One of the most leading escorted tour companies of U.K. Riviera Travel recently conducted a survey on Gen-Z spending habits and discovered that about 50% of travellers overspend while they travel.
Conducted in the U.K., the research revealed that one of the major reasons for people overspending while traveling was due to a lack of knowledge of the value of various foreign currencies.
Another factor that contributed to exceeding their budgets was unexpected costs. The research found that young travelers were more prone to face unexpected, additional costs. About 77% of respondents between 18 to 24 year-olds confessed to having spent money on unforeseen expenses while on a vacation, compared to just 42% of respondents aged above 55.
The most common reasons for unexpected additional fees were as following:
- Taxis/Rental Cabs- 26%
- Food- 22%
- Drinks- 21%
- Calling and Texting- 19%
- Credit Card Charges- 19%
- Mobile Roaming- 16%
- City Tax- 14%
- Baggage Allowance- 13%
- Souvenirs- 14%
- Tourist Attraction Places- 12%
- Tour Guides- 9%
Travelers are often charged way higher than locals, especially for local experiences like visiting tourist attractions, buying local goods and even food at local shops. According to the research by Riviera Travel, young travelers were most likely to be caught by these unexpected surge costs.
By following some tips, travelers can prepare themselves for the additional costs, especially those related to overseas travel and mitigate unforeseen charges.
Beginning with the basics, before you visit any country, know your credit card charges to understand how much foreign transaction fees will be charged to you.
Find out the best places to change money because many cash machines offer a high exchange rate for foreign currencies. The best place to change your money is at your hotel. Also, make sure that you carry a combination of both cash and cards to avoid being overcharged for currency exchange.
While traveling abroad, mobile phone services can also be quite exorbitant. If your SIM doesn’t support an international plan, buy a local SIM card so that you don’t overshoot your budget by paying for regular texts, calls, and internet services at an international price. Pay by the local rates instead.
Travelers are also advised to check baggage restrictions and ensure they pack accordingly. Airlines often charge a hefty price for overweight luggage, which is a quick way of losing your money.