More, younger Singaporeans travelling to Malaysia by private buses, rental cars

SINGAPORE: More and younger Singaporeans are travelling into Malaysia by rental cars and private buses, and they are venturing further into the neighbouring country.

Car rental firm Lylo, which allows renters to drive its vehicles across the border, has seen a 40 per cent increase in demand since it started the service about a year ago.

"The folks that have a bit more bandwidth, a bit more time on their hands, usually when they are going on leisure trips versus work trips, they tend to want to drive,” said the firm’s head of business Marcus Low. 

“Then they can basically take in the sights and have little pit stops along the way with their friends and family.”

The renters are typically those in their 20s and 30s, and young families, he noted.

The number of cars being actively rented out has tripled from about 100 to more than 300, he said 

Take-up for Lylo’s premium service - where chauffeurs ferry passengers around Malaysia - by young families has also gone up by five times compared to last year, he noted.  

“We are seeing exceptional demand for that, mainly during school holidays, where the families don't really want to drive all the way,” he said. 

Another customer segment that is growing is young professionals who are on block leave, Mr Low said. They make up about 40 per cent of Lylo’s customers, up from less than 10 per cent last year. 

TRAVELLING FURTHER OUT

Some renters are booking the cars for longer periods - about a week instead of the usual three nights to drive to further parts like Penang, said Mr Low. 

Even those using private bus services are going further out, said firms in the industry. 

A spokesperson for WTS Travel said that besides Penang - which takes about 10 hours to reach by bus -  Ipoh and Hat Yai have also become more popular. He pointed to the appeal of their rich cultural experiences.

Demand for the firm’s buses has risen this year, prompting plans to expand its premium fleet, the spokesperson added. 

Some also take the bus to Mersing and Tioman Island for beach experiences, said director of KKKL Travel & Tours Yee Hon Ve.

He added that the trend of travelling by bus to further parts of Malaysia is partly driven by younger customers.

DIFFERENT CUSTOMER SEGMENTS

"We see there are more solo youngsters, travellers like Gen Z and millennials. They would like to explore more destinations in Malaysia,” he said.

WTS Travel has similarly seen a “noticeable shift” in the demographics of its passengers, with about a 20 per cent increase in young travellers compared to last year.

KKKL Travel & Tours has also observed more international visitors booking bus tickets and leaving from Singapore.

At least 10 per cent more visitors from China and India are heading into Malaysia from Singapore since a visa-free scheme was announced last December, said Mr Yee. 

His firm provides a stable Wi-Fi connection on its buses, which also come with USB ports, he added.

While more customers means good news for bus companies, hiring drivers is a “pain point” in an industry which appears to be expanding, said Mr Yee. 

“Drivers - plenty around. But … good drivers are not easy to hire,” he said.