Just wondering if the prices have gone down for food and drink in Cabo considering tourism is down?
From what I can see, prices have either remained the same or gone up a little in pesos. But since your dollar buys more pesos today, the net effect is that they have gone down from a US$ standpoint.
If you pay in peso you will gain the same benefit as IF the prices had gone down.
Hi Ted and Lisa,
Whereas before it didn't matter much if you paid in dollars or pesos, now you really should exchange at a bank to get the best rate. The exchange rate has fluctuated so much in recent months (six months ago it was 10 pesos to the dollar, today it was 14) that most establishments protect themselves by changing dollars at 11 or 12 pesos.
I have seen vacationing Americans get really pissed off when a restaurant or store didn't give them the bank rate for their dollars, or didn't give them change in dollars.
They're not trying to rip you off, just being cautious as Mexico has been through devaluations before.
Remember you are in a foreign country. Think about how business owners in the US would feel if someone expected them to accept pesos.
Or, even better, use a credit card whenever possible. You will get the current exchange rate that way.
Actually, I wouldn't use the credit card to get the best exchange only for fraud issues that have happened repeatedly down there. Exchange to pesos, its not that hard to do.
I-Hate-Tesoro actually posted that Ponchos prices had gone down recently, so maybe we will see a trend that direction shortly, at least until this economic problem passes.
A credit card can sometimes bring another set of problems (fraud) or extra fees depending on your specific bank arrangements for foreign purchases.
There is nothing simplier or more polite than using peso when in Mexico, plus at the moment is giving you a fairly substantial discount to your vacation costs.
It wouldn't make sense for Cabo businesses to lower prices even if touristm is down.
Matapule is right -- your dollars turned into pesos simply buys you more right now. I believe someone said in this forum that some places HAVE changed prices on their menu to reflect the stronger dollar, but we didn't see that anywhere that we dined or drank a couple of weeks ago -- same menus/same prices as we've seen for the past couple of years. We made a few trips to the bank during our 2-week stay to exchange our dollars, and feel that's the way to get the most bang for your buck at this point.
Our first stop after leaving the airport was at a bank to exchange our dollars for pesos. All week we were so happy to have pesos... the restaurants don't reprint their menus every time the rate changes, so we save money by having pesos. Have fun! (Oh, and use Dominic for a rental car... so easy and cheap).
For the first time in years, we actually exchanged our dollars for pesos. We got 14 x 1. It means we saved when paying for meals in restaurants whose menus were in pesos (some have menus in dollars, so we'd pay dollars at those restaurants).
Prices were the same everywhere I went except at Mamas where we had breakfast. They had a sign out from that said something to the effect of "We know the US economy stinks and so we're offering some cheaper breakfasts which are just like our regular breakfasts, but with slightly smaller portions." Those small portions were great for me since I don't eat much, especially at breakfast. If I remember correctly, it was $3.50 for the breakfast. Yummy!
Thanks, DM! That is wonderful news about Mama's! I can't eat a big breakfast either, so rarely order anything "fun".............hopefully they will keep the smaller meals regardless!
Hi Kay... missed you in Cabo!
We saved by eating a lot at the Terrasol palapa restaurant, Gordo Lele's, Mamas and the rest of the 'hole-in-the-wall' restaurants scattered around town.
The best was when my sister-in-law and I went to Salvatores - we shared a salad & an order of lasagne. We each ate 1/4 of the lasagne & salad during dinner, then ate the other portion the next day for lunch. What a great deal considering how far the food goes there. Plus, it's just sooooo darned good!
Right now, Tooley is in the unit we just left. Hopefully, she'll find all the food & goodies I stashed in the cabinets for her. Will hopefully give her a 'kick start' on saving during her stay there as well. Hey, times are tough - just glad we can still afford to go on vacation... at least for now, anyway. :)