Aussies hit the road as travel costs soar
Aussies are cutting back on spending to fund their 2025 holidays, but experts are divided on whether caravanning delivers the best value for money.
Caravanning’s appeal lies in exploring Australia’s great outdoors, but debate is raging on whether it’s cheaper than other getaways.
One in four Aussies have less money to spend on travel compared to last year, the National Roads and Motorists’ Association (NRMA) reveals, and 60 per cent of those planning to holiday in 2025 have cut back on spending during the year to fund it.
But despite reining in costs, Aussies are still determined to holiday, with 49 per cent of respondents sharing they plan to holiday at Christmas.
The NRMA study found two-thirds of prospective travellers plan on travelling domestically in 2025, with Australian Caravan Club chairman Graham Humphreys calling caravanning a viable, flexible option.
“You actually have the freedom of where you can and can’t stay and how long you can stay,” Mr Humphreys said, adding the average cost of a caravan site in regional New South Wales is $35 to $40 a night.
“That becomes economical. A hotel at this time of year would be $100 to $120 and upwards.”
NRMA Parks & Resorts CEO Paul Davies said more Aussies holidaying at home was “pleasing”.
“It’s affordable and provides a crucial boost to local tourism,” he said.
New ArcMate research reveals nine in 10 Aussies find holidays stressful, with two in five calling overcrowded destinations the most stressful part.
Arcmate co-founder Cassandra Kirkland said caravanning was not only “affordable”, but allowed travellers to get off grid at peak times without breaking the bank.
“Even if you go overseas to a cheaper place like Bali or Thailand your cost of actually getting to that place is still far more expensive than jumping in your caravan and exploring the outdoors in Australia,” Ms Kirkland said.
“Petrol is a little bit more expensive these days but we still find it extremely cheaper than going on an aeroplane and flying somewhere.”
But Australian Traveller founder Quentin Long said while budget-conscious travellers were holidaying at home more often, caravanning could still be expensive.
“The biggest ticket item is the van, you can rent them too. A new van you’ll travel in often costs anywhere from $40,000 to $100,000,” Mr Long said.
“Camp grounds and holiday parks themselves are not all that expensive … but it’s the (caravan) maintenance, people forget the registration fees, the upkeep and then food, and entertainment that add up on top.”
Mr Long said cruising holidays offered equal or greater value for money “depending on whether it is peak period”.
“Cruises are a very budget-friendly holiday, you have a set cost you can manage and then decide to upgrade with drinks packages, speciality dining or shore excursions,” he said.
“But ultimately it all comes down to what’s most appealing for your taste.”
Laura and Steve Hanson purchased their caravan second hand in April, 2024.
The South Australian couple, and nine-year-old daughter Matilda, have already been on adventures which Mrs Hanson said would not have been possible without their caravan.
“It’s brought a lot more holidays because it is cheaper,” she said.
“We’re going to Port Broughton in a couple of weeks and for us to stay (on a caravan site) for six nights with an ensuite it’s (around $300) so it just means that we can get away for extended periods of time without actually having to fork out a lot of money.”
Mrs Hanson also said caravanning allows them to keep spending money for experiences instead.
“When we go to the caravan park it allows us to live at a place that’s got pools and water slides and beaches and pubs and we can spend more time and money on doing those things in the area rather than on our accommodation,” she said.
“It’s so easy roadtripping in Australia now with the highways so you don’t even need an off-road vehicle or an off-road caravan.
“We just like the freedom and the fun Matilda can have - and I still get my coffee machine and my airfryer.”
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Originally published as Aussies hit the road as travel costs soar