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Are package holidays cheaper?

Planning your next getaway? You might be wondering are package holidays cheaper than other options. Let’s explore.

If the cost of living crisis means you’re exploring your holiday options, the question you might have arrived at is: are package holidays cheaper? At a time when we’re all tightening our belts everyone is looking for the most cost-effective way to travel.

Are package holidays the right answer for you? We’re going to help you to answer that question.

Are package holidays cheaper?

Yes, in general package holidays are cheaper than planning your own flights, transfers and hotels. There will be exceptions but in most cases booking a package holiday is cheaper than arranging an equivalent DIY holiday.

Why are package holidays cheaper?

Package holidays are cheaper mainly due to bulk buying. A package holiday guarantees block bookings on specific flights, transfer buses and hotels. All the travel companies benefit from the volume and predictability of package holiday bookings. By booking in bulk, travel operators can negotiate discounted rates for every component of a package holiday.

Some of these savings can be passed on to holidaymakers, which makes for an enticing package deal for the consumer and drives the high volume of bookings needed by the operator.

Where can you go on a cheap package holiday?

In theory, you can book a package holiday anywhere in the world. From a cost-conscious perspective, the cheapest package holidays from the UK will involve short-haul flights and destinations with a large supply of holiday accommodation available.

With that in mind, the cheapest package holidays are typically to Mediterranean resorts. Greece, Spain and Turkey are all popular options for cheap package holiday deals in Europe. If you’re looking slightly further afield, relatively cheap package holidays are available for countries such as Egypt and Mexico.

Most popular package holiday destinations

Some of the most popular package holiday destinations according to Travelsupermarket are:

Tenerife

Majorca

Algarve

Turkey

Crete

Costa del Sol

Lanzarote

Costa Dorada

Corfu

What is a package holiday?

A package holiday is a holiday that is put together by a travel agent or tour operator. The flights, transfer and accommodation are already planned and included in the price you pay when booking the holiday.

It’s called a package holiday because everything you need has been bundled into one package for you to choose and buy. Your only responsibilities are to pay and arrive at the airport with your passport — the travel company has handled all the logistics to get you drop the airport and into your hotel.

What are the benefits of a package holiday?

There are several key benefits of a package holiday. They include:

Price
As we’ve been discussing, package holidays are cheaper in most circumstances. That’s a key advantage.

Convenience
All of the planning work is done by the travel operator, so you can just focus on turning up and enjoying your holiday.

Shared responsibility
If something goes wrong on a DIY holiday, you’re more or less on your own. On a package holiday, the travel operator shares — or in some cases takes on — the responsibility for solving any problems that arise.

More protection
Depending on where you book, you’re likely to have ATOL protection when you go on a package holiday. This offers is financial protection in the case that your travel company stops trading while you’re abroad.

What are the downsides of a package holiday?

There are some disadvantages to booking a package holiday. How significant they are will depend on what you’re looking for from your holiday. The downsides include:

Less choice
Package holidays rely on there being a high volume of flights and a large quantity of hotel rooms to fill. That is likely to restrict to beach resorts.

Less flexibility
If you like to go with the flow when on holiday, having meal arrangements and other activities booked in advance might not suit you.

Finding a cheaper package holiday

Remember, it’s not just the type of holiday you book. You can also bring down the price of your package holiday by choosing the right destination. See some of the cheapest destinations for holidays.

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