Come June, and it’s vacation time. Ever since childhood, I have eagerly awaited the annual holiday with family and friends. The memories of which I still hold close to my heart.

Post covid (If it’s over yet!!), travel has become special for people. And presently, we are seeing the second coming of “revenge travel.” These lavish vacays, taken to avenge canceled pandemic-era trips, are filling up airports, hotels, and attractions with people eager to spend. This phenomenon is significantly relieving for the tourism sector, which has witnessed tremendous losses due to imposed covid restrictions in the last two years.

On this note, for all my globetrotting readers, I am sharing a few thoughts – dichotomous as they be!

Specifically, Airlines were the worst hit and are still not expected to rebound to pre-covid levels soon. The air cargo segment was not hurt, as online commerce spurred an increased demand for air delivery that’s still strong. However, the business travel segment may never return to what it once was, as digital workspaces and video calls are eclipsing the need to fly to collaborate. 

But while you’re sipping Dirty Shirleys (or a fabulous mocktail) or trying to win a lottery to hike in a national park, don’t forget travel’s impact on the environment. Aircraft emissions pre-pandemic accounted for up to 2.5 percent of all emissions worldwide. Cutting down on these emissions is necessary to reach net-zero goals.

Some of this is in customers’ (our) hands: As travelers, we still prioritize price over sustainability. Young people, citing climate anxiety, are especially ready to pay that premium, i.e., a little more for carbon-neutral tickets. Others plan to travel less to keep their impact low—some even report “flygskam” or shame about flying. The rest of the work falls to the aviation industry for efforts such as investing in sustainable fuels or prototyping fuel-efficient aircraft. Here’s hoping that the next few years see those efforts take off.

As you set out to depart, abiding by virus safety measures, don’t lose sight of your financial discipline/goals. 

• Set a realistic travel budget and have that money in advance. An idea that appeals to many is to maintain a dedicated separate account for the same, with automatic fund transfer in the form of SIP. An added bonus is that the necessities of daily life would not gobble up the vacation money and ensure that the Insta stories bring back fond memories rather than financial guilt.

• Don’t forget to buy travel insurance, which most people ignore, if not mandatory. Though it is the least alluring element of vacation planning, it is non-negotiable. It can be an expensive lesson to learn in case something unfortunate happens (Let’s not forget what COVID-19 has taught us)

• One may consider staying closer to home or taking a non-traditional vacation to avoid massive crowding and inflated prices. Rather than fret, treat this as an opportunity to rediscover your favorite local recreation spots. Eating out at local restaurants, day trips to museums, theme parks, and forest bathing may be the cure for your distress and claustrophobia. 

• We need to keep in mind that Corona Virus is still running the show for all of us, the severity may have gone down a little, but the risk persists. One should avoid making definite plans too far in the future. An extra effort to make reservations that are cancellable/ refundable or are easy to shift around is worthwhile.

• Lastly, remember the actual week-long trip will fade away in memories in a flash. Planning and anticipating your trip rather than actually taking it may make you happier. At least, this is true as per the study published in the ‘Journal of Applied Research in Quality of Life. Another study at Cornell University also reaches a similar conclusion- When we plan for a life experience like a big trip, it creates a lot of happiness.

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So my dear readers, slow down and be patient. Let considerations of environmental impact be there in your mind while planning your holiday. Let sustainability guide our actions, which enables our future generations to create memories in the lap of nature. Let sustainability influence your both investing and consumption decisions.

With that thought in mind, wishing you all a sustainable ‘investing’ journey! Bon Voyage! 

Best Regards

 
Dr. Tarunika Jain Agarwal Ph.D.

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Alpha Research