How to book that dream holiday and cut costs

But experts are saying Australians are still spending on their travel.

“A holiday has been at the top of the to do list for many Australians, after a long two years of lockdowns, and this spend trend shows us consumers now have the confidence to plan longer-term travel, like international and domestic getaways and cruises,” said Choong-Yu Lum, head of cards and loans at Citi Australia.

“It’s pleasing to see strong spend in travel and leisure categories, including airlines, cruise lines, hotels and resorts, dining and retail, with February seeing significant spend increase in the travel category, with flights up by 69 per cent and travel more broadly up by 34 per cent compared to the previous month.”

While this demonstrates demand for travel remains strong as people continue to book their first big post-Covid trips, Australia’s rising cost of living is also eating into many people’s savings.

The Reserve Bank of Australia has predicted inflation will hit 6 per cent by the end of the year and other factors, such as the invasion of Ukraine driving up fuel prices, aren’t helping either.

With Australians potentially finding themselves with slightly less cash available for their travels, here are some essential cost-cutting tips to help make your trip cheaper but just as rich in experiences.

According to Skyscanner, 90 per cent of travellers miss out on the best flight deals by booking at the wrong time. Furthermore, 42 per cent of travellers book their flights two months prior, which is when airfares actually spike.

Skyscanner says it even comes down to the day you travel on, with Friday being the cheapest.

Skyscanner travel money expert Naomi Hahn said: “Flight prices are all based on supply and demand. Because some dates are more popular than others, prices will vary. On average, you can save 30 per cent by travelling out of Australia on a Friday.

“The ‘whole month’ search tool [on Skyscanner] allows you to see cheap flights immediately and pick the right deal for you. Consider travelling a day before or a day after your original departure dates – flying on less popular days of the week is always cheaper.”

While that dream accommodation or car rental might seem steep on your own, when you bring extended family or a group of friends, it often doesn’t look so pricey anymore.

In an Airbnb survey across its global customers, including Australia, the booking site says family travel will be at an all time high this year.

With many family milestones inevitably missed over the past couple of years, there’s no better way to compensate than getting together for a travel adventure – and it doesn’t hurt that you’ll save a few dollars, too.

Travel agents are finding themselves in high demand, with the ABC reporting agencies are even having to turn away clients as skyrocketing demand leads to staff shortages. A large factor in their popularity is people seeking travel agent’s help in navigating the complicated travel regulations across the world, but talking to an expert agent can also be a great way to cut costs.

Not only can agents advise how much you can expect to spend on different trips and destinations, but they also have access to discounted flights, tours and insurance. Approaching an agent with your budget can also allow them to give you a realistic assessment of what and where you can afford to visit.

Australia’s cruise ban has lifted and leading Australian cruise agents are reporting a huge spike in interest from first-time cruisers. Family-friendly cruise lines such as Royal Caribbean, P&O Cruises Australia and Norwegian Cruise Line can offer an extremely cheap way to get out and see the world.

Royal Caribbean is currently offering a sale of up to 40 per cent off Australian cruises. A seven-night cruise to Vanuatu and New Caledonia starts from just $834 per person, or a longer cruise from Brisbane to Hawaii over 15 nights starts from only $1711. There are more costs you can incur along the way but it’s a cheap base for your escape. 

A new or different type of holidays, compared to what you’re used to, can open up new possibilities for spectacular experiences at potentially a cut-price of what you’re used to.

One thing that two years of being locked in might have made you forget is that sometimes it can actually be quite a bit cheaper to head overseas. If you’re stressing over the costs of destinations like the Great Barrier Reef or the Northern Territory, this could be swapped out for a trip to Bali or Thailand. Jetstar is currently running a sale on flights to Bali with fares as low as $169 one way.

While dodging the Australian cost of living is a start, tourist favourites such as Hawaii, Western Europe or Scandinavia aren’t exactly much cheaper. Rather travelling to destinations like South East Asia, Latin American countries such as Mexico or Peru, or even some of the Balkan countries such as Bosnia and Herzegovina or Albania can be equally spectacular and extremely cheap. While flights may set you back further, you’ll quickly make this back on the reduced cost of accommodation and activities.

Australia’s high cost of living might make some of your budget holiday ideas not-so-budget friendly anymore.

For example, with the price of fuel at over $2 in many places around Australia, a gas-guzzling campervan may no longer be the cost-cutting solution it previously has been.

By weighing up your priorities and deciding the experiences and destinations you don’t want to miss, before deciding on the type of holiday you want to head on, you can spend time discovering the cheapest way to make this happen.

Then of course, there’s never been a better time to get out an Excel spreadsheet or your notes app and start calculating your holiday costs with an eye on the bottom line.