Posted: January 2, 2019 -
Category: Market
ArtMarketGuru’s Digital Transformation Services help collectors, artists, art dealers, gallery owners and auctioneers navigate the online world and transform their digital presence. We take pride in being one of the first resources to study and analyse the impact of new technologies such as Blockchain, Virtual Reality (VR), Augmented Reality (AR) and Artificial Intelligence (AI) on the art market.
The move to online has been a dominant force shaping the art industry over the past ten years. Our recent analysis How Technology Benefits Artist Promotion and Administration confirms the paramount importance of the online art market. However, brand recognition and consumer trust are still issues for online platforms. The main question now is are people ready to trust online? New technologies such as blockchain, artificial intelligence, virtual reality and augmented reality are offering new opportunities and solutions for increased transparency.
According to the latest Hiscox report 62% of those surveyed were concerned about forgeries and fakes online. Will the influx of new platforms encourage the art market to be transparent or will it remain the same? Anders Petterson, founder of ArtTactic predicts that they “won’t do much to increase the overall transparency of the market.”
Major auction houses such as Christie’s and Sotheby’s are putting huge amounts of resources into developing their digital and online technologies as there is an increase in demand for them to create a channel from which millennials feel comfortable buying from. If auction houses with the stature and client base of Christie’s and Sotheby’s are spending time and money on their digital transformation others follow suit.
Gagosian launched its first online viewing room at Art Basel in June 2018 and have made them a permanent fixture since, contributing to millions of dollars in sales. David Zwirner has done the same. Other platforms have launched online 3D viewing experiences in collaboration with artists and galleries, one example being v21 Artspace. However, there may still be feelings of uncertainty associated with not seeing a work in the flesh there may be a sense of uncertainty that you may not feel if you go to a gallery and shake hands with the dealer.
A key trend that has emerged is that big spenders (spending $100,000 or more) are becoming increasingly comfortable browsing and buying art online. In fact, it is big spenders who are visiting online sales platforms most frequently with 50% of them visiting multiple times a week. The most recent Hiscox report noted that this was a significant mark up from the previous year where just 38% of big spender were frequently visiting online art sites. Also reported was that 47% of big spenders claimed to have bought art online in the last 12 months, up by 30% from the 2018 report. This significant shift shows that people are becoming more trusting online and is particularly interesting as it is those dealing with large sums of money.
Millennials are rapidly rising to become the new generation of art collectors, artists, dealers and auctioneers need to meet them through their preferred channels. Instagram is one of the most powerful social media networks connecting artists directly with audiences, cutting out dealers and galleries as intermediaries. A strong online presence is a must, reinforcing brand recognition and helping industry players connect directly with collectors, in turn boost sales. Not only this, but art industry players now have to take into consideration the next generation of collectors, generation Z, the most digitally savvy generation ever.
Our report How Millennials are Changing the Art World is particularly interesting in that context.
Here, we have selected some of the key players in the online art world who are using and innovating through digital and online technologies. They are split into subsections: online auction, online galleries, online art platforms and marketplace, art market resources, blockchain ventures and new business models.
ONLINE AUCTIONS
Online sales and live bidding are now a fundamental aspect of auctions. Christie’s, one of the largest auction houses in the world, announced in 2017 it would be downsizing its Amsterdam space and closing down its London space, instead choosing to focus on their online auctions. Online sales at Christie’s were recorded as attracting the largest number of new buyers, with a 40% growth and a total spend of $119.7 million in the first half of 2018. Christie’s also made the decision to publish its online auction results, signifying a move in the right direction towards total transparency in the art market. In 2018 Sotheby’s announced a collaboration with Thread Genius, a company founded by former Spotify engineers that uses artificial intelligence to distinguish collector’s tastes, offering them recommendations. Sotheby’s has also been partnered with Invaluable, a leading online marketplace since 2016. Key players in the industry such as Artsy have also made significant investments in online auction businesses.
LIST OF KEY PLAYERS: ONLINE AUCTIONS
ONLINE PLATFORMS / MARKETPLACES
Online platforms act as an entry point for new buyers, making the art market far easier to manoeuvre than the traditional art world which can often be an intimidating experience. Many of these platforms allow their users to communicate directly with galleries and artists without the added anxieties. Although online platforms are hugely popular, it often the case that big spenders buy their art from a physical space before buying online. However, once collectors have bought online once they tend to do so again as they have a heightened send of trust. For platforms like Artsy it is also the case that the vast majority of collectors use the platform to inquire directly and then are able to take the process offline and go directly to the gallery. In this way platforms are expanding the reach of galleries, working with the industry to widen the market.
