Why Number Plates Are So Desirable

Reg Plates Article

Why Number Plates Are So Desirable

Number plates are big business and a vanity purchase for those who have the cash to spare and then some more.
Dubai's Roads and Transport Authority's (RTA) Licensing Agency has been conducting auctions of special number plates in the past decade. In fact, the RTA collected a staggering Dh141.158m in its last three public biddings alone.

Owning a special plate number for ordinary motorists is a dream and bidding for a vanity plate that costs multi-million dirhams is unimaginable for most of us. But a lucky few have the means and luck to snatch the prized catch.

The most expensive number plate till date is still the No 1 plate in Abu Dhabi, purchased by prominent Emirati businessman Saeed Abdul Ghafar Al Khouri, for a record-breaking Dh52.2m in 2008, at an auction at the Emirates Palace. Prior to that, the record was held by Talal Ali Mohammad Khouri who bought No 5 for Dh25.2m in 2007.

In October last year, Indian businessman and property developer Balwinder Sahni fought tooth and nail to outspend other bidders to grab RTA's single digit plate D5, for a whopping Dh33m. While in Sharjah, the most expensive vehicle licence is the No 1 plate, bagged by Emirati businessman Arif Al Zarouni for Dh18 million.

Staggering though the price tags may be, buyers of vanity plates have a common denominator in making such expensive and mind-boggling purchases: "Passion and money spent for a greater cause."

Sultan Al Marzouqi, director of Vehicle Licensing at RTA, put it succinctly: "Auctions help generate revenue for RTA's never ending infrastructure projects."

He also told Khaleej Times: "Lots of people buy those numbers for trading or investment purposes, or they are regarded as a statement of individuality - of being unique and special."

The RTA conducted its first hall auction in 2007 and the e-auction in 2010. The live auction takes places every alternate month and the online plate auctions are also held bi-monthly.

The Dubai government authority also sells distinguished number plates for fixed prices but the auctions help set the price higher. The bidding war simply triggers strong competition among special number plate enthusiasts.

"During the hall auctions, competition rises between the bidders for the most unique plate numbers; therefore, demand for those numbers jack up the prices," Al Marzouqi said.

The RTA decides the numbers to be rolled out, depending on customers' requirements and preferences, he added. The most popular numbers are usually 786, 911, 458, and four-digit numbers, mostly year-based ones like 2020, currently popular because of the upcoming Expo 2020.

Buyers also have a variety of reasons to go for a special number plate. Some cite lucky numbers - like Sahni who is very partial to 9 (he bought D5 because D+5 adds up to 9). He also spent Dh25m to grab the O9 plate in a 2015 auction.

So far, he has collected around 15 vanity plates - worth about Dh100m in total - and his passion for collecting special numbers is only growing.

Investment on plates

Spending money on fancy number plates is also a good investment, said an Emirati entrepreneur who spent over Dh3.08 million to purchase his favourite number at the RTA's 94th auction early this month. "It is a good investment I am making and I advise others too to put their money in unique number plates," Waleed Abdul Khader told Khaleej Times, after parting with Dh3.08m to buy the special number O18. "Investing in number plates is part of my business and I have full confidence in the potential value appreciation. I have seen the value of number plates multiply several times over years," he added.

Khader said a number plate which was bought for Dh2m about seven years ago is worth Dh30m now. RTA's Al Marzouqi explained: "Such intense participation in various live and online auctions is indicative of the importance of these auctions in bringing happiness and added satisfaction to our customers."

But on some occasions, buyers found the starting bid for a special plate to be too expensive. The Q2 Dubai plate that started at Dh33m was left unsold at the 93rd auction in December last year. "It was very pricey," Nawaf Al Falasi, founder of Top Service company in Dubai, said. "If it was starting at Dh10 million or even Dh20 million, we would have made a bid."

If you have a clear idea of the letters and numbers you would like in your number plate, you can carry out a specialised search that covers over 42 million combinations of number plate registrations.

Choosing between current style number plates and prefix style number plates gives you a wider range of options, so you are more likely to find a private plate that includes the letters and numbers you prefer. All you need to do is fill in two of the three search boxes at the top of the page and then let our website do its magic. You will be presented with options you can purchase for yourself, or as a gift.

Personalised number plate auctions take place every three months, selling an average of 1,600 private registration numbers each time. They are a great opportunity to get hold of number plates that have never been on sale before, as they come with the new issues of each year’s plates.

If you are unable to attend the auction yourself, you can rely on us to bid on your dream personalised number plate – which will also help to prevent you from getting carried away and bidding far more than you had intended to!

We have the experience and expertise to be able to offer you advice and guidance about the kind of price range a particular plate might go for, and you can trust us to place your bids for you. We can even call you during the auction so you can keep track of whether you’re on a winning streak or not.

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