Why our hourly rates beat airport kiosks
Airport kiosks build 8 to 12 percent into the rate. We publish ours every hour and honour it at the counter. The math is not close.
Every week someone lands at YOW, changes money at the kiosk, then visits us and does the math. So here it is, written down.
The kiosk model
Airport kiosks pay airport rent, some of the most expensive retail space in the country, and that rent lives inside their exchange rate. Typical all-in margins run 8 to 12 percent, and they're often labelled "0% commission." That's true in the least useful sense: the commission is zero because the cost moved into the rate.
Our model
We're a neighbourhood counter with hourly refreshed rates and a published spread of 1 to 3 percent, depending on the currency. Also zero commission, but with the spread disclosed on the rates page, where you can check it before you come in.
The math on $1,000
Say the mid-market rate puts USD at 1.3700:
| Airport kiosk (about 10% margin) | Pennii (about 2% spread) | |
|---|---|---|
| You pay | $1,000 CAD | $1,000 CAD |
| You receive | about $663 USD | about $716 USD |
| Difference | about $53 USD more in your pocket |
Scale that up to a family trip's worth of spending money and the kiosk premium buys a very nice dinner. For someone else.
The practical version
- If you must, change a small cushion at the airport for arrival-day taxis and coffee. A hundred dollars, not a thousand.
- Do the real exchange in town, before or after you fly.
- Better still: reserve online, lock the rate for 60 minutes, and pick up counted cash on your way to the airport.