LIST OF KEY PLAYERS: ONLINE PLATFORMS / MARKETPLACES
ONLINE GALLERIES
There is a marked rise in online galleries, this includes galleries that already have brick and mortar locations who are putting their collections online. Gallery owners are now questioning why they should spend money renting a physical space, however, often it is still needed for branding purposes. The current offline equivalents to many of the online galleries would be similar the Affordable Art Fair which brings together hundreds of pieces from all over the world, ranging in price and style to one location. The increased use of machine learning and artificial intelligence helps users navigate their way through artworks, enhancing the search and discovery experience for site users, and in turn increased the possibility of increased sales for galleries.
LIST OF KEY PLAYERS: ONLINE GALLERIES
ART MARKET RESOURCES (NEWS AND MAGAZINES)
Knowing about the latest art fair, emerging artist or stylistic movement in the Contemporary Art world is only half the battle for serious collectors in today’s market. Good collectors not only understand but actively seek expert advice, real-time market analysis, sales data, and financial trends from a variety of trusted sources. Today, the Internet provides a large choice of online resources and we have gathered the best art market research/info/data sites in one place to give you a one-stop-shop to stay up-to-date on everything that is happening behind the canvas.
LIST OF KEY PLAYERS: ART MARKET RESOURCES
BLOCKCHAIN VENTURES
Blockchain’s decentralised record-keeping technology has been suggested as a way for us to create a “more welcoming art ecosystem.” The technology’s potential for verifying provenance, authenticity and ownership is widely acknowledged, however, there are still those who remain sceptical. Sebastien Genco, a blockchain specialist at Deloitte spoke at the Christie’s 2018 Art + Tech Summit on the topic “Why the Art World Wasn’t Ready for Blockchain”. There are still parts of blockchain which are not yet fully understood, there is a lack of trust, as well as high costs which can be suggested as some of the reasons why blockchain has not yet had a more drastic impact on the art market. Cybercrime is a major factor as to why people are nervous to buy online, with around 41% of art buyers concerned about cybercrime. Cryptocurrencies are predicted by many to be the entry point for blockchain into the online art market, with 60% of online platforms predicting the payment method will be used. Currently only 7% accept cryptocurrencies as payment method and a further 8% have installed blockchain technology within their business (Hiscox Report).
LIST OF KEY PLAYERS: BLOCKCHAIN VENTURES
ONLINE ART MANAGEMENT SYSTEMS
Online Art Inventory Management Systems act as a useful tool for artists, galleries, museums and collectors to keep track of their artworks. Most major art organisations now use these kinds of systems as they an efficient way of collecting important information about artworks. They are also regularly backed up, so users do not have to worry about data being lost. Information is stored and readily available for clients and galleries to view at any time from any device. Helping greatly with art management the systems also allow users to trace where an artwork is showing, archive when and how it was created, as well as where it goes on to be sold and who will be buying it.
LIST OF KEY PLAYERS: ONLINE ART MANAGEMENT SYSTEMS
NEW BUSINESS MODELS
With the introduction of new technologies such as Artificial Intelligence (AI) and Virtual Reality (VR) we are seeing rippling effects within the art market. Artificial intelligence is changing value chains for creative content, helping creators match content with audiences by learning about and classifying their interests, enabling them to recommend specifically tailored content. We are seeing art platforms use this technology, creating a filtering system for when users are browsing works and making suggestions based on their tastes. Virtual Reality has the ability to change the way we experience content, with the power to promote new feelings, skills and understanding which can make content more powerful than how it appears through traditional media. Companies are still identifying the potential in using these kinds of technologies and creating new and ground-breaking business models.
LIST OF KEY PLAYERS: NEW BUSINESS MODELS
Posted: August 30, 2018, 11:41 am by Craig Purcell
Somewhat overwhelming. The core question is how does one find the emerging talent and collect them before prices rise ?
Perhaps A.I. can help with that.
As an architect and painter I can see the potential for the individual artist to tap into a global market but like anything else the question for the artist is about being discovered without turning oneself into a hype machine with your patron bring the free market.
