Don't let the puny Kiwi dollar turn you into a flightless bird

By PATRICK GOWER

Been thinking about taking an overseas trip? The
diving kiwi dollar has probably had you thinking again — about the closest camping ground.

If you've already planned a holiday and paid for your tickets, then you've probably been cringing as you slash your holiday budget every time the exchange rate falls further through the floor.

But travel agents say don't despair — there are places to go and ways of travelling that won't cost you an arm and a third mortgage.

It's hard to see how, when for every $100 converted into pounds, tourists get £29. Four years ago it bought £45.

Flagging Britain and heading for the United States is not a smart alternative. Back in 1996, $100 bought $US70. Today it
buys $US42.

Aucklander Megan Bedford, aged 21, bore the brunt of the low dollar during a recent month-long trip to New York with her boyfriend, Mark Gibb.

"If I had known the exchange rate would be the way it was I wouldn't have gone — I had saved so much money and it was all just wasted away."

But she wasn't going to let the dollar crisis stand in the way of her once-in-a-lifetime trip, which was planned and paid for six months in advance.

But it meant financing a lot of her spending money by credit card.

"I was really hit when I came back and checked my Visa bill. It was like, 'Oh my God!'"

"We were out shopping and I brought things I thought were a bargain ... well, they just weren't, I'm afraid."

Using the so-called Big Mac metric system doesn't make for pretty comparisons.

You'll pay $6.55 for the McDonald's burger in London and $5.13 for one in Manhattan. It will cost you just $3.55 on Queen St.

Yet Brett Robinson, Thomas Cook's national manager for consumer travel, says that while the dollar is "a shocker" people should still bite the bullet and travel.

"If people have their hearts set on these places the dollar won't change their frame of of mind, and why should it?"

Robinson says that prospective long-haul travellers should instead try to get the best deal they can on their foreign exchange and plan their budgets better.

"Some people might go to the Pacific Islands instead and have another look at going to the United Kingdom and the States in a year's time, but I doubt it.

"They holiday in these places for culture and history that can't really be replicated elsewhere."

He says there's plenty of room in the world for the "anywhere but here" holidaymakers keen to see some value for their dollar.

"We recommend Asia. Bali, Singapore, Hong Kong and Bangkok all offer value for the dollar and a bit of an adventure."

The bustling crowds, beautiful beaches, food and market shopping all make for a holiday many will never forget.

And so will the foreign exchange. In Indonesia, $100 will buy 35,520 rupiah. In Thailand, it's worth 172 baht, and in Hong Kong it buys $300. Singapore, though, will hurt the wallet, getting you only $70.

"It's an entirely different holiday to the [Western countries] and for many people it's a real step into the unknown - something they will enjoy," Robinson says.

Flight Centre sales and marketing manager Matt Freeman joins the chorus urging people worried about the dollar to think outside the square when they plan an overseas holiday.

"Let's face it, the New Zealand dollar has never been a good reason to travel as it has always been weak against the US dollar and the pound," he says.

"But almost everyone else is on a level playing field and now is the time to try out these places."

Freeman says that while South-east Asia is the perfect place to get value for money, his staff are also recommending the Eastern Mediterranean and regional Europe.

He says Turkey, which has had a similar drop in currency value, is the crossroads of East and West and has become an increasingly popular destination.

"More and more people are going there each year.

"The same can be said for Greece, Egypt and Syria - we're telling people to go now and test it for themselves."

The New Zealand dollar doesn't shape up too badly here.

Freeman says the all-time low of the Euro ($100 buys you 46), to which most European countries are now fixed, still makes Europe an attraction option.

"Why not do a regional tour of Europe? Instead of blindly flying into London, start your trip somewhere else."

Aucklanders Heather and Michael Hooker say they can testify to "affordable Europe" after a recent holiday, and point to France and Portugal as particularly good value.

"It's easy to find a good menu - a three-course meal often including wine - for 75-90 francs [$25-30]," says Heather.

"Add a bottle of good wine from the shop for $4 and the 'pain' of travel is getting less all the time."

Michael says New Zealanders should consider the "civilised world" of Europe and start smiling, and travelling, again.

That doesn't mean smiling all the way to the bank.

One thing on which everyone agrees is that beating the dollar blues on your overseas trip means tightening your belts ... and budgeting.

Megan Bedford's advice to those looking to soften the blow is to keep a tight rein on the purse-strings.

"Figure out how much money you have in the particular country's currency and don't go over it.

"Then visualise everything bought in New Zealand dollars - especially if you are using credit like I was."

The travel agents nod their heads. Planning ahead, saving hard and keeping your spending under control are the best ways to truly stop dollar heartache from taking hold.

The problem is that the words holiday and budget sound all right together in theory, but don't work so well in practice.

And then there's the unexpected.

When Megan's boyfriend was struck by a bout of travel sickness on the flight over, they had to stop at the Los Angeles Airport medical centre where he needed an intravenous drip.

"He was really sick so we just whacked it on the Visa. It cost us $NZ1000 for three hours on the drip.

"With all that money for a little bit of saltwater ... if it wasn't for insurance our holiday would have been ruined."