Examine Finds Many Individuals Will Journey This Yr & Will Use Their Credit score Card Rewards

Examine Uncovers That Customers Love Incomes Factors and Miles From Their Credit score Playing cards however Make the most of Them in Completely different Methods, and Two-Thirds of The Youngest Generations Are Not Positive When to Use Them

The Factors Man (TPG), commissioned consulting and market analysis agency The Harris Ballot to conduct a research on client behaviors round journey, bank card spending and rewards administration. The survey, which was administered to 2,100 U.S. adults ages 18 and up, explores how these attitudes range throughout generations. The next are key findings from the research.

Summer season is the most well-liked time to journey, and knowledge reveals that road-tripping will probably be extra in style than flying within the subsequent 12 months.

With journey anticipated to be on the upswing this 12 months, the research discovered that 76% of Individuals plan to journey within the subsequent 12 months, and of them, 69% plan to journey in June, July and August alone. Of those that plan to journey within the subsequent 12 months, 69% will take a highway journey for private journey, which is increased than the 56% of vacationers who will fly. Many Individuals are opting into highway journey adventures that bypass the restrictions of an airline, together with weight limits and added prices for baggage.

Customers love the flexibility to rack up factors and miles, however they don’t seem to be at all times certain about tips on how to use these bank card rewards.

Customers love to make use of their bank cards to earn rewards, however many are confused about when to redeem their factors and miles. The research discovered that 40% of all rewards card holders confess that they’re typically undecided when to make use of their bank card rewards and when to save lots of them, and that confusion is highest amongst Era Z (66% ages 18-27 agree, in comparison with 47% of millennials ages 28-43, 36% of Gen Xers ages 44-59, and 27% of child boomers ages 60-78). One factor that is clear to shoppers is that bank card rewards are nice for journey — 45% of rewards card holders say they’ve signed up for a bank card particularly for the journey rewards, and over 4 in 5 rewards card holders who plan to journey this summer season (81%) say they’re planning to make use of their rewards for these upcoming plans.

Most rewards card holders could possibly be liable to having their factors devalued.

Whereas some card holders keep an “earn and burn” mentality (that means they use the factors practically as shortly as they earn them), some want to let their factors accumulate as a lot as attainable. In keeping with the research, 26% of rewards card holders solely verify their steadiness a number of occasions a 12 months, and 80% additionally say that they like to let their factors accumulate as a lot as attainable earlier than utilizing them, with millennials, Gen Xers and child boomers extra possible than Gen Zers to quote the latter (83%, 82% and 80% vs. 66%). In consequence, many card holders could possibly be lacking out on unknown perks or be liable to their factors being devalued.

Women and men redeem their factors otherwise.

Choosing money again versus journey perks when utilizing rewards is subjective. Habits can rely upon quite a lot of elements, together with debt, upcoming plans, private choice and gender. Amongst rewards card holders, girls are extra possible than males to make use of bank card rewards for money again (63% versus 52%), and males are extra possible than girls to make use of bank card rewards for travel-related bills (65% versus 50%).

Rewards card holders are utilizing factors for resorts greater than flights.

Practically all rewards card holders (94%) have used rewards. Greater than half used their bank card rewards for travel-related bills or money again (57% every), whereas 36% of rewards card holders have used their rewards for non-travel-related bills. Extra rewards card holders have spent their factors on resorts (36%) than airfare (31%).

Survey Technique:
This survey was carried out on-line inside the USA by The Harris Ballot on behalf of The Factors Man from Could 7-9, 2024, amongst 2,100 adults ages 18 and older, amongst whom 1,548 have plans to journey within the subsequent 12 months, and 1,393 at present have a rewards bank card. The sampling precision of Harris on-line polls is measured through the use of a Bayesian credible interval. For this research, the pattern knowledge is correct to inside +/- 2.5 proportion factors utilizing a 95% confidence degree. For full survey methodology, together with weighting variables and subgroup pattern sizes, please contact [email protected].