Is an All-Inclusive Holiday Cheaper? Comparing Costs & Value for Your Trip

Ever heard someone say, "Just go all-inclusive! It’s way cheaper…"? It sounds so easy: book a deal, pay once, then float between the pool, cocktail in hand, and endless buffets. But is it really a money-saver, or are you paying for a bunch of extras you’ll never touch? A 2024 global travel survey found that 42% of South Africans feel hotels hide too many fees, causing that pre-checkout panic where you add up every ice cream, wine glass, or Wi-Fi hour. So, is all-inclusive the answer, or just another buzzword to get us to part with our money? I’ve tracked my own travel budgets, hunted for promo codes past midnight, and even tried out the bland snacks at budget “snack bars”. Let’s get real about costs, what’s included, and what you miss out on if you choose the all-in route or stick to pay-as-you-go.

What Does 'All-Inclusive' Actually Mean?

All-inclusive means more than just ‘food and room’. It usually covers accommodation, all meals (breakfast, lunch, dinner, plus snacks), drinks (sometimes just soft drinks, but often local alcohol too), certain activities, and sometimes airport transfers or entertainment. But here’s the catch: what’s ‘all’ in your holiday package might be ‘some’ at another hotel, especially once you cross borders. In Spain, buffets might be endless, but premium cocktails could be extra. In Mauritius, that included mini-golf? Still going to cost you for golf balls.

If you wade through the fine print (and you should!), you’ll often find out what’s not included: spa treatments, imported drinks, motorized water sports, specialty restaurants, child care, excursions off the property, and, sometimes, Wi-Fi above a certain limit. The trick is to compare package lists line by line, especially if you love things like watching Netflix at night or can’t survive without coconut water instead of regular tap. A recent skyscanner.co.za roundup in 2025 showed about 30% of all-inclusive properties in Mediterranean nations now exclude even fresh coffee from included drinks.

Look for hotel reviews that mention hidden costs—even the best deals leave sour tastes if you find yourself forking out R85 for a cappuccino every morning. Watch for hotel star ratings too. Four and five-star all-inclusives tend to be far more generous with extras (think free pilates, beach bars, or high-end desserts) than three-star options where it might be a set menu, not much variety, and house wine or nothing.

Family-friendly all-inclusives often have kids’ clubs, free babysitting, and entertainment included, which can slash your daily outlay if you’re traveling with the brood. But for couples or solo travelers who’ll spend more time exploring outside, paying for an all-inclusive you barely use could feel like paying gym fees when you only walk by the treadmill.

Breaking Down the Real Costs: All-Inclusive vs. Pay-as-You-Go

So what does the comparison look like, in rands and cents? Imagine two people off to Zanzibar for a week. An all-inclusive deal at a reputable three-star beachfront resort (mid-season, booked three months in advance) costs about R18,200 for seven nights. The same holiday, booked as room-only at R11,000, means you’ll need to budget separately for food, drinks, and activities. A three-course seafood dinner in Stone Town might run R500 each, and lunches from the resort’s a la carte menu: R150-R250 per person per meal. Add drinks—at least R50 for a beer or glass of wine. Suddenly, daily meals for two can be R700–R1,200, not counting extras like poolside snacks or bottled water. If you’re not careful, in just a week, you could easily match or even exceed the all-inclusive price.

Here’s a side-by-side to put it in perspective:

Notice how those quick “little extras” add up? All-inclusive almost always wins if you eat and drink on site, enjoy daily resort activities, and love the convenience of not counting every cent. However, if you only eat breakfast at the hotel and spend your afternoons in the market or at beach shacks, the DIY route can feel cheaper (and more adventurous).

Timing plays a huge part too. Off-season deals are often hidden gems: when Cape Town is chilly in July, you’ll spot European and Indian Ocean resorts slashing all-in prices by up to 40%. But watch for “school holiday surges”—even the humblest buffet joint doubles its rates the second the bell rings for holidays. Signing up for price alerts or using hotel reward apps saves people hundreds per trip.

