Gen Z overspending on holidays

Young travelers chase likes by sharing glossy holiday moments, even if it stretches budgets.

Gen Z Overspending on Holidays to Build Online Image

Holidays drive social media content for Gen Z and millennials. A First Choice study finds nearly three quarters say capturing content is the most important factor in planning a trip, and they will go anyway even if they cannot afford it. On average Gen Z overspend by £2,200, with six in ten admitting they go into the red to pay for a trip and seven in ten feeling obliged to go on trips they cannot afford. Posts focus on moments like cocktails at golden hour, airport tips, and mirror selfies in hotel lifts; many also spend on exclusive beach clubs or holiday outfits, and some even use student loans or other debt to fund trips. The research also shows the pace of travel is fast, with Gen Z and Millennials averaging seven trips a year, and a sizable share sensing a wealth gap with richer friends. About 39 percent see a wealth gap, 71 percent feel obliged to travel, 57 percent feel embarrassed if they cannot afford it, and 38 percent feel upset seeing plans unfold in group chats. Yet more than a quarter say regular holidays are key to a happy life. First Choice founder Kevin Nelson says this highlights a real struggle between social wants and financial realities and signals a need to rethink group travel so it can be affordable without dampening the shared experience.

The data paints a picture of social pressure shaping spending more than need. Youth culture now often defines success through online visibility, not savings. That creates a cycle where dreams of belonging push risky spending, which can haunt budgets long after the trip ends. Brands and travel companies have an opening to pivot toward affordable, high quality group experiences that still deliver social value. In the long run, a healthier approach to group travel could reduce debt while preserving the chance to build memories together.

Highlights

The balance between fun and finances will shape the next wave of group travel.