Who do you paint and create art for is the central question/challenge…
The free market no doubt ends up as a convenience store aesthetic – so how to separate oneself from the herd – go to expensive art schools and cozy up to the Intelligentsia – ugh… left wing groupthink…
Posted: February 18, 2023, 11:48 am by gralion torile
Just wish to say your article is as amazing. The clearness in your post is just great and i can assume you’re an expert on this subject. Fine with your permission let me to grab your RSS feed to keep up to date with forthcoming post. Thanks a million and please keep up the enjoyable work.
Posted: March 6, 2023, 7:27 am by Chengkch
Online Dating Insider was the first useful resource covering the online dating industry. He needed me to satisfy his mother on Date 2. He deleted his dating apps on Date 1; he felt so positive we were meant to be. At first, social media and dating apps represented small corners of the internet with only a handful of customers. At the beginning, determine if the online dating apps you’re using are reliable. You merely share it with him, if the emotions are mutual, and go on the first date with him. The placing similarities between dating’s early phases and the primary phases of implementing a profitable social media technique are a handy strategy to gauge whether your group’s social media technique is probably going be acceptable and successful. There is a slide in my commonplace social media technique presentation displaying a younger couple looking lovingly at each other. Okay, truly solely the woman is trying lovingly. There are numerous instruments and assets on the market for youths wanting to connect with likeminded folks or discover out info. There was a man I met on a trustworthy online dating app (not this one, don’t fear) who I had simple, enjoyable conversation with. Likewise, you don’t need to put on a shirt too close in tone to your pores and skin or the background because you don’t want to fade into your surroundings.
Simply lead your life as traditional and don’t be afraid to start out a small speak – friendly Australians will likely be blissful to get into a discussion. Should you prefer the great outdoors, then why not get entangled in a conservation mission? If you really are a passionate actions fan, then season tickets in direction of the crew of one’s choice can help to making model new craigslist personals different buddies for you personally. A Outstanding Profile Making your self and your profile excellent on online dating sites has never been for dates more a crucial activity as it is now. Probably the most respected online dating apps, as a rule, usually are not meant primarily for informal espresso dates. Have folks in your camp who are supportive and able to provide you with advice and any assistance you might want. Whereas the price of pay websites could be a drawback, it additionally ensures that solely people who find themselves really severe about finding a date will be part of the location. It is essential to be sincerely involved in finding a relationship and be really genuine in your approach. Put forth the effort to determine upfront what you ultimately anticipate from a relationship at some future level.
We didn’t have the time we did by means of texting to provide you with a very good, thoughtful reply, and it turned out in actual time, we had no natural banter. A number of individuals are afraid to place themselves on the market in any respect, whether online or in actual life. Chat rooms are web sites or applications that let folks ship text messages in actual time for others to read immediately. Folks commit to remain collectively and stay up for a future collectively whereas dating (largely) lacks commitment of any sort. They were just sort of residing, breathing creatures that bred comfort greater than intention when it came to attending to know a brand new individual. It doesn’t matter if the dialog is qpid network by text, email, or via an app, I feel insecure regardless the mode of communication, and always find yourself believing that the other particular person is judging me. I was hitting it off with a man online in college who flirted closely with me on social media however in person he handled me no differently than anybody else around.
So it shouldn’t be shocking that you could be find yourself on dates with people who know exactly what they need. I feel it exists for some people. To handle this situation, I feel it’s essential to take inventory of how you’re feeling and how transparent you’re being. “I have to take a break, however … Your online business Social Networking websites might be dedicated fully to your corporation – and they don’t need to operate like one-on-one chat! Together with Amolatina and AnastasiaDate, Asiandate is a part of the Anastasia Household of sites. He was ready to be back in a conventional household life. And keep trusted household or pals posted on where you might be and how you’re feeling. Whereas they weren’t an inherent risk (he was hoping for enthusiastic consent on my half), it still made me feel unsafe. I had all the packing containers checked for security: daylight, public place, driving myself, mates knew the place I was-but one thing was still off for me. Social media and online dating have led us to a spot the place extra means higher. Make certain each you and your place look good. What’s a very good approach to deal with that.
Posted: March 26, 2023, 8:05 am by vorbelutr ioperbir
Having read this I thought it was very informative. I appreciate you taking the time and effort to put this article together. I once again find myself spending way to much time both reading and commenting. But so what, it was still worth it!