The rising cost of living is not getting in the way of December holiday travel, at least that is what data from Standard Bank suggests.
South Africans will tighten their belts and cut out luxuries from their household spending – but festive-season travel is where they draw the line.
Instead of staying put during Dezemba, many have found a way to make their rand stretch further with a different approach to travelling.
Typically, the festive season is a period where many return home for the holidays to visit loved ones and reset. The annual migration from economic hubs like Gauteng to the villages, small rural towns and spaces where families gather in other provinces is a non-negotiable.
Standard Bank’s analysis of last year’s festive season shows that middle- and lower-income households are proactively making means to reduce the costs of December travel. This segment of the market made up 45% more hotel bookings in December last year, while spending 6% less per booking. The bank says this shows travellers looking for value rather than abandoning their holidays altogether.
December travellers also typically book their flights more than six weeks in advance, “because waiting costs money. Average spend on each flight purchase rose 39% between September and November”. Car hire bookings peak in October.
Spending on flat-style accommodation rises during the festive season as families look for ways to manage costs.
With pockets even tighter now, Standard Bank expects their habits to be stronger this year. “December is non-negotiable for most South African families. It’s when people go home, reconnect and finally rest,” says Michelle Munemo, the head of travel and lifestyle at Standard Bank. “Our data shows people haven’t cancelled it. They’ve become more strategic.”
Strategic planning involves booking earlier, choosing self-catering accommodation instead of a five-star hotel, shorter stays or visiting relatives instead of spending on conventional holiday accommodation.
South African Tourism (SAT), which seeks to get more South Africans to travel locally, is encouraging travellers to change their mindsets about what a holiday ought to look like. For those whose budgets cannot accommodate the trek out of town, SAT’s head of domestic tourism Mashoto Mokgethi says travellers should consider more overnight stays, exploring locations closer to home and choosing to take part in activities that do not break the bank. “Our advice to travellers is to plan early, go closer to home and choose trips where the full cost is clear before you leave,” Mokgethi says.
With a litre of petrol costing more than R30, transport costs will be a significant factor. SAT’s insights show that vehicle-related costs, including fuel and servicing, rose by 20.3% to R5.2-billion between April and June this year.
On its Sho’t Left platform, SAT lists discounted accommodation, flights and activities, allowing travellers to com-pare offers and book with participating businesses.
Travellers can get discounts of up to 50% on selected experiences.
Mokgethi says travellers can continue checking the platform for deals beyond the campaign period which took place in the first week of September.
“Domestic tourism can also include affordable day trips, local attractions, township and rural experiences and journeys that allow people to explore destinations closer to home,” she says.
Distance and timing push the bill up, says Standard Bank. A stay outside travellers’ home province averages 2.2 times one close to home. Hotel bookings made in December and January each cost about 9% more.
For families, SAT suggests self-catering accommodation, where people can prepare their own meals, as well as camping and attractions that do not require overnight stays. Travellers can also reduce transport expenses by sharing fuel costs with family and friends or using public transport.
Domestic holiday breaks do not always require an expensive cross-country journey. In the second quarter of this year, the agency found that more than half of the trips recorded in seven of the nine provinces were made by residents travelling in their own province.
Mokgethi says travellers should determine what they can afford, set money aside before the time and compare prices before booking.
- Data from Standard Bank shows South Africans are cutting household luxuries but maintaining December holiday travel, with a 45% increase in hotel bookings by middle- and lower-income households who spent 6% less per booking last year.
- December travellers typically book flights more than six weeks in advance, with average flight spend rising 39% between September and November, and car hire bookings peaking in October.
- South African Tourism (SAT) encourages travellers to plan early, explore locations closer to home, and choose affordable activities, highlighting discounted offers on its Sho’t Left platform with discounts up to 50%.
- Rising transport costs, including a 20.3% increase in vehicle-related expenses to R5.2 billion between April and June, significantly impact travel budgets amid petrol prices exceeding R30 per litre.
- SAT data reveals that over half of trips in seven out of nine provinces in Q2 were local, with recommendations for cost-saving through self-catering accommodation, shared transport, and local day trips.
