Shrinking pound fuels demand for all-inclusive holidays
Tailor-made tour operator and retailer, Travelmood, has launched its first All Inclusive brochure in anticipation of a growth in demand for this budget-friendly style of holiday.
The long-haul specialist is predicting that the trend for All Inclusive holidays will continue due to the weakening pound which is making budgeting for holidays an increasing challenge for British sun-seekers.
Having monitored its value against the major currencies in some of the tour operator’s most popular long-haul destinations, Travelmood found that since November last year, the British Pound has been on a steady decline.1
In Sri Lanka, the UK Pound dropped by almost 12 per cent against the Rupee between November 2009 and March 2010, in Costa Rica it dropped by 18.5 per cent against the Colon and in Bali it went down by just over 15 per cent against the Rupiah.
In Egypt, £1 would have bought 9.2 Egyptian Pounds in November but by March that had dropped to 8.2 and in Mexico the Pound dropped by 16.7 per cent, from 22.3 Mexican Pesos in November to 18.6 in March.
“Long-haul favourites such as Sri Lanka, Costa Rica, Bali and Egypt have traditionally enjoyed a reputation for being easy on the wallet when it comes to spending money locally. However, the weakening British Pound means that the exchange rates in these destinations aren’t as favourable as they once were,” says Rad Sofronijevic, managing director of Travelmood.
“The shrinking pound and the constant currency fluctuations make it difficult for British customers to predict what their holiday spend will amount to because they don’t know what the exchange rate will be by the time their getaway comes around.
“In launching our first All Inclusive brochure, we are now able to offer customers who are worried about the dwindling value of the Pound in their favourite long-haul hot spot, the option to control their budget by paying for everything up front. As a tailor-made specialist we can also cater for customers who want to combine an All Inclusive break with a wider holiday itinerary. One of our Bali All Inclusives, for example, would pair very well with an Australia holiday.”
Holidaymakers visiting destinations where the US Dollar is widely accepted and where their final bills are often settled in dollars upon check-out, for example the Maldives, Mexico and the Caribbean will also find that they are getting less bang for their buck. The pound dropped in value against the US Dollar by 12 per cent between November 2009 and March 2010.
Similarly, in the Caribbean the Pound was worth 14 per cent less against the East Caribbean Dollar and 11.7 per cent less against the Barbados Dollar in March compared with November.
Travelmood’s All Inclusive brochure features holidays to Egypt and Fujairah, Sri Lanka, the Caribbean, Bali, the Maldives and Mauritius, Mexico, East Africa, Costa Rica and even Brazil. Prices start from as little as £599 for a five-night holiday, departures are available from May 2010 to September 2011 and customers can choose the duration of their stay.