Many Americans say they won't give up travel in tough economic times. Here's how they're saving on road trips.

02.09.2024 - 12:16 / insider.com

Americans are increasingly seeing travel as a need rather than a want, with many people willing to cut back in other areas — or even go into debt — before giving up vacation altogether.

Rod Griffin, senior director of public education and advocacy at Experian, said even though many Americans are worried about the economy, they're still traveling.

"They're just looking for ways to make it more affordable, or at least reduce the costs," he told Business Insider.

After a booming summer travel season, AAA estimates domestic travel over Labor Day weekend is up 9% from last year, while international travel is down 4%, according to their booking numbers. AAA said the shift is driven in part by inflation, which has made trips abroad 11% more expensive.

Griffin said he's spoken to consumers who are paying closer attention to their options when it comes to making travel more affordable and that includes rethinking how to travel domestically, like by taking road trips.

Experian survey data from May found that 71% of consumers surveyed felt that inflation impacted their road trip plans. The survey respondents included 1,008 insured drivers, who, on average, said they expected to spend more than $1,000 on road trip expenses. Gas, lodging, and food were the expenses respondents expected to spend the most on during their trip.

Griffin said there are various ways consumers say they are cutting back on road trip costs, from opting for less expensive hotels to packing lunches rather than stopping for every meal to taking group trips that enable cost splitting.

Some Americans are also taking trips that aren't as far away in order to save on gas but still get quality family time in.

"People are looking at, not a staycation, but a closer to home vacation, as opposed to going cross country" in order to save on fuel and lodging, he said.

In some cases, like if you are a couple traveling in an area with higher gas prices, it may even be cheaper to fly rather than drive, so weighing those options is another way to ensure you're opting for the most affordable option.

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Travel-minded Americans can also focus on the bigger picture of their finances in order to out aside more money for travel, Griffin said. For families who rely on road trips, keeping up with car maintenance can avoid costly and unexpected vacation expenses.

Experian said three out of four surveyed consumers said they were worried about car insurance rates increasing, so Griffin said another option is to shop around for lower rates, noting that Experian has an insurance marketplace that can be used.

"Reduce overall costs that affect that budget in the long term," he said.

Americans can also focus on utilizing their credit card points or actively