What Are the Hidden Costs and Savings?

It never fails: you think you’re done with expenses, but out comes another bill. Here’s what to look out for if you want no ugly surprises. First, the dreaded drinks upgrade: lots of all-inclusive resorts include only local spirits, so if you want that single malt or a name-brand soda, expect to pay a premium. Bottled water is sometimes limited—extra bottles are often priced like high-end wine.

Next up, activities. Sure, there’s a free morning yoga class, but deep sea fishing, diving, or guided city tours? Those can be over R1,000 per person, per day. Some places even charge for towel exchange, in-room safe key, or late check-outs. If you’re a snack monster (like my dog Oliver, who practically sniffs out chips from blocks away), you’ll want those all-included ice creams, but watch out if these are capped to just certain hours or for kids only.

Tipping is another one. Many all-inclusives claim gratuities are included, but local staff often rely on tips. That might be clear in the Caribbean or North Africa, but less so elsewhere. Guests who budget for a few hundred rands in tips rarely feel as awkward at checkout. Spa treatments? Never covered. Ditto laundry. And here’s a wild one: in Mexico and the Maldives, some “all-inclusive” packages now slap on a resort fee at checkout (about $20–$60 (R350–R1,200) per room, per night).

On the flip side, savvy guests score by making the most of what’s included. Early riser? Grab a breakfast buffet that’ll keep you fuelled until sundown. Health nut? Check if juice bars and healthy options are part of the deal. Many newer resorts (especially eco-friendly ones) add activities like cooking demos, guided hikes, and even stargazing sessions, free for guests. Sometimes these are worth more than what you’d pay out of pocket to join them elsewhere.

If a hotel has a loyalty scheme, sign up—members often get free upgrades, spa discounts, or complimentary late check-out. Many South Africans discovered during the 2023/24 power crisis that booking all-inclusives with generators saved a ton on unexpected costs like eating out when the hotel kitchen shut down. As for Wi-Fi, check: unlimited access versus the basic free hour can mean the difference between Instagramming your whole trip or going dark after day two.

Who Should Go All-Inclusive (And Who Shouldn't)?

If you like to roam, eat where locals eat, and build your own adventures, all-inclusive might be a bit suffocating. Many travelers find half-board (breakfast and dinner only) or bed-and-breakfast combos work better—especially in cities or buzzing towns where food and nightlife are the draw. But if you’re a family looking for predictability, a couple craving zero-stress, or planning a group getaway where splitting bills turns into an Olympic sport, all-inclusive is hard to beat.

Older travelers, honeymooners, and groups of friends love the simplicity and budget control that comes from knowing what’s coming out of your bank account. South Africa’s most-booked all-inclusives now tailor packages by season—think "kids stay free" in winter, or adults-only specials with mixology classes thrown in. People who are really into food might sometimes feel let down, as even the best buffet can’t match cozy local taverns for heart and soul. The big money-saver, though, is if you make full use of all that’s offered—from morning aqua Zumba to late-night chocolate fountains.

A few ways to maximise value:

• Read recent reviews (within the last six months) to spot any changes to what’s included.
• If you have dietary needs, email ahead—many will cater, but only if you ask.
• Plan at least one day for off-site excursions. All-inclusive doesn’t mean you’re chained to the resort—and sometimes a local meal is worth more than another buffet round.
• Keep all booking correspondence; if extras are promised, you’ll want proof at check-in.
• If you see a special activity (like scuba or sunset cruises), reserve early—these fill fast and are often discounted for all-in guests.

I’ve met travelers who’d never go back to all-in ("Too samey!"), and others who’ve never looked back ("No arguments over splitting dinner tabs ever again!"). Me? I love the freedom of choice, but there’s something magical about never having to open your wallet on holiday, too. Ultimately, the answer to "is it cheaper to go all-inclusive?" is stubbornly personal: it depends on your style, your appetite, and how much you think holiday should feel like real life—or the total opposite.