Is It Cheaper to Rent a Car at Changi Airport?

When seeking cost-effective car rental options in Singapore, numerous strategies exist. Some recommend exploring peer-to-peer car-sharing services as alternatives to traditional rental companies. Others suggest leveraging package deals offered by online travel agencies. However, a common piece of advice is to rent from a company's off-airport location rather than directly at Changi Airport.

Is it genuinely cheaper to rent a car at Changi Airport, and what are the potential savings from booking an off-airport rental? Are airport rental cars consistently more expensive, and should you should rent a car online? Analysis indicates that renting a car at Changi Airport can be, on average, significantly more expensive than renting from an off-airport location.

This observation is based on a SingSaver analysis of car rental prices across various locations in Singapore. The study compared the cost of rentals from Changi Airport against those from off-airport locations for equivalent rental durations and vehicle types.

Renting a car from a downtown or off-airport location in Singapore can often result in significant savings compared to renting directly from Changi Airport.

Off-airport rentals in Singapore can typically be 10-20% cheaper than their airport counterparts, allowing you to allocate your travel budget to other experiences.

Changi Airport rentals include premium location fees and concession charges, which are directly passed on to customers, contributing to the higher overall cost.

Utilising Singapore's efficient public transport network, such as the MRT and buses, or ride-hailing services like Grab, Gojek, and Ryde, provides cost-effective transport alternatives from the airport to the city, enabling travellers to pick up a rental car at their convenience.

The higher cost of renting a car directly from Changi Airport compared to off-site locations isn't simply a matter of companies inflating car rental prices. A significant factor is the airport concession fees.

Rental companies operating within Changi Airport are required to pay additional fees for the privilege of doing business on-site. These fees, which cover operational costs and airport services, are subsequently factored into the rental prices charged to customers.

Furthermore, the convenience of renting a car immediately upon arrival at Changi Airport leads to high demand. This increased demand allows rental companies to charge premium rates, as many travellers are willing to pay for the ease of immediate access to transportation.

Additionally, airport rental desks often provide premium services, such as extended operating hours, including 24/7 availability, and the ability to accommodate last-minute bookings. These added conveniences contribute to the higher overall rental rates compared to off-site locations with potentially more limited services.

Lastly, some rental agencies in Singapore may impose tourism-related surcharges, specifically targeting tourists or short-term visitors. These additional fees can further inflate the cost of renting a car directly from Changi Airport.

Beyond the potential cost savings, opting for a rental car outside of Changi Airport can offer several other advantages:

• Changi Airport's car rental counters can experience significant wait times, particularly during peak travel periods, causing unnecessary delays.

• Certain rental providers located outside the airport offer expedited processing and even door-to-door car delivery services, minimising wait times and maximising convenience.

• If your itinerary only necessitates a rental car for specific days, utilising SMRT trains, buses, or ride-hailing services for the remaining portion of your trip can result in considerable savings.

• For instance, if your stay in the CBD area (e.g. City Hall)  is primarily for business engagements, immediate car rental might be unnecessary. Opting for a rental from an off-site provider later in your trip can reduce overall transportation expenses.

• Credit cards issued by banks such as DBS, OCBC, and UOB tend to offer cashback or discounts on Grab and Gojek rides, providing a cost-effective alternative for short-distance travel.

• Participation in ride-hailing loyalty programs, such as GrabRewards and Gojek GoClub, enables frequent users to accumulate points and enjoy savings on transportation costs.

While rentals located outside of Changi Airport often present cost savings, there are situations where opting for a rental directly from the airport may be the more practical choice:

• Late-night or early-morning arrivals: If your flight lands during off-peak hours, securing a rental car directly at Changi Airport provides immediate access, eliminating the need for further transportation at inconvenient times.

• Short business trips: For individuals with tight schedules and multiple meetings across Singapore, a rental car readily available at the airport streamlines travel, maximising efficiency.

• Travelling with heavy luggage: Families or groups burdened with substantial luggage may find the convenience of an airport rental outweighs potential savings, sparing them the hassle of navigating public transport to an off-site rental location.

If you're looking to rent a car from Changi Airport or other locations in Singapore, here are some tips to help you save money:

• Book in advance: Early bookings often secure lower prices. Planning ahead gives you access to a wider range of options and potential discounts.

• Compare rental companies: Utilise online platforms like Skyscanner Singapore or Klook to compare prices from various car rental companies in Singapore. These platforms allow you to see available options, compare rates, and find the best deals.

• Look for credit card discounts: Banks like DBS, UOB, OCBC, and even American Express offer rental promotions and cashback for bookings made with partnered rental companies. Check your credit card benefits or bank promotions for potential savings.

• Choose economy models: Opting for smaller, fuel-efficient cars is usually the cheapest rental option. These vehicles are not only budget-friendly but also practical for navigating Singapore's roads.

Using the right credit card can significantly enhance your experience and even save you money—especially if you’re going to rent a car to get around. Here are some of the best travel credit cards in Singapore that can help you maximise your rewards:

• Flexibility: UOB PRVI Miles Visa Card

• Flat-rate Rewards: Citi Cash Back+ Card

• Cashback on Travel Bookings: Standard Chartered Simply Cash Credit Card

• Direct Travel Booking: American Express Singapore Airlines KrisFlyer Ascend Credit Card

• Luxury Travel Perks: Citi Prestige Card