Why is holidaying in Australia so expensive?

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I prefer to Holiday overseas for the longer trips and stay local for the short ones, Anzac day will be a quiet one in our house as we will be recovering from a trip to PER the week before for the Red Bull Air Race, not cheap but is not something thats on every weekend!
 
Without doubt os can be good value ( Fiji now). I also see ( no use to me in regional NSW) great deals of airfare & 3 nights from Syd to Gold Coast etc. Does seem however that these short breaks within Aust are twin share style.
 
Total $1,308 for 3 days/nights in Melbourne. :shock:

Or add a day of annual leave either side and head off to Thailand for the long weekend.

Total $1,722 for 4 days/3 nights in Thailand.

I know which I would choose....

Umm forgive the economist/accountant in me but 1722(plus lost earnings due to taking annual leave) is more than 1308 plus a 10 hour flight in whY - doesnt seem "cheaper" to me.
 
It's not all bad though, if you can bring yourself to fly on Tiger, which is on the balance of probabilities OK to fly, a couple of examples from the last couple of years that I've done (ex-MEL):

Rockhampton(Yeppon) weekend:
Flights (for 2 pax): $80 return
Accom Capricorn Resort: $260 (2 nights)
Meals/drinks: ~$80
Car hire/petrol: $140 (2 days)
Total per person: $280.

Alice Springs weekend:
Same for Alice Springs, car hire (wll mainly petrol) was $40 more, Accom was only $160, net cost per person: $250

Even a long weekend in Perth a couples years ago on QF was $320 (each) for flights, $260 for car/petrol, $100 for PER accom, $180 Quay West Bunker Bay, Food $100 total came to $640 per person.

It's not the end of the world though, sure if you're going to have a long stay, refuse to fly Tiger or Jetstar, or do a bizillion activities it can be exxy, but keep it simple it is still good value.
 
When you fly, and (most here) get access to the QP and/or Flounges, you can save at least $50 or more buy filling your stomach with their coomplimentary food and beverages per visit ;)
 
The Australian dollar exchange rate is a major factor in the price comparison. The rate is relatively high at the momment. If we had an exchange rate around $0.50 like we had a few years ago, it would be a different story.

Not when shopping in the USA or some parts of Asia. Especially when you do very little clothes and shoe shopping in Oz like me. I've also pretty much stopped buying books and DVDs too, preferring to purchase on my trips overseas or online. In late 2000 when the exchange rate was around $0.50 I could still purchase top of the range Nike shoes in the USA for AUD$130 against AUD$300+ here. Having just returned from the USA with the dollar at $0.93 I shopped a little more than usual and picked up great bargains. E.g. Ralph lauren shirt in Bloomingdales was US$50 - coupled with overseas visitor discount of 10% on top of the existing 60% off discount, I purchased the shirt for US$15 (!!). I'd love to see where I could get the same shirt in Oz for less than $150.


I see reports on No News constantly about the decline in domestic tourism. And yes, ok, not the most reliable source of information. But it makes me wonder what the real cause of the decline is. Are people simply not travelling at all? Or are they heading overseas instead due to the perceived rip-off involved in a domestic trip?

I would imagine people are heading overseas and seeing value for money first hand.

For my wife and I there are many factors, including service, quality and price of accommodation. I just stayed at the Sofitel Water Tower in Chicago for less than $200 per night, a stunning luxury hotel for the price. To get service, amenities and hard product of equivalent calibre in Perth I'd have to stay at a boutique hotel like Cape Lodge in Margaret River or similar. And pay $500 per night doing so. Staying at a Rydges and paying $250 like I have in the past is a joke.

The service in Australia is quite average (especially in Perth!). I don't mind paying top price if the quality is there, but unfortunately in Australia on a price basis we can't compare. My wife and I stayed in a King Deluxe room at the Sydney Hilton for $600 per night last October. It was good - but not excellent. Especially when I paid AUD$450 to stay in a Regency Suite at the Hyatt Regency Hakone in Japan (Dec 2008) and had an incredible stay.


