still shop weekly for comfort, identity, and connection
Canadians may be tightening their budgets, but that restraint is increasingly guided by emotion rather than necessity, according to new research from payments firm Adyen.
The survey, conducted with the Angus Reid Forum in late March, suggests a shift in consumer mindset: while two-thirds of respondents say they are more selective with spending compared to last year, purchases are still being driven by how they feel rather than what they need.
A striking 91% of Canadians reported making purchases based primarily on emotional factors, with more than one-third saying they do so on a weekly basis. Only a small minority (9%) said they avoid non-essential spending altogether.
This pattern highlights what researchers describe as a “vibe economy,” where consumers prioritize self-reward, comfort, and personal expression even amid economic uncertainty.
Self-reward remains the dominant motivator, cited by 87% of those engaging in emotion-led purchases. Beyond that, 38% say they shop to feel comforted, while 25% turn to spending as a way to manage stress.
Younger Canadians are at the forefront of this trend. Gen Z stands out for its higher rates of stress-related spending, identity-driven purchases, and community-oriented buying behavior. The cohort is also more than twice as likely as Boomers to make daily emotional purchases.
Retail therapy is showing up in what Canadians buy. Physical books, experiences such as classes or concerts, and hobby-related items top the list of purchases tied to comfort and self-care. Even niche categories like vinyl records and collectible toys are seeing elevated interest among younger consumers.
Despite the continued rise of e-commerce, the survey points to a notable resurgence in physical retail. Just over half of Canadians said they chose in-person or tangible versions of products more often over the past year, compared to less than a quarter who favored digital alternatives.
This preference spans generations, including Gen Z, which is often viewed as the most digitally inclined group.
Retail spaces themselves are also taking on new roles. Nearly six in 10 Canadians reported visiting stores without any intention to buy, instead using them as places to browse, relax, or socialize.
Bookstores rank as the most popular destinations for this kind of activity, followed by shopping malls and thrift stores. Younger consumers, particularly Gen Z, are more likely to treat malls and coffee shops as social hubs.
Even as emotional factors take centre stage, price remains a critical consideration. Six in 10 respondents said affordability defines what is “cool” in 2026, making it the most widely cited factor across all age groups.