Drivers buy personalised registrations rather than new cars
Tuesday, 22 September 2009
Despite a sharp slump in new car sales and soaring motoring costs, hundreds of thousands of drivers are still buying personalised registrations, according to research by online insurer swiftcover.com to coincide with the launch of the new '59 registration plate.
A survey by car insurance company, swiftcover.com found that 69% of drivers say their motoring expenses have increased in the past 12 months, whilst car sales figures show a 21.5% drop compared with last year. Yet sales of personalised plates only fell by 4% in 2009 compared with last year.
However, the prices drivers are willing to pay for their personalised registrations fell significantly, with the average online price falling by 8%, whilst the average auction price crashed by 17%. swiftcover.com's research found*:
- 236,000 personalised number plates were bought in 2008/09, down from 245,500 the previous year
- £80.6 million worth of personalised number plates were sold in 2008/09, a fall of £5 million on the previous 12 months
- £350 was the average price for personalised numbers plates bought online, down from £380 in 2007/08
- £2,500 was the average paid for personalised registrations at auction in 2008/09, down from a an average of £3,000 in the previous 12 months
Despite the significant drop in average sale prices, this year saw the highest ever price paid for a number plate at auction, with 1D selling for an amazing £352,000.
Tina Shortle, marketing director of swiftcover.com, says the relatively strong sales of personalised number plates shows that the UK remains a nation of car lovers. She explains: "Although new car sales are down over a fifth and our own research shows that motorists are feeling the pinch with their running costs, hundreds of thousands of drivers are still indulging in posh number plates".
"For many drivers personalised registrations add to the enjoyment of motoring. It is probably the case that whilst people might not be able to afford to buy new cars or update their vehicles at the moment, splashing out on a flash number helps to lift the gloom a bit and make motoring more fun."
swiftcover.com's survey also found that 64% of drivers blame the government and higher road and fuel taxes for the increase in motoring costs. But motorists told swiftcover.com that they are willing to consider a range of sacrifices to save their cars:
- 28% would sacrifice going to the pub instead of giving up their car
- 26% would stop buying electrical gadgets such as TVs and iPods
- 21% would stop having take-aways or eating out
- 15% would give up buying new clothes and furniture
- 36% would run their cars on recycled chip oil to save money on their motoring
- 13% would swap their nice car for a dirt cheap banger
- 6% would be paid to have their car covered in sponsorship adverts
ENDS
*DVLA figures
Notes to Editors
For press enquiries please contact:
Joshua Van Raalte or Paul Beadle
Brazil (PR agency for swiftcover.com)
01865 556 000
swiftcover@agencybrazil.com
About Swiftcover:
Based in Cobham, Surrey and employing over 350 people, www.swiftcover.com started trading in June 2005 and was born out of a desire to revolutionise the general insurance market.
swiftcover.com offers car, travel and pet insurance online, and is Britain's only insurance company without call centres, which means that the cost savings can be passed directly onto the customer and premiums are kept low. In 2008 swiftcover.com featured as the cheapest insurance quote on the comparison website moneysupermarket.com more often than any other insurer.
This powerful operating model combined with successful marketing and competitive pricing has proven to be a tremendous success. In 2008 swiftcover.com achieved over half a million live policies and in May 2009 sold their one millionth policy. They are considered to be the fastest growing insurer in the UK.
In 2007, AXA UK acquired swiftcover.com. It is now a wholly owned subsidiary of AXA Insurance UK PLC which forms part of AXA Group.
About AXA:
AXA UK is a part of the AXA Group. AXA is a world leader in financial protection. AXA's operations are diverse with major operations in Western Europe, North America and the Asia/Pacific area. AXA employs 120,000 staff and tied agents and, as of June 30 2006, had €1,091 billion in assets under management. AXA reported total IFRS revenues of €72 billion and IFRS underlying earnings of €3,258 million for the full year 2005. Our previous company performance is not a guide to how we may perform in the future.
Bookmark this article:
Press Releases Home