- Skyscanner has observed an emerging travel trend – young Australians are opting for ‘Splurget travel’, a hybrid holiday that is planned on a tight budget, but also includes a splurge on a luxury element
- 71% of young Aussies (18–29 years old) have already embraced splurget travel, indicating that they will scrimp on certain aspects of their holiday, if it means they can indulge on other areas
What is splurget travel?
A typical splurget traveller will plan their trip around budget options (flights, accommodation or food) to free up extra cash that can be use on indulgent experiences. For instance, a splurget traveller would spend majority of their holiday (and travel budget) backpacking or staying in hostels, but would take the ‘when in rome’ approach and splurge on a small portion such as staying one night in a 4 or 5–star hotel, or treating themselves to meal at a Michelin starred restaurant.
It is possible for Aussie travellers to have it all when on holiday, simply by adopting the splurget approach to their trip. With a little planning, travellers can experience culture – on the cheaper side – and luxury all in the one holiday. Our research implies that this is an emerging trend, particularly amongst millennials who are more conscious of their money, but value experiences highly and are willing to pay extra and splurge out on “must-do” activities and occasional luxury in 5–star hotels. – Michael Grierson, Skyscanner Senior Manager
Who is taking splurget trips and why?
71% of young Aussies (18–29 years old), are embracing splurget travel, and of those who have not travelled in such a manner, 63% said that they would consider embarking on a splurget holiday in the future.
Aussies in their 30s are also adopting the ‘splurget’ travel approach to their holidays, however, travellers aged 40 and above, who have greater spending power, were less inclined to travel in such a manner.
Delving further into the underlying motivators for taking on a splurget holiday revealed two key insights. First, being the desire to get an authentic local experience, without compromising on the need for self-pampering. Second, being that selective splurging and scrimping was seen as an effective way of managing travel budget.
What are they splurging on?
The survey also found that millennials are most willing to spend big on activities such private tours, spa therapy and cultural experiences. Almost half (43%) of millennials said they would save a portion of their budget for unique activities, whilst one in five said they would invest in luxury accommodation for a night or two to pamper themselves.
| Top aspects young Aussies are willing to splurge on |
| 1. Activities and experiences (e.g. spa therapy, private tours) (43%) |
| 2. Accomodation (e.g. a night stay at a 5 star hotel) (19%) |
| 3. Food (e.g. dining at a Michelin star restaurant) (16%) |
Flights, on the other hand, was an area young Aussies are most willing to save on. More than half (56%) indicated they would save on flights by booking a budget airline, taking a red-eye flight, or enduring multiple stopovers if it meant they had more money for activities on their holiday.
| Top aspects young Aussies are willing to scrimp on |
| 1. Flights (e.g. budget carriers, red-eye flights, multiple stopovers) (53%) |
| 2. Accommodation (e.g. hostel, b&bs) (16%) |
| 3. Local transport (e.g walking, bus) (12%) |
Although food is often cited as a top motivator for travel, surprisingly, only 14% of Australians are willing to splurge on fine dining options when abroad.
How to get the most while splurget travelling?
Our advice is firstly to secure your a good bargain on flights as airfares could eat up a significant portion of your budget. A great tip to stay informed of flash sales and price drops is to make use of Price Alerts through our app. Next, is to be flexible with travel dates as travelling off peak not only allows you to save on flights and hotels but also avoids the crowd. – Grierson suggests.
Tips for getting the most while splurget traveling
1.Travel out of peak season – not only will you be less bothered by other tourists, you might even score a whole row of seats on the plane, or an entire resort to yourself.
2.Make use of Price Alerts to grab the best airfares. Find out the cheapest time to fly to your ideal holiday destination here.
3.Consider adding a stopover – it could save you up to 50% on airfares. With airport upgrades happening all over the world stopovers are more appealing than ever, especially if you are looking to save some money.
*The insights from this study are based on 1,069 responses gathered from an online survey conducted by Skyscanner Australia to better understand booking preferences and perceptions of Australian travellers.
