Budget travel costs 2026: value-trip demand holds up in new data
Gas and airfare costs have climbed, but card data and company reports show continued demand for flexible, lower-cost trip options.
By Priya Nair · Economy Reporter
· 3 min read
Budget travel costs 2026 are climbing sharply, yet several measures point to continued demand for lower-cost ways to take a trip. For travelers watching their spending, the data suggests that some people are changing the kind of trip they book, although the available figures do not show that higher prices caused those choices.
AAA said gasoline prices were roughly 30% higher than a year earlier and were on track for a Labor Day record. Airline fares were more than 25% above year-earlier levels in July, according to Bureau of Labor Statistics data reported by CNBC.
Meanwhile, PNC card data analyzed for CNBC found that cardholders earning less than $36,675 a year spent more per month on travel earlier in 2026 than at any point since at least 2019. Spending by that defined income group was 7% higher in July than a year before. The card figures are not a measure of all U.S. travelers, and they do not reveal whether travelers took more trips, spent more on the same trips, or both.
How are travelers responding to budget travel costs in 2026?
Groupon reported growing interest in its destination-flexible vacation packages. The company said its mystery-vacation portfolio received about 5,500 orders in the second quarter of 2026, more than five times the level when it offered only a flagship product in the first quarter of 2025.
A mystery vacation package includes airfare and accommodations, but the buyer does not select the destination. Groupon says its flagship package is priced at $199 to $299 per person, depending on the departure airport, and advertises a 50% discount. Travelers generally learn where they are going a few days after completing the required paperwork. CNBC reported that most participants are assigned U.S. destinations, while a small share receive overseas locations.
The arrangement can give travelers a preset package price, but it also involves a clear trade-off: limited control over where they go. The available information does not provide independently verified all-in savings, cancellation terms or comparisons of traveler satisfaction.
Hostelworld, a booking platform, separately reported that transactions from U.S. and Canadian customers rose 10% in the first half of 2026 from the same period a year earlier. The Ireland-based company also said net average transaction value increased across regions. That is a company-reported demand measure, rather than a reading on the entire market for budget accommodations.
Why might drive-to cruises draw attention?
Carnival said demand for cruises departing in the rest of 2026 and beyond was stronger than in comparable prior-year periods. Revenue in a business segment that includes onboard spending rose more than 7% year over year in the company’s fiscal second quarter, according to the report.
Carnival Chief Financial Officer David Bernstein told CNBC that roughly half of the U.S. population lives within a five-hour drive of one of the company’s departure ports. For travelers in that range, a cruise can be planned without adding a flight, though driving still carries fuel and other trip costs.
These indicators show continued activity across a handful of value-focused products while transportation costs rise. They do not establish a broad shift across all budget travelers, nor do they show that one travel format will be cheaper for every itinerary.
This story draws on original reporting from CNBC.
