10 Ways You’re Throwing Away Cash on Holiday Travel
Wasting money is so easy when surrounded by bright lights, the smell of hot chocolate, and freshly baked pastries hanging in the air at a Christmas market.
It’s the end of the year, and the holiday atmosphere makes it easy to spend money on something you don’t necessarily need. Many businesses have learned to play with people’s emotions during the most wonderful time of the year and utilize clever strategies that trick you into thinking you can save money and get great value when buying their goods and services.
This guide is for you if you want to avoid wasting money while traveling during holidays.
1. Dining in the Most Popular Restaurants
The holiday season is a prime opportunity for many businesses including restaurants as people are primed to spend money.
Restaurants often offer promos and deals to entice extra spending, which portends to give customers better value. But in reality, they’re designed to make you spend more money.
Popular restaurants also deploy marketing tricks, especially when they know people will spend money because of their name recognition. You are more likely to spend extra money at a trendy restaurant where prices are above average because customers are willing to pay those prices.
Want to save money?
Look for new restaurants or hidden gems with less name recognition and are still trying to establish themselves. They might not be as famous, but their prices won’t burn a hole in your holiday travel budget.
2. Shopping in Big Malls
Shopping in big malls is a sure way to spend extra money.
Major holidays are a prime time for retail stores to generate cash. The moment you step inside a big mall, you will be bombarded with promos, deals, and ads promising savings and incredible deals.
It’s easy to see that these ads are a ploy to make you spend money. Once the holiday craze is over, most retail stores begin to mark down their goods and prepare for spring.
The merchandise you buy during a holiday shopping spree will be marked down starting in January, and sometimes, right after Christmas. If you want something, you are better off waiting a few days after the holidays to score a good deal on it.
3. Getting Your Coffee in Tourist Traps
While getting a cup of coffee won’t burn a hole in your budget, you will likely pay above average for a regular brew at a popular landmark. If you are walking through the busy area and smell freshly brewed coffee, pull out your phone and check prices to see if they are high.
If the prices are high, find a coffee shop a few blocks down – you will likely pay less.
4. Staying in Popular (or Instagrammable) Hotels
Staying in trendy places on your holiday trip will cost you a pretty penny. Once a place becomes popular, it inevitably gets more expensive, as demand dictates higher prices.
With many people vying for available rooms during the busy holiday season, the nightly rate can increase a few times.
When traveling during a busy time of the year, look for less trendy accommodations. For example, hotels 10-15 minutes from busy areas usually cost significantly less than those in tourist hot spots.
Likewise, newly listed Airbnbs often offers better deals to travelers compared to established rentals that have dozens of reviews and can be booked up months in advance.
5. Buying Airline Tickets Right Before Your Trip
Buying airline tickets before your trip is the easiest way to waste your money. While this rule works at any time of the year, it’s particularly true during holidays, when high demand drives up prices.
If you plan to travel during the holidays, book your tickets ahead of time. Booking your ticket as far as 2-3 months ahead of your trip could help you save you hundreds of dollars
6. Using Ride Shares Around Tourist Hot Spots
Rideshare prices are dictated by demand and the number of available vehicles in the area, which can fluctuate depending on the time of the day.
During busy times, rideshares like Uber and Lyft have surges, when their prices can double and even triple. If you are in a busy area and need a ride, check prices first. If prices are above normal, wait a few minutes, if you can.
Oftentimes, ride share prices could revert to normal in 5-10 minutes when the surge is over. Another option is to walk toward another area, especially if high prices keep holding on.
Sometimes, you can avoid a surge rate if you walk a few blocks to an area with less demand.
7. Exchanging Money in Wrong Places
When visiting a foreign country, pay close attention to the exchange rate. Oftentimes, exchange rate spots in busy areas have less favorable rates than those off the beaten path.
Whenever in doubt, pull out your phone, check the official exchange rate, and read online reviews. If too many people say a place is a rip-off, then it’s better to exchange your money elsewhere.
8. Giving into the YOLO Mentality
Giving into the YOLO mentality could lead to poor decisions and wasted money on your trip.
After all, holidays repeat every year, so if you have found something you might not get elsewhere, think twice about it, especially if it comes with a hefty price tag. Ask yourself whether you need it and whether it would cause a big financial setback.
9. Not Using Your Reward Credit Cards
Don’t forget to use credit cards that give you the most rewards when shopping during holidays. Major travel credit cards like Chase Sapphire and Venture One by Capital One offer bonus points for holiday purchases at specific retailers.
10. Not Looking For Deals
Holiday travel is no different than any other, except prices are inflated and businesses are trying to make their biggest haul of the year.
As a traveler, your job is to leave emotions out of the process and use logic when shopping or booking hotels, airline tickets, and other activities. Always look for deals and special offers, and if you can, wait it out.
While buying your airline tickets for a holiday trip a few months ahead is an excellent idea, purchasing an expensive dress could wait until after the holiday craze.