I don't have the solution to the problems facing Oz, but it's going to get harder as overseas destinations are more readily accessible, and Aussies see that our product in general is severly lacking. Service is something I believe is difficult to learn, it needs to be a part of one's culture ala Asia. Or "forced" via the effort to earns tips on a minimum wage ala USA. The results from a hospitality perspective are proven - I could count on one hand the bad experiences in restaurants and hotels I've had in the USA, whilst here in Oz I find it a shock when I receive great service in a low to mid end establishment.

In Australia you pay a premium however do not receive a premium product - like Qantas? :p

(BTW I will post details of our DONE4 shortly. ;) )
 
Umm forgive the economist/accountant in me but 1722(plus lost earnings due to taking annual leave) is more than 1308 plus a 10 hour flight in whY - doesnt seem "cheaper" to me.
Yes Simon it does not suit you but it suits a lot of people. I do not see any value in spending AUD1,308 for a 3 day long weekend in Melbourne. Halve the price and then I can see some value.

I would gladly take 2 days annual leave on top of a 3 day long weekend and go to SE Asia in economy (as much as you hate economy it is only a 10 hour flight and very easy to handle on reputable carriers, I have more trouble controlling the panic attacks going to the dentist) than overpaying to spend 3 days in Melbourne. And by the way that was the cheap example. I did not mention Adelaide, Perth, Broome, Darwin, Cairns which are the so called best holiday spots in Australia.

Holidaying in Australia is a joke
  • Airfares are expensive (not interested in LCC's)
  • Accommodation is way overpriced
  • Food, where does one start? We went to a place in Brisbane where the steak was $40 without anything else on the plate, need to pay extra $8-10 for salad or chips
  • Beverages are way over the top (hint I can buy a case for what some pubs/clubs charge for 6 drinks)
 
I prefer to Holiday overseas for the longer trips and stay local for the short ones, Anzac day will be a quiet one in our house as we will be recovering from a trip to PER the week before for the Red Bull Air Race, not cheap but is not something thats on every weekend!

I'm thinking of heading over for the race myself, have been wanting too for a while now so about time to tick it off the bucket list.

Just put a hold on a room at the Intercontinental Burswood, seems they have a stay 4 pay 3 deal going over that time when booked via a couple of wholesalers (wasnt offering it direct)

Lets hope I can slot it in and get over there, should be brilliant

TG
 
What simongr merely pointed out was that your two examples side by side showed the international itinerary as being more expensive than the domestic one. But also it showed that $1,300 seems like a lot just to pay for a weekend of golf in our backyard (well, in MEL anyway).

If you are prepared to pay, in this case, ~$400 more (or about 25%) to enjoy a holiday overseas compared to home, that is your choice.

Also there are differences in your examples and discrepancies in your reasoning:
  • Firstly, the quoted example is for Anzac weekend. It's a public holiday - any surprises that you need to be an early bird to get a good deal on travel and what not? For example, on a recent sale you could easily get the MEL r/t for about $100 less than what you've quoted there.
    Hotels are much the same. Holidays and events will always mean a bit of shuffling with the prices of rooms (or the arrangement of the price buckets). Good examples in Australia include Easter weekend and Schoolies. A good international example is Chinese New Year.
  • JohnK said:
    Airfares are expensive (not interested in LCC's)
    Yes they are expensive, but if you're not interested in LCCs that really only leaves one player.
    Moreover, places like Broome are price-skewed for more reasons than just lack of competition. Some places like Maroochydore and Prosperpine aren't serviced by QF (the only full cost carrier in Australia), so looks like irrespective of the quality of golf courses there, JohnK's not going! :p (just kidding...)
  • JohnK said:
    Accommodation is way overpriced
    Yeah I can concur with that, although wotif surprisingly still shows some very decent places for $100/night and under in MEL for Anzac weekend. Of course, you're not going to find a place for $25 per night unless you go to a hostel.
    Due to differences in living standards, your dollar is always going to get you more in Bangkok than in Melbourne. Nothing is going to change that (or soon anyway).
    Not sure what standard your $25/night accommodation in BKK is - I'm imagining it's either 2* or 3*. The example you gave for MEL was using 2 x special vouchers and is a 5* hotel; not a very fair comparison. But again it'll always be impossible to find a better-than-hostel accommodation for $25/night in Melbourne; not much about that you can do.
  • JohnK said:
    Food, where does one start? We went to a place in Brisbane where the steak was $40 without anything else on the plate, need to pay extra $8-10 for salad or chips
    Again, standards of living dictate the prices and Australia is pretty high on dining out prices, even after the GFC. Again, not much to be done about that.
    To be fair, I don't think a $40 steak alone is typical and if you didn't want to pay that there are plenty of pubs in Australia that will sell you a fairly tasty steak with sides for $8 - $15. So giving that example as typical is flawed. Mind you, it's probably rare (no pun intended) that one would pay $40 for a lone steak anywhere in the world unless you had a really good reason.
    Finally, if we compare the food bills in your example, the Melbourne tags only $10 more than Bangkok. Either you're humouring us in your example or something is wrong.
  • JohnK said:
    Beverages are way over the top (hint I can buy a case for what some pubs/clubs charge for 6 drinks)
    See previous point.

