Travel is currently the highest priority when it comes to consumers’ discretionary spend options, according to travel technology giant Amadeus.
More than 40% of respondents to a survey by Amadeus said international travel topped their list of discretionary spending options.
Travel far outweighed other options such as online subscriptions, fashion, or a new car.
Consumers said they fully intend to travel despite the rising cost of living and lingering Covid uncertainty.
Amadeus surveyed nearly 5,000 people – across the US, Britain, Germany, France and Singapore – about their discretionary spending plans for the next 12 months.
“This research clearly shows consumers are prepared to forego spending in other areas of their lives to accommodate travel this year,” said David Doctor, executive vice president of payments at Amadeus.
Amadeus found that most consumers plan to cope with the economic uncertainty and avoid expensive foreign exchange transactions by paying for their travel in instalments, using more fintech options and using outstanding loyalty points.
“The industry will need to look for ways that fintech can make travel costs more transparent as well as help travellers manage their spend,” said Mr Doctor.
The survey found that 73% of travellers are now more likely to pay attention to foreign exchange costs, with 56% more likely to seek out travel providers who allow them pay in their own currency.