According to recent polling data, economic concerns and inflation are causing many Canadians to rethink their summer vacation plans. However, experts suggest budget-friendly trips are still possible for those seeking escape.
A poll revealed that around 60% of Canadians modify their vacation plans due to financial concerns. The survey also indicates that nearly a quarter of Canadians believe summer vacation is unaffordable.
Despite these challenges, Sean Simpson, Senior Vice President of Ipsos Global Affairs, believes many Canadians will opt for local travel options instead of going abroad. Local destinations are expected to be popular this year as people seek more cost-effective alternatives.
Omar Kaywan, Co-founder of the travel app Goose Insurance, suggests that Canadians are likely to be more mindful of their vacation budgets. He recommends looking for deals in destinations where the Canadian dollar has more value, such as the Caribbean or South Asia. Kaywan also advises using accumulated travel rewards points to save on costs, as loyalty program changes may affect their value in the future.
Kaywan suggests a comprehensive approach to expenses to make the most of a travel budget. For example, staying in a short-term rental and preparing meals can help reduce food costs compared to dining out.
The poll indicates that 27% of respondents believe they can afford a vacation with additional savings, while the same percentage feels that cutting spending in other areas could make a vacation feasible this year.
With the Bank of Canada holding off on rate hikes and inflation showing signs of decreasing, some Canadians may feel more confident planning a summer trip. Although vacations might differ, such as being closer to home or shorter in duration, Kaywan notes that Canadians are still travelling, albeit with a more budget-conscious mindset.
While economic concerns and inflation have led to uncertainty for many Canadians, resourceful planning and budget-conscious strategies can make summer vacations possible. Canadians can enjoy a much-needed break without breaking the bank by focusing on local destinations, taking advantage of travel rewards points, and adopting a holistic approach to expenses.