I'm going to go out on a limb here and challenge anyone on this forum to construct a long weekend itinerary ex-BNE for JohnK to golf in MEL for half the price he found and sticking to non-LCCs only, even if it isn't for Anzac long weekend. Include flights, transport, accommodation, golfing expenses (except club hire), food and alcohol/drink. I'd say it's nigh impossible, but that's not entirely surprising, that's just the way it is.


IMO there are a few main reasons why internal tourism in Australia is weak:
  • Never has Australia seen the ability to travel internationally as so financially accessible - that definitely puts a glow factor on it. Yes, this is mainly due to LCCs, but irrespective, that is the truth. (Notice how LCCs have also driven more people to travel within Australia - many a bogan story anyone?). Gen Y, backpackers and students are taking full advantage of this. People like JohnK look at a price-on-price comparison and reckon, "Well, I could pay this much and go to Melbourne (boring!) or pay a tad bit more and go to Thailand (exotic!)". Just the way it is.
  • Circumstances - plain and simple. Neighbours like Malaysia and Thailand have lower standards of living and hence to us their products and services are usually cheaper.
  • You have to remember that hotels, tourism providers etc. supply services to people both in Australia and for overseas tourists. Australia has a fairly healthy international tourist market; if a hotel can be functional or profitable with only its international tourists and other business-stay clients, why should it feel the need to cater prices for the domestic tourist? If they lower prices for the domestic tourist, then they'll still sell the same rooms to almost the same demographic of clients, but with less profit.
  • This has been mentioned before, but it stands to reason that hotels "are expensive" in Australia only because the market dictates them so! Even in the "business-dead" periods (i.e. where there are not a lot of hotel stays due to business-related stays), the lower prices are still more expensive than our international counterparts (standards of living arguments aside), but we still find that most weekends hotels will be pretty packed, leaving only the most expensive rooms left for those who didn't book far enough in advance.

If we try and set a more even playing field, why don't we compare the prices of getaways to more comparable cities/nations with a similar standard of living to Australia? I pulled out the list of top 50 cities for Quality of Living 2009 as measured by Mercer*, and it seems that the only cities outside of Australia with comparable living standards that would be suitable for a weekend getaway are Auckland, Wellington and Singapore; Tokyo, Osaka or Kobe if you're feeling temporally adventurous. FWIW Bangkok ranks 120 on the 2009 list. I'll leave the comparisons up to the reader.

* The use of this list is purely through a Google search and picking the most reasonably popular ranked link. The quoting of this list does not attest or confirm the validity, accuracy, social acceptance or single-authority of this list or the methodology used to construct it.
 
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If you are prepared to pay, in this case, ~$400 more (or about 25%) to enjoy a holiday overseas compared to home, that is your choice.
It is not just my choice. Latest statistics show that more Australians than ever are holidaying overseas.

Firstly, the quoted example is for Anzac weekend. It's a public holiday - any surprises that you need to be an early bird to get a good deal on travel and what not? For example, on a recent sale you could easily get the MEL r/t for about $100 less than what you've quoted there.
Sure but airfares for both examples are last minute (current) airfares. I was toying with the idea of spending Anzac Day weekend in Melbourne and realised just how expenive it was going to be.

