Where do you pinch pennies when you’re travelling? A new study has revealed the ways in which Aussie travellers will cut back on costs while they’re on holiday so they can afford to travel.
More than half of those polled in the study said they would cut back on dining out, around a third would skimp on souvenirs or accommodation, and just under a quarter would reduce spending on transportation.
“Instead of going out to a fancy restaurant every night, maybe you could choose to purchase a few things at the local supermarket and eat at your accommodation,” said Warren Duke, head of travel insurance at Compare the Market, who conducted the study.
“If you do plan to go out for dinner, it’s important to do your research and shop around to find the best prices.”
“For example, a Compare the Market traveller who recently visited Greece said the price difference in gyros ranged from 3 Euro to 16 Euro – having taste-tested both gyros, she said the cheaper one actually tasted better.”
Polling over 1,000 Aussie adults, the study showed that Gen Z and Gen Y holidaymakers were the most disciplined with their spending, with both demographics more likely to save on food, accommodation, transport and attractions than any other age group.
Gen X and Boomer holidaymakers, meanwhile, were more likely to spend less on souvenirs but the least likely to cut down on any costs whilst away.
Encouragingly, just over a quarter of respondents said they wouldn’t be cutting back at all on any holiday-related spending.
Most Aussies still travelling
The research revealed that overall, three in five (57.2 per cent) respondents said they would be going on vacation in the next 12 months (to July 2024).
Boomers were the most likely to travel (two-thirds), followed by Gen X (56.5 per cent), Millennials (52 per cent) and Zoomers (48.2 per cent).
The findings demonstrate that despite rising inflation and interest rates, millions of Australians have managed to budget to afford holidays. In fact, Canstar recently found three in five Aussies (57 per cent) are specifically saving for travel.
Destinations seeing record numbers of post-pandemic Aussie holidaymakers in 2023 include Bali, Fiji and the Maldives.
Another recent survey found more than half of Aussies (59 per cent) are prioritising low-cost holidays close to home, such as to New Zealand or Asia-Pacific regions.
“Millions of Australians have managed to afford to go on holidays whilst juggling increased costs and interest rate rises,” Duke said.
“While inflation has depleted many families’ spare cash flow, this data goes to show that there are many Australians who have managed to pull through with some stellar budgeting.”