Moreover, places like Broome are price-skewed for more reasons than just lack of competition. Some places like Maroochydore and Prosperpine aren't serviced by QF (the only full cost carrier in Australia), so looks like irrespective of the quality of golf courses there, JohnK's not going! :p (just kidding...)
Funny you mention that one. I have been looking at spending the Anzac day weekend on the Sunshine Coast and playing some golf there.

Also one day I will drive down from Cairns to Brisbane and play as many golf courses along the way as possible.

Not sure what standard your $25/night accommodation in BKK is - I'm imagining it's either 2* or 3*. The example you gave for MEL was using 2 x special vouchers and is a 5* hotel; not a very fair comparison. But again it'll always be impossible to find a better-than-hostel accommodation for $25/night in Melbourne; not much about that you can do.
I think I would call the place in Thailand around a 2*, no better. But don't get me wrong in my opinion it is much better than some of the places I have stayed in Australia that are supposedly 3*+ and cost over $100/night.

Finally, if we compare the food bills in your example, the Melbourne tags only $10 more than Bangkok. Either you're humouring us in your example or something is wrong.
I was being conservative with the food and beverage bill in Melbourne and eating KFC and McDonalds with a beer or 2 day.

The food and beverage bill in Thailand is for one extra day and is more than what I would normally spend and yet still feel full and more than enough to drink.

Anyway I am not saying that my figures are perfect and both of the examples were done in a very short space of time. I think though that one thing is very clear and that is holidaying in Australia is quite expensive.

As someone else mentioned stay home for the long weekends and use your annual leave for holidays overseas....
 
Well if you are on the Sunny Coast on a weekend John the Surfair has steaks for $2 on Sundays-though you again have to pay for salad or chips.:shock:
I do agree with your thoughts though-my favourite hotel at the moment is the SGS BKK.Can stay for~$200 a night,virtually guaranteed a suite upgrade,an absolutely fantastic breakfast thrown in,2 hours free drinks in one of their bars,free wifi and butler service.Compare that to the Hilton Sydney where I have checked many weekends in a forlorn hope of using up my HPC $99 certs.The rates are invariably $500+ and the only extra will be lounge access-and that only guaranteed until the end of March.
 
Holidaying in Australia is a joke
  • Airfares are expensive (not interested in LCC's)
  • Accommodation is way overpriced
  • Food, where does one start? We went to a place in Brisbane where the steak was $40 without anything else on the plate, need to pay extra $8-10 for salad or chips
  • Beverages are way over the top (hint I can buy a case for what some pubs/clubs charge for 6 drinks)

  • Yeah I can concur with that, although wotif surprisingly still shows some very decent places for $100/night

  • Not sure what standard your $25/night accommodation in BKK is - I'm imagining it's either 2* or 3*.

  • Again, standards of living dictate the prices and Australia is pretty high on dining out prices, even after the GFC.
    Finally, if we compare the food bills in your example, the Melbourne tags only $10 more than Bangkok. Either you're humouring us in your example or something is wrong.

I'm going to go out on a limb here and challenge anyone on this forum to construct a long weekend itinerary ex-BNE for JohnK to golf in MEL for half the price he found and sticking to non-LCCs only


IMO there are a few main reasons why internal tourism in Australia is weak:

  • Circumstances - plain and simple. Neighbours like Malaysia and Thailand have lower standards of living and hence to us their products and services are usually cheaper.

If we try and set a more even playing field, why don't we compare the prices of getaways to more comparable cities/nations with a similar standard of living to Australia? I pulled out the list of top 50 cities for Quality of Living 2009 as measured by Mercer*, and it seems that the only cities outside of Australia with comparable living standards that would be suitable for a weekend getaway are Auckland, Wellington and Singapore; Tokyo, Osaka or Kobe if you're feeling temporally adventurous. FWIW Bangkok ranks 120 on the 2009 list. I'll leave the comparisons up to the reader.


Well said.

Did PER-BKK, 10 nights, between $1500 to $2000 ALL IN.

Included; Flights (and l went up a booking class on TG just to get the points, cheaper avaliable), *3+ hotels, going out every night, taxis everywhere, thai cooking school, thai kickboxing, eating everywhere/everything l could get my hands on, tourist stuff, shopping/markets and most importantly, lots of booze, Chang Chang.


Australia has a VERY HIGH STANDARD of living. You don't realise this until you leave our shores! Pollution is also a very big factor.

One other point, Australia = CLEAN COUNTRY!

The challenge, well, only leaves you QF. As QF is the only "full service" provider in Australia.

Food wise in BKK. I didn't pay any more than $5 for a meal and beer. All breakfast's were included in the hotel price (US$50 per night, Avana Bangna Hotel (Bangkok & Suvarnnabhumi Airport): Your budget preferable transit hotel and more...). A Pad Thai or Curry can be as cheap as 20 baht=Under $1AUD).

In all honesty, 10 days in BKK (and northern Thailand) was plenty for me. Loved it though. I'm thinking of going to coughet for the water festival in April, maybe a 5 day stay.
 
E.g. Ralph lauren shirt in Bloomingdales was US$50 - coupled with overseas visitor discount of 10% on top of the existing 60% off discount, I purchased the shirt for US$15 (!!). I'd love to see where I could get the same shirt in Oz for less than $150.

If it is a regular Ralph Lauren Polo they normally retail for $149.95 ;)

I am very much looking forward to a trip to the US in June and stocking up again :) Especially on a new Tumi laptop bag which retails for A$395 here (A$359 after TRS) compared to A$226 in the US.
 
The challenge, well, only leaves you QF. As QF is the only "full service" provider in Australia.
No problem flying DJ although their airfares for that weekend are $149 each way (+$10 for checked luggage) for selected flights. So I can save $33 on the airfares.

I may have underquoted on the golf in Melbourne as well. You would be lucky to get away with anything less than $100 for game and cart at any decent course like Moonah Links, Eagle Ridge etc.

In all honesty, 10 days in BKK (and northern Thailand) was plenty for me. Loved it though. I'm thinking of going to coughet for the water festival in April, maybe a 5 day stay.
Do you really want to go for Songkran? Unless you want to hang around semi-naked in the streets all day and play water fights it is a waste of time. Don't go shopping anywhere, do not carry your mobile phone, camera and don't dress up to go out for dinner as you may be going back to your hotel to change again.

Oh and there is the risk of getting some sort of infection. Do you know where most of that water comes from they use for the water cannons on the back of the truck? I know someone who go hit in the ear and had an ear infection for over 6 weeks when he went back home. I have been twice and never again....
 
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Any particular reason why Melbourne would be more attractive than some of the courses down the Gold Coast given the prevailing weather late April, if thats too close to work what about Laguna Whitsundays, they have a stay one night get one night free at $252 for a 1 bed villa and flights to MKY are $79 with QF.
 
That's still one time too many. :shock::p I swore never again after just once...
Unfortunately our Easter holidays are sometimes the same time as Songkran allthough next time I will give it a miss.

Should be lucky next year as Good Friday is on 22 April and Songkran usually finishes around 20-21 April....
 
Any particular reason why Melbourne would be more attractive than some of the courses down the Gold Coast given the prevailing weather late April, if thats too close to work what about Laguna Whitsundays, they have a stay one night get one night free at $252 for a 1 bed villa and flights to MKY are $79 with QF.

There's no charm in a holiday for us unless you can fly there ;) :p

Also, not sure if you can carry golf clubs on a turboprop without coughing up
 
Any particular reason why Melbourne would be more attractive than some of the courses down the Gold Coast given the prevailing weather late April, if thats too close to work what about Laguna Whitsundays, they have a stay one night get one night free at $252 for a 1 bed villa and flights to MKY are $79 with QF.
I have no problem going to the Sunshine Coast or the Gold Coast to play golf.

I thought about going to Melbourne as I like the golf courses and wanted to use the HPC $99 rate cards before they expire end of April. Anyway the Melbourne trip is too expensive so may go back to SYD that weekend.
 